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Meta CEO Mark Zuckerberg demonstrates an Oculus Rift virtual reality (VR) headset and Oculus Touch controllers during the Oculus Connect 3 event in San Jose, California, U.S., on Thursday, Oct. 6, 2016.

David Paul Morris | Bloomberg | Getty Images

Meta CEO Mark Zuckerberg is once again a fan favorite on Wall Street. The same can’t be said for Snap CEO Evan Spiegel.

Both companies were hammered by Apple’s iOS privacy change in late 2021 and the broader economic tumult last year, spotlighted by soaring inflation, rising interest rates and the war in Ukraine. Their ad businesses shrank and investors bailed. Mass layoffs ensued.

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But in consecutive days this week the stark contrast between the two companies has become more clear than ever. Snap shares sank 14% on Wednesday after issuing a disappointing forecast the prior afternoon. Meta’s stock jumped almost 7% in extended trading on Wednesday following better-than-expected results, a return to double-digit growth and rosy guidance for the third quarter.

Meta shares are now up more than 160% for the year. Snap is up 20%, about inline with the S&P 500.

Neither Zuckerberg nor Spiegel have plans to cut back on spending money on experimental projects. Meta is burning billions of dollars a quarter on the futuristic metaverse, and Snap is pouring cash into augmented reality products and services. Both are heavily touting the benefits of artificial intelligence.

The difference is that Meta has rightsized its finances. While Snap’s revenue dropped 4% in the second quarter, Meta is solidly growing again, driven by Facebook’s ad business.

Internet advertising bounce back is 'Meta specific', says Evercore ISI's Mark Mahaney

Meta Chief Financial Officer Susan Li told analysts on the company’s earnings call that advertising revenue rose in part due to an increase in spending by online retailers and Chinese companies, continuing a trend from the previous quarter.

Li also said online advertisers are adopting Meta’s Advantage+ service, which analysts have said is helping the company improve the effectiveness of its ad system following the iOS privacy change.

“We’re seeing this work translate into results for advertisers as conversion growth remains strong in Q2,” Li said.

Even with the ad rebound, analysts questioned Zuckerberg on the earnings call about the business rationale for investing in the metaverse, and expressed concern about growing losses in the company’s Reality Labs unit.

Zuckerberg’s pitch for the company’s metaverse investment — which inspired the name change to Meta in 2021 — continues to center around the idea that the company needs to own a platform. Apple has iOS, Google has Android and Facebook has always been forced to play by their rules in order to get distribution for its apps, which include Instagram and WhatsApp.

The metaverse is the place where Zuckerberg sees that dynamic changing. However, he has said it could take a decade and told analysts on Wednesday that he “can’t guarantee you that I’m going to be right about this bet.”

“I do think that this is the direction that the world is going in,” Zuckerberg said. “One billion or two billion people have glasses today; I think in the future, they’re all going to be smart glasses.”

Meanwhile, Spiegel pitched Snap’s AR projects as a “long-term focused” investment that represents “an extension of our core platform rather than totally new bets.”

An analyst on Tuesday asked Spiegel whether the company has “a lot of employees that are working on like five-plus year projects that are not generating revenue,” underscoring the general concern that Snap is spending too much time and investment on the future rather than resolving immediate financial concerns.

And while Meta has seemingly fixed most of its ad problems, Snap is still struggling.

“Profitability is being particularly impacted by a major step up in infrastructure spending as Snap invests in AI both to enhance the user experience and also attempt to improve ad targeting capabilities,” wrote James Cordwell, an analyst at Atlantic Equities, in a note to clients. As a “subscale platform,” Cordwell said he’s skeptical of Snap’s ability to succeed in those areas while “still delivering attractive returns to investors.”

WATCH: Internet advertising bounce back is “Meta specific.”

Internet advertising bounce back is 'Meta specific', says Evercore ISI's Mark Mahaney

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Week in review: The Nasdaq’s worst week since April, three trades, and earnings

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Week in review: The Nasdaq's worst week since April, three trades, and earnings

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Too early to bet against AI trade, State Street suggests 

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Too early to bet against AI trade, State Street suggests 

Momentum and private assets: The trends driving ETFs to record inflows

State Street is reiterating its bullish stance on the artificial intelligence trade despite the Nasdaq’s worst week since April.

Chief Business Officer Anna Paglia said momentum stocks still have legs because investors are reluctant to step away from the growth story that’s driven gains all year.

“How would you not want to participate in the growth of AI technology? Everybody has been waiting for the cycle to change from growth to value. I don’t think it’s happening just yet because of the momentum,” Paglia told CNBC’s “ETF Edge” earlier this week. “I don’t think the rebalancing trade is going to happen until we see a signal from the market indicating a slowdown in these big trends.”

Paglia, who has spent 25 years in the exchange-traded funds industry, sees a higher likelihood that the space will cool off early next year.

“There will be much more focus about the diversification,” she said.

Her firm manages several ETFs with exposure to the technology sector, including the SPDR NYSE Technology ETF, which has gained 38% so far this year as of Friday’s close.

