UK-based global advertising group WPP PLC (GB:WPP) has teamed up with U.S. technology company Nvidia Corp. (NASDAQ:NVDA) to leverage generative artificial intelligence for large-scale advertising production on behalf of its clients.
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Under this agreement, a new platform will be designed that will allow WPP to use AI and reduce the processing time for campaigns from weeks to minutes. The platform will create content, including images and videos, at a much faster rate.
The rapid production speed enables the swift adaptation of advertising campaigns for various markets or countries. It will also help in generating customized advertising tailored to different digital channels like YouTube or TikTok, catering to the specific user groups associated with each platform.
WPP’s CEO, Mark Read, said, “Our partnership with NVIDIA gives WPP a unique competitive advantage through an AI solution that is available to clients nowhere else in the market today.”
Overall, every industry is releasing the power of AI on a scale that was never possible earlier. WPP is headed in the right direction with this partnership, gaining a favorable position in the industry.
WPP stock gained 0.64% during its trading after the news. While Nvidia stock maintained its upward trajectory from the previous week and recorded a 2.54% gain in trading.
What is the Price Target for WPP?
According to TipRanks’ analyst consensus, WPP stock has a Moderate Buy rating. This is based on eight Buy and two Sell recommendations.
The average price target is 1,202p, which shows an upside of 37.5% on the current price level.
