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Game On: Inside Meta’s $15 Billion Quest for the AGI Trophy

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Hello, Reader.

The Vince Lombardi Trophy… the Stanley Cup… the Commissioner’s Trophy…

All of these shiny mountains of metal have something in common: They’re won by a team. When highly skilled folks come together to combine their strengths, it can deliver some pretty incredible results.

In the world of artificial intelligence, there’s one trophy still yet to be won: achieving artificial general intelligence (AGI) – AI that can match or exceed human-level intelligence.

While there’s no physical prize for this victory, the stakes are market dominance… and massive profits.

To get there, companies are joining forces. For example, Amazon.comInc.’s (AMZN) virtual assistant Alexa is powered by Anthropic, after Amazon invested about $8 billion in the AI company. Microsoft Corp. (MSFT) has poured at least $13 billion into OpenAI, scoring a share of the company’s revenue.

And now, Meta Platforms Inc. (META) seems to have found its partner in the AGI race.

Last week, the tech giant made a nearly $15 billion bet on AGI by investing in one of the most valuable startups in the AI market.

So, in today’s Smart Money, I’ll break down Meta’s recent developments in AI, including how its new partnership could be the key to claiming the AGI trophy.

Plus, I’ll share the best way to play AGI as it continues to develop. You see, successfully positioning yourself in the “pre-AGI” market could unlock massive returns as this technology reshapes industries.

Let’s jump in…

How Meta Is “Scaling” AI

Now, Meta’s path toward AGI has been bumpy, but the company is pushing forward with serious determination to prove it belongs in the big leagues.

Its flagship AI model, Llama, competes with OpenAI’s ChatGPT and Anthropic’s Claude. But lately, it’s been generating more controversy than credibility.

Last month, The Wall Street Journal published a behind-the-scenes exclusive on what’s really happening at Meta. The rollout of Behemoth, the company’s most powerful AI model yet, got delayed until fall of this year after the disappointing launch of two Llama 4 models back in April.

From the WSJ…

The Facebook-parent has publicly touted the capabilities of Behemoth, saying it already outperforms similar technology from OpenAI, Google and Anthropic on some tests. But internally, its performance has been hobbled by training challenges, the people said.

These training challenges seem to be symptoms of a deeper issue. To produce better models – and achieve AGI – the company needs the right team.

So, Mark Zuckerberg has now made it his mission to build that superstar team.

Last Tuesday, Bloomberg reported that Zuckerberg is putting together a “superintelligence group” – about 50 of the top AI minds, including new head of research to lead the team. With the right people, he’s convinced Meta can beat the competition to the AGI finish line.

But that’s not all Zuckerberg is doing to ensure the company’s position on the road to AGI…

He’s backing the initiative with a massive $14.3 billion investment – Meta’s largest AI bet yet – for a 49% stake in Scale AI, a startup that helps companies train their AI models and build custom applications for businesses and governments. Plus, Scale AI’s founder, Alexandr Wang, will be joining Meta’s superintelligence group as part of the deal.

This is a significant investment because Scale AI’s influence is expanding. The San Francisco-based startup has recently been building government relationships at home and abroad.

In April, Scale AI landed a five-year contract with Qatar to automate civil service and healthcare operations. And in March, it signed a multimillion-dollar contract with the U.S. Department of Defense to integrate AI agents across military workflows.

Here’s why this partnership could be a game-changer…

Meta’s goal with these moves is to achieve AGI – or AI that can match or exceed human intelligence across every cognitive task. AGI is when the AIs start coding themselves, when AIs start training each other… and when humans no longer have any idea how or why AIs are doing what they’re doing to achieve their goals.

AGI is the ultimate prize in tech, and whoever gets there first will likely reshape entire industries and control immense economic power.

But achieving AGI is one thing… knowing how to invest in it is another.

I’ll share my investment strategy for finding winners on the road to AGI below. But first, let’s take a quick look back at what we covered here at Smart Money last week…

Smart Money Roundup

Your AGI Profit Playbook

Back to AGI, the road to achieving this technology is an intense one. And, yes, it will disrupt countless industries and jobs along the way.

But for investors who position themselves correctly, it also represents a life-changing moneymaking opportunity.

Here’s the reality: We’re likely looking at AGI arriving within the next 12-24 months, which leaves every investor with a serious decision right now.

Most people will be caught off guard when AI makes the leap from needing human oversight to independently solving complex problems across industries. While some companies will struggle with this transition, I find that the biggest opportunities lie in three specific AGI investment strategies.

1. Investing “in” AGI: Instead of chasing the highly valued AI producers, I target companies that provide key parts of the infrastructure that will accelerate AI technology toward AGI – like the precious metals inside every chip.
2. Investing “alongside” AGI: This means backing the industries that provide the physical foundation for AGI facilities. Think companies supplying raw land for data centers, the cooling systems that keep them running, or the energy sources that power them.
3. Investing in “stealth” AGI: These are non-tech companies quietly adopting AI to unlock massive gains in efficiency, productivity, and profits – often flying under the radar while delivering outsized returns.

I provide more detail on these strategies and which sectors to watch during my Road to AGI: The Final Warning special presentation. I also reveal my free AGI-related stock pick – one that showed a 46% gain while the S&P 500 dropped 5%.

Meta’s scramble to build their superintelligence team shows just how fast this race is moving. And the window to position yourself ahead of the crowd is narrowing. As companies are teaming up with each other and creating their own dream teams, don’t wait until it’s too late to get in the game.

Click here to learn how to stay ahead.

Later this week, I’ll share how our partners at TradeSmith are using AI to level the trading playing field between us and Wall Street – making it possible to see four years, eight years, even nine years of stock market gains in a matter of weeks.

See you then…

Regards,