Meta Platforms, Inc. operates with a mission to build community and bring the world closer together through its diverse range of products and services. The company reports its financial results in two segments: Family of Apps and Reality Labs. The Family of Apps segment includes Facebook, Instagram, Messenger, WhatsApp, and other services, generating substantially all of Meta's revenue through advertising placements **[0001326801-24-000038_meta-12312023x10karsfinal.htm:8]** **[0001326801-24-000012_meta-20231231.htm:9]** **[0001326801-24-000012_meta-20231231.htm:130]** **[META_3380477_5]**. Reality Labs focuses on the development and sale of consumer hardware products, software, and content related to virtual, augmented, and mixed reality **[META_3380477_5]** **[META_3371582_6]**. Meta's strategic investments are directed towards artificial intelligence, the metaverse, its discovery engine, monetization of products and services, regulatory readiness, and enhancing developer efficiency **[0001326801-24-000038_meta-12312023x10karsfinal.htm:8]** **[0001326801-24-000012_meta-20231231.htm:9]**.

1. **Family of Apps** - Encompasses Facebook, Instagram, Messenger, WhatsApp, and other services, generating revenue primarily through advertising placements that allow marketers to reach users across various objectives.
   - **Facebook** - A social networking platform connecting users worldwide.
   - **Instagram** - A photo and video sharing social networking service.
   - **Messenger** - A messaging app and platform.
   - **WhatsApp** - A messaging and voice over IP service.
2. **Reality Labs** - Develops and sells consumer hardware products, software, and content related to virtual, augmented, and mixed reality.

6bc1ce5d520ecfd4a5f569822e8bec70f90115ba093df5f4c8f1661f5232ea36

| Metric (Unit) | Q4 2022 | Q1 2023 | Q2 2023 | Q3 2023 | Q4 2023 | Q1 2024 | Q2 2024 | Q3 2024 |
|---------------|---------|---------|---------|---------|---------|---------|---------|---------|
| Ad Impressions Delivered [% Change] | **23%** **[META_3226404_4]** **[0001326801-23-000008_meta-12312022xexhibit991.htm:1]** | **26%** **[0001326801-23-000067_meta-20230331.htm:33]** | **34%** **[0001326801-23-000093_meta-20230630.htm:33]** **[META_3384786_4]** | **31%** **[0001326801-23-000103_meta-20230930.htm:33]** **[META_3361876_4]** **[0001326801-23-000100_meta09302023-exhibit991.htm:0]** | **21%** **[META_3371582_6]** | **20%** **[0001326801-24-000049_meta-20240331.htm:31]** | **10%** **[0001326801-24-000069_meta-20240630.htm:33]** | **7%** **[0001326801-24-000081_meta-20240930.htm:35]** **[META_3404763_3]** |
| Average Price Per Ad [% Change] | **-22%** **[0001326801-23-000008_meta-12312022xexhibit991.htm:1]** | **-17%** **[0001326801-23-000067_meta-20230331.htm:43]** **[0001326801-23-000067_meta-20230331.htm:33]** | **-16%** **[META_3255565_3]** **[0001326801-23-000089_meta06302023-exhibit991.htm:0]** | **-6%** **[META_3361876_4]** **[0001326801-23-000100_meta09302023-exhibit991.htm:0]** | **2%** **[0001326801-24-000010_meta-12312023xexhibit991.htm:1]** | **6%** **[0001326801-24-000049_meta-20240331.htm:38]** | **10%** **[0001326801-24-000069_meta-20240630.htm:41]** **[0001326801-24-000069_meta-20240630.htm:33]** | **11%** **[0001326801-24-000081_meta-20240930.htm:43]** **[0001326801-24-000081_meta-20240930.htm:35]** **[0001326801-24-000077_meta-09302024xexhibit991.htm:0]** |

4f1304bbe51d35223ff0f0aaf7655716e8f663c622e69f6c5e4f38cfc81cf1f6

Adjustments for Non-Cash Items [USD, Millions]

Stock-Based Compensation [USD, Millions]

Changes in Working Capital [USD, Millions]

Capital Expenditures (CapEx) [USD, Millions]

Proceeds from / Repayments of Debt [USD, Millions]

Share Repurchases [USD, Millions]

Dividend Payments [USD, Millions]

Net Change in Cash [USD, Millions]

