Zinger Key Points
- A leading gaming stock could be pushed into the AI stocks category with an upcoming presentation.
- An event on Wednesday could highlight the AI ambitions of Roblox.
A leading gaming company is set for a talk about artificial intelligence in gaming with a leading financial services company Wednesday.
Here’s a look at what the discussion could center on.
What Happened: Shares of Roblox Corp RBLX jumped on Tuesday after news circulated of the company participating in a chat about one of the market’s hottest topics coming on Wednesday. The news came after the company highlighted its artificial intelligence ambitions earlier this year.
On Wednesday, Morgan Stanley is hosting Roblox CFO Michael Guthrie and CTO Dan Sturman to discuss artificial intelligence. The event will take place at 12 p.m. ET on Wednesday.
The event happens months after Roblox highlighted its vision for the future of creation revolving around generative artificial intelligence.
“With the advent of generative AI techniques, we are seeing an opportunity to revolutionize creation on the platform, both by augmenting Roblox Studio to make creation dramatically faster and easier, and also by enabling every user on Roblox to be a curator,” the company said in February.
The company said generative AI could be used for new content like images, audio, code, text and 3D models.
“We see an incredible opportunity to build generative AI tools and APIs focused on Roblox.”
Roblox said that generative AI tools could help “accelerate creator productivity” and “bring ideas to life.”
“We are building a platform that will enable every user to be a creator — not just those comfortable with Roblox Studio and other 3D content creation tools.”
At the Game Developers Conference, the company unveiled a new tool called Roblox Code Assist that it said will help democratize game creation.
Related Link: Roblox Shares Jump, What 3 Analysts Are Highlighting In Q1 Earnings Report
Why It’s Important: Roblox reported first-quarter revenue that beat estimates from analysts. The company saw bookings up 23% year-over-year and average daily active users up 22% year-over-year.
Roblox ended the first quarter with 66.1 million daily active users.
The conversation on AI came as Roblox recently announced a deeper push to appeal to the 17 and over crowd of gamers on its platform.
“Roblox is a platform for all ages where no matter how old people are, they can connect with friends and discover a wide range of relevant, engaging and age-appropriate experiences,” the company said.
Roblox said its fastest-growing age group is 17 to 24 years old. In 2022, 38% of Roblox's daily active users were 17 years or older.
The gaming company announced it will let creators make content available for users that are 17 or older, using age verification and parental controls to make sure every user is safe.
“Creators will be able to offer experiences for those 17 and older that feature more mature themes and storylines like in TV shows or stand-up comedy. These experiences may contain more violence, blood, or crude humor.”
Roblox also announced the new Roblox Partner Program that will grow its brand innovation and immersive advertising offerings.
Roblox stock could enter the spotlight this week with investors searching for AI-themed stocks and finding the growth the gaming company could have with the technology.
RBLX Price Action: Roblox shares were up 6.66% to $41.82 on Tuesday at market close. Shares of Roblox are up 50% year-to-date in 2023.
Read Next: Roblox Fans Rejoice! This Roblox Game Is Getting Turned Into A Television Series
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