Meta Launches AI-Powered Game Creation Tools at Connect Conference, Pressuring Gaming Competitors

Meta Platforms introduced AI game development applications Horizon Create and Horizon Studio at its Connect conference, prompting gains in its own stock while pressuring rivals. The software allows users to build 2D and 3D games through natural language text prompts without coding skills. Following the announcement, Meta shares climbed more than 4.5%, while competitors Roblox and AppLovin slipped roughly 1% initially. Pressure on Roblox deepened the following day, sending its shares down 4.3% to an intraday low of $46.01 amid the emerging competitive threat and a denied motion to dismiss a child safety lawsuit.