The fund, however, pulled back more than 4% over the past week as investors took profits in AI-linked names. The fund’s second top holding as of Friday’s close is Palantir Technologies, according to State Street’s website. Its stock tumbled more than 11% this week after the company’s earnings report on Monday.

Despite the decline, Paglia reaffirmed her bullish tech view in a statement to CNBC later in the week.

Meanwhile, Todd Rosenbluth suggests a rotation is already starting to grip the market. He points to a renewed appetite for health-care stocks.

“The Health Care Select Sector SPDR Fund… which has been out of favor for much of the year, started a return to favor in October,” the firm’s head of research said in the same interview. “Health care tends to be a more defensive sector, so we’re watching to see if people continue to gravitate towards that as a way of diversifying away from some of those sectors like technology.”

The Health Care Select Sector SPDR Fund, which has been underperforming technology sector this year, is up 5% since Oct. 1. It was also the second-best performing S&P 500 group this week.

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People with ADHD, autism, dyslexia say AI agents are helping them succeed at work

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People with ADHD, autism, dyslexia say AI agents are helping them succeed at work

Neurodiverse professionals may see unique benefits from artificial intelligence tools and agents, research suggests. With AI agent creation booming in 2025, people with conditions like ADHD, autism, dyslexia and more report a more level playing field in the workplace thanks to generative AI.

A recent study from the UK’s Department for Business and Trade found that neurodiverse workers were 25% more satisfied with AI assistants and were more likely to recommend the tool than neurotypical respondents.

“Standing up and walking around during a meeting means that I’m not taking notes, but now AI can come in and synthesize the entire meeting into a transcript and pick out the top-level themes,” said Tara DeZao, senior director of product marketing at enterprise low-code platform provider Pega. DeZao, who was diagnosed with ADHD as an adult, has combination-type ADHD, which includes both inattentive symptoms (time management and executive function issues) and hyperactive symptoms (increased movement).

“I’ve white-knuckled my way through the business world,” DeZao said. “But these tools help so much.”

AI tools in the workplace run the gamut and can have hyper-specific use cases, but solutions like note takers, schedule assistants and in-house communication support are common. Generative AI happens to be particularly adept at skills like communication, time management and executive functioning, creating a built-in benefit for neurodiverse workers who’ve previously had to find ways to fit in among a work culture not built with them in mind.

Because of the skills that neurodiverse individuals can bring to the workplace — hyperfocus, creativity, empathy and niche expertise, just to name a few — some research suggests that organizations prioritizing inclusivity in this space generate nearly one-fifth higher revenue.

AI ethics and neurodiverse workers

“Investing in ethical guardrails, like those that protect and aid neurodivergent workers, is not just the right thing to do,” said Kristi Boyd, an AI specialist with the SAS data ethics practice. “It’s a smart way to make good on your organization’s AI investments.”

Boyd referred to an SAS study which found that companies investing the most in AI governance and guardrails were 1.6 times more likely to see at least double ROI on their AI investments. But Boyd highlighted three risks that companies should be aware of when implementing AI tools with neurodiverse and other individuals in mind: competing needs, unconscious bias and inappropriate disclosure.

“Different neurodiverse conditions may have conflicting needs,” Boyd said. For example, while people with dyslexia may benefit from document readers, people with bipolar disorder or other mental health neurodivergences may benefit from AI-supported scheduling to make the most of productive periods. “By acknowledging these tensions upfront, organizations can create layered accommodations or offer choice-based frameworks that balance competing needs while promoting equity and inclusion,” she explained.

Regarding AI’s unconscious biases, algorithms can (and have been) unintentionally taught to associate neurodivergence with danger, disease or negativity, as outlined in Duke University research. And even today, neurodiversity can still be met with workplace discrimination, making it important for companies to provide safe ways to use these tools without having to unwillingly publicize any individual worker diagnosis.

‘Like somebody turned on the light’

As businesses take accountability for the impact of AI tools in the workplace, Boyd says it’s important to remember to include diverse voices at all stages, implement regular audits and establish safe ways for employees to anonymously report issues.

The work to make AI deployment more equitable, including for neurodivergent people, is just getting started. The nonprofit Humane Intelligence, which focuses on deploying AI for social good, released in early October its Bias Bounty Challenge, where participants can identify biases with the goal of building “more inclusive communication platforms — especially for users with cognitive differences, sensory sensitivities or alternative communication styles.”

For example, emotion AI (when AI identifies human emotions) can help people with difficulty identifying emotions make sense of their meeting partners on video conferencing platforms like Zoom. Still, this technology requires careful attention to bias by ensuring AI agents recognize diverse communication patterns fairly and accurately, rather than embedding harmful assumptions.

DeZao said her ADHD diagnosis felt like “somebody turned on the light in a very, very dark room.”

“One of the most difficult pieces of our hyper-connected, fast world is that we’re all expected to multitask. With my form of ADHD, it’s almost impossible to multitask,” she said.

DeZao says one of AI’s most helpful features is its ability to receive instructions and do its work while the human employee can remain focused on the task at hand. “If I’m working on something and then a new request comes in over Slack or Teams, it just completely knocks me off my thought process,” she said. “Being able to take that request and then outsource it real quick and have it worked on while I continue to work [on my original task] has been a godsend.”

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