Meta poaches a public company CEO to expand into enterprise AI, yet its stock price falls back 5%.

BlockBeats news, September 29 — According to TradingBeats monitoring, Meta (META.US) announced the establishment of an enterprise AI business unit and appointed former MongoDB CEO Chirantan "CJ" Desai to lead it, yet its stock closed down approximately 4.79% that day at $715.62.

Meta's newly formed enterprise AI platform will integrate products including the Muse AI assistant, Meta Business Agent, Muse API, and Muse Code, attempting to further extend Llama model capabilities to enterprise customers. CJ Desai previously served as MongoDB CEO and has held positions at enterprise technology companies such as ServiceNow and Cloudflare. After joining Meta, he will be responsible for driving the development of the enterprise AI business.

The market has yet to buy in. The Information analyst Martin Peers pointed out that although Meta has a massive base of enterprise advertising clients that can help promote its AI products, the enterprise AI market is already highly crowded, with Microsoft, Google, OpenAI, Anthropic, and traditional enterprise software companies all competing for enterprise customers.

In addition, Meta's previous attempts in the enterprise software space did not go smoothly, with the enterprise collaboration tool Workplace ultimately shut down. Entering the market this time through Muse and an enterprise AI platform also means Meta needs to prove whether it can extend its advertising ecosystem advantages into the enterprise software business. The market remains cautiously observant of whether Meta can convert AI capabilities into new enterprise revenue streams.