Meta Platforms Inc. (NASDAQ:META) stock increased 12.90% over the last five sessions. Analyst Gene Munster attributes the movement to the potential of personalized artificial intelligence, stating that early products like Muse are already starting to “blow us away.”
An ‘Underappreciated Growth Lever’
Munster published a note on Sept.24 detailing why personalized AI subscriptions represent an “underappreciated AI growth lever” for consumer platforms like Meta and Apple Inc. (NASDAQ:AAPL). Following Mark Zuckerberg‘s recent description of Muse as the “centerpiece” of Meta’s builds, Munster outlined the potential financial impact on the company.
In a conservative model, Munster estimates that if 5% of Meta’s 3.6 billion daily users pay $5 a month, it would add $11 billion in annual revenue and increase operating income by 8%. In an aggressive scenario, 25% of users paying $10 a month would generate $108 billion in annual revenue and increase operating income by 80%.
Munster noted this calculation does not include potential transaction cuts Muse might take, adding this revenue could offset headwinds in Meta’s traditional ad business.
Reversing the 80-20 Rule
Currently, an estimated 75 million to 100 million people subscribe to paid consumer AI models across platforms like ChatGPT, Gemini, Claude, and Grok. This represents about 2% of daily internet users. As usage grows, Munster expects users to increasingly hit token limits, triggering a shift from free to paid tiers.
Within five years, Munster projects that power users spending up to $300 a month will account for 5% of paid subscriptions but 50% of total revenue. The remaining 95% of users will pay lower-tier prices, around $10 to $15 a month, accounting for the other half of revenue. Munster states this is “a rare case when the 80-20 rule doesn’t apply.”
The Enterprise Gap
Beyond consumer platforms, Munster identified room for growth in corporate environments. The average monthly AI spend per U.S. employee is currently $13. This compares to an average monthly enterprise software spend of $780, suggesting measurable wallet share remains to be gained by artificial intelligence companies.
How Has META Performed in 2026?
Price Action: At the last check, the META stock was trading 3.04% lower in overnight trading. It was up 0.37% over the last year, 13.87% year-to-date, and 31.86% over the last month. The stock closed 0.22% higher at $225.07 on Friday.
Benzinga’s Edge Stock Rankings indicate that META maintains a strong price trend in the short, medium, and long terms, with a moderate value score.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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