Meta Platforms is reportedly shifting its artificial intelligence strategy from an open-source approach to a closed, monetizable model. This move marks a significant departure from the company's Llama family of open-source models. The new large language model, codenamed "Avocado," is expected next spring.

The company intends to tightly control and sell access to the new model, aligning its strategy with competitors like Google and OpenAI. This pivot follows apparent disappointment with the performance of the Llama 4 model. CEO Mark Zuckerberg is now directly involved in recruiting top AI talent as part of the internal changes.

The "Avocado" model is reportedly utilizing third-party models for training, specifically including Alibaba's Qwen model. Following the Bloomberg report, the news generated a negative market reaction. Meta's stock fell 1.2%.