3ecf4a29e1851058cc295070a82562def5ea42aeaa3785364994c57cd8dd79f6

| Metric [USD Billion] | Q4 2022 | Q1 2023 | Q2 2023 | Q3 2023 | Q4 2023 | Q1 2024 | Q2 2024 | Q3 2024 |
|----------------------|---------|---------|---------|---------|---------|---------|---------|---------|
| **Family of Apps (FoA)** | **31.4**  **[META_3226404_3]**  | **28.3**  **[0001326801-23-000067_meta-20230331.htm:32]**  | **31.7**  **[META_3384786_4]**  | **33.94**  **[0001326801-23-000103_meta-20230930.htm:12]**  | **39.04**  **[META_3371582_5]**  | **36.015**  **[META_3380477_5]**  | **38.718**  **[0001326801-24-000065_meta-06302024xexhibit991.htm:8]**  | **40.319**  **[0001326801-24-000077_meta-09302024xexhibit991.htm:8]**  |
| **Reality Labs (RL)** | **0.727**  **[META_3226404_4]**  | **0.339**  **[0001326801-23-000067_meta-20230331.htm:32]**  | **0.276**  **[META_3384786_5]**  | **0.210**  **[0001326801-23-000103_meta-20230930.htm:12]**  | **1.071**  **[META_3371582_6]**  | **0.440**  **[META_3380477_5]**  | **0.353**  **[0001326801-24-000065_meta-06302024xexhibit991.htm:8]**  | **0.270**  **[0001326801-24-000077_meta-09302024xexhibit991.htm:8]**  |
| **Total Revenue** | **32.17**  **[0001326801-23-000008_meta-12312022xexhibit991.htm:1]**  | **28.65**  **[0001326801-23-000063_meta03312023-exhibit991.htm:0]**  | **32.00**  **[META_3384786_4]**  | **34.15**  **[0001326801-23-000103_meta-20230930.htm:12]**  | **40.111**  **[META_3371582_5]**  | **36.455**  **[META_3380477_5]**  | **39.071**  **[0001326801-24-000065_meta-06302024xexhibit991.htm:8]**  | **40.589**  **[0001326801-24-000077_meta-09302024xexhibit991.htm:8]**  |

9babdb43ae351cf2d8ae47e07f8f18142bd088f2fbde02a302a2fea4edb817e5

59ebfbb9182bdc98e2cdb169291e2d99a5d6e3621d7bc5e50b56f5a19bfb8a80

1. With **Reality Labs' operating losses expected to increase meaningfully year-over-year** and no clear timeline provided for profitability, can you elaborate on when you anticipate reaching peak losses and what specific products or initiatives will drive returns in the next few years?

2. You indicated **significant capital expenditure growth in 2025** due to investments in AI infrastructure; how do you plan to balance these increased expenses with shareholder value, and what assurances can you provide that these investments will yield the expected returns?

3. Despite **Threads reaching 275 million monthly active users**, you mentioned it won't be a meaningful driver of 2025 revenue; what is the long-term monetization strategy for Threads, and how do you justify continued investment without near-term revenue contributions?

4. With the **increase in average price per ad partly due to lower impression growth in Q3**, are you concerned about stagnating impression growth, and what strategies are in place to drive both impression growth and advertiser value moving forward?

5. Given your ongoing headcount investments in strategic areas like **Generative AI and Reality Labs**, how flexible is your overall headcount strategy in light of cost growth, and how are you ensuring that these investments provide measurable ROI rather than becoming cost centers?

2b00217dc1ed76ae1959b71e8b2baa5cd0f9c0792e83a24c40dbf92f594b5762

### Q3 2024 Earnings Call
- **Issued Period**: Q3 2024
- **Guided Period**: Q4 2024 and FY 2024
- **Guidance**:
  1. **Revenue Guidance**: Fourth Quarter 2024 Total Revenue expected to be **$45 billion to $48 billion**  **[META_3404763_6]** .
  2. **Expense Guidance**: Full Year 2024 Total Expenses expected to be **$96 billion to $98 billion**  **[META_3404763_6]** .
  3. **Capital Expenditure (CapEx) Guidance**: Full Year 2024 Capital Expenditures expected to be **$38 billion to $40 billion**  **[META_3404763_6]** .
  4. **Tax Rate Guidance**: Fourth Quarter 2024 Tax Rate expected to be in the **low teens**  **[META_3404763_6]** .
  5. **Reality Labs Operating Losses**: 2024 Operating Losses for Reality Labs expected to increase meaningfully year-over-year  **[META_3404763_6]** .

