Meta to Launch Consumer AI Agent 'Hatch' in Early September

Meta Platforms is preparing to launch its consumer AI agent, internally referred to as Hatch, within the next few weeks. This initiative is part of CEO Mark Zuckerberg's strategy to monetize the company's significant investments in artificial intelligence and reduce reliance on advertising revenue.

According to internal documents reviewed by The Information, Meta is also targeting October for the release of its new AI model, Watermelon. The company is considering a tiered subscription model for Hatch, with a premium option potentially priced at $199.99 per month, which would offer users higher usage limits.

This move comes as Meta seeks to establish a direct consumer product in the AI space, particularly as the technology industry shifts towards autonomous agents capable of performing tasks rather than merely generating responses. Currently, advertising accounts for over 97% of Meta's revenue, with the company reporting $60.8 billion in revenue for the second quarter, of which $59.4 billion came from advertising.

Hatch has been designed to work across various platforms, including DoorDash, Etsy, Reddit, Yelp, and Outlook, featuring a customizable dashboard with tools and skills developed by AI agents. Additionally, Meta is preparing a WhatsApp platform that will allow users to integrate and interact with third-party AI agents, with testing expected to begin soon.

As Meta continues to invest heavily in AI, raising its capital expenditure range for 2026 to between $130 billion and $145 billion, the effectiveness of these new products in generating revenue remains to be seen. The company is scheduled to report its third-quarter earnings on October 28, coinciding with the anticipated launch of Watermelon.