### Q2 2024 Earnings Call
- **Issued Period**: Q2 2024
- **Guided Period**: Q3 2024 and FY 2024
- **Guidance**:
  1. **Revenue Outlook**: Third Quarter 2024 Total Revenue expected to be **$38.5 billion to $41 billion**  **[META_3395360_7]** .
  2. **Expense Outlook**: Full Year 2024 Total Expenses expected to be **$96 billion**  **[META_3395360_7]** .
  3. **Capital Expenditures (CapEx)**: Full Year 2024 Capital Expenditures expected to be **$37 billion to $40 billion**  **[META_3395360_7]** .
  4. **Tax Rate**: Full Year 2024 Tax Rate expected to be in the **mid-teens**  **[META_3395360_7]** .

### Q1 2024 Earnings Call
- **Issued Period**: Q1 2024
- **Guided Period**: Q2 2024 and FY 2024
- **Guidance**:
  1. **Revenue Outlook**: Second Quarter 2024 Total Revenue expected to be **$36.5 billion to $39 billion**  **[META_3380477_7]** .
  2. **Expense Outlook**: Full Year 2024 Total Expenses expected to be **$96 billion to $99 billion**  **[META_3380477_7]** .
  3. **Capital Expenditures (CapEx) Outlook**: Full Year 2024 Capital Expenditures expected to be **$35 billion to $40 billion**  **[META_3380477_7]** .
  4. **Tax Rate**: Full Year 2024 Tax Rate expected to be in the **mid-teens**  **[META_3380477_7]** .
  5. **Reality Labs**: Operating losses expected to increase meaningfully year-over-year  **[META_3380477_7]** .

### Q4 2023 Earnings Call
- **Issued Period**: Q4 2023
- **Guided Period**: Q1 2024
- **Guidance**:
  1. **Revenue Outlook**: First Quarter 2024 Total Revenue expected to be **$34.5 billion to $37 billion**  **[META_3371582_8]** .
  2. **Expense Outlook**: Full Year 2024 Total Expenses expected to be **$94 billion to $99 billion**  **[META_3371582_8]** .
  3. **Capital Expenditures (CapEx) Outlook**: Full Year 2024 Capital Expenditures expected to be **$30 billion to $37 billion**  **[META_3371582_8]** .
  4. **Tax Rate**: Full Year 2024 Tax Rate expected to be in the **mid-teens**  **[META_3371582_8]** .

af686c13e381a9f9104f5fd49082e4dd9f5d87a94aa6c9c499557bbf9c3644db

202af8ad18e344fd792e47ddbf9815e9e117ccd5f61b296f6e48bbdceddf29a4

a49f3a7d54448c59f52a188d5fdb0a93c03eff3b7a2d4d1d6b32eae75806c42c

United States and Canada

- United States

Europe

Asia-Pacific

- China

Rest of World

Total Revenue

576f10c7f9cdc5bc747ce91d4e33bbb33f54e2e1dadaa7d30c33a45530468e7d

Ad Impressions Delivered [% Change]

Average Price Per Ad [% Change]

1c409a04e6908cddb6d35bcde29dcf8fb90a1e64e38539d7c9a419669d763f34

Family of Apps

Reality Labs

Advertising

Payments and Other Fees

Other Revenue

8b507136fc387b5a0883d93f4b7cf373317c71c98d2006206250bf67bd953764

41ce42dc138eeb21220daba5da4f9405ae158d6f4d23c28e2578d76023dc0a29

| Name               | Position                        | Start Date | Short Bio                                                                                                                                                                                                 |
|--------------------|---------------------------------|------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| Mark Zuckerberg    | Founder, Chairman, and CEO      | N/A        | Mark Zuckerberg is the **Founder, Chairman, and Chief Executive Officer** of Meta Platforms, Inc. He signed the company's Annual Report on Form 10-K as the Board Chair and CEO on **February 1, 2024**  **[0001326801-24-000038_meta-12312023x10karsfinal.htm:166]** .                                    |
| Javier Olivan      | Chief Operating Officer         | 2022       | **Javier Olivan** is the Chief Operating Officer at Meta Platforms, Inc., a position he has held since **2022**. He previously served in various roles at Meta, including Chief Growth Officer & Vice President, Cross-Meta Products and Infrastructure  **[0001326801-24-000022_meta-20240329.htm:19]** **[0001326801-24-000034_meta-20240418.htm:19]** **[0001326801-23-000050_meta-20230414.htm:13]** . |
| Nick Clegg         | President, Global Affairs       | 2022       | **Nick Clegg** is the **President of Global Affairs** at Meta Platforms, Inc. since **2022**. He was previously the Vice President of Global Affairs and Communications from **2018 to 2022**  **[0001326801-24-000022_meta-20240329.htm:19]** **[0001326801-24-000034_meta-20240418.htm:19]** **[0001326801-23-000050_meta-20230414.htm:14]** .                                         |
| Susan Li           | Chief Financial Officer         | 2022       | **Susan Li** is the Chief Financial Officer of Meta Platforms, Inc., a position she has held since **2022**. She was previously Vice President of Finance from 2016 to 2022  **[0001326801-24-000022_meta-20240329.htm:19]** **[0001326801-24-000034_meta-20240418.htm:19]** **[0001326801-23-000050_meta-20230414.htm:14]** .                                                          |
| Andrew Bosworth    | Chief Technology Officer        | 2022       | Andrew Bosworth is the **Chief Technology Officer** at Meta Platforms, Inc., a position he has held since **2022**. He was previously Vice President of Reality Labs from **2017 to 2022**  **[0001326801-24-000022_meta-20240329.htm:19]** **[0001326801-24-000034_meta-20240418.htm:19]** .                                              |
| Christopher K. Cox | Chief Product Officer           | 2020       | Christopher K. Cox is the **Chief Product Officer** at Meta Platforms, Inc. He resumed this role in **2020** after serving from **2014 to 2019**  **[0001326801-23-000050_meta-20230414.htm:14]** **[0001326801-24-000022_meta-20240329.htm:20]** **[0001326801-24-000034_meta-20240418.htm:20]** .                                                                                    |
| Jennifer G. Newstead| Chief Legal Officer            | 2021       | Jennifer G. Newstead is the **Chief Legal Officer** at Meta Platforms, Inc., a position she has held since **2021**. She was previously Vice President and General Counsel from **2019 to 2021**  **[0001326801-23-000050_meta-20230414.htm:14]** **[0001326801-24-000022_meta-20240329.htm:20]** .                                        |

a1942298d52d8b5c09cbad011f991de10427527a9a21a50d1d414002028313f4

| Program Details          | Program 1          |
|--------------------------|--------------------|
| Approval Date            | **November 18, 2016**  **[0001326801-24-000081_meta-20240930.htm:29]** **[0001326801-24-000081_meta-20240930.htm:127]**  |
| End Date/Duration        | **No expiration date**  **[0001326801-24-000081_meta-20240930.htm:29]** **[0001326801-24-000081_meta-20240930.htm:102]**  |
| Total additional amount  | **$50 billion**  **[0001326801-24-000081_meta-20240930.htm:29]** **[0001326801-24-000081_meta-20240930.htm:127]**  |
| Remaining authorization amount | **$51.28 billion**  **[0001326801-24-000081_meta-20240930.htm:29]** **[0001326801-24-000081_meta-20240930.htm:49]**  |
| Details                  | Additional authorization of **$50 billion** made in **January 2024**.  **[0001326801-24-000081_meta-20240930.htm:29]** **[0001326801-24-000081_meta-20240930.htm:127]**  |

0b4d4e54c11aa9464a9c97aa1cb8858075febae61b78ff20c364d4e49cbca3c9

**Quarterly guidance for Q4 2024:**
- **Revenue**: $45 billion to $48 billion  **[META_3404763_6]**  (raised from $38.5 billion to $41 billion  **[META_3395360_7]** )  
- **Tax Rate**: low teens  **[META_3404763_6]**  (no prior guidance)

**Annual guidance for FY 2024:**
- **Total Expenses**: $96 billion to $98 billion  **[META_3404763_6]**  (raised from $96 billion  **[META_3395360_7]** )  
- **Capital Expenditures**: $38 billion to $40 billion  **[META_3404763_6]**  (raised from $37 billion to $40 billion  **[META_3395360_7]** )  
- **Reality Labs Operating Losses**: expected to increase meaningfully year-over-year  **[META_3404763_6]**  (no prior guidance)

28f797b9554859174e34e2a80abd4bfb36035308182fc9d6b75bdf614a36aa0b

| Name              | Start Date | End Date | Reason for Change |
|-------------------|------------|----------|-------------------|
| Ernst & Young LLP | 2007  **[0001326801-24-000012_meta-20231231.htm:122]**  | Present  | Current auditor   |

cc47217de55011c2d99d01a40e4187e94587f9d40113c82f2af02d057692e061

4a3415e16afa052444ffb4b0f8ac1bd4c056dc4a923f5359940de4675092e39c

4369d0117b35804408c60a4193999aeeb2f16103a0050ff83e14ff62114ac12a

- Meta's significant investment in AI, including the upcoming **Llama 4** release, is expected to enhance user experience and create future monetization opportunities. CEO Mark Zuckerberg expressed excitement about **Meta AI** becoming a "highly intelligent and personalized assistant" that could reach over **1 billion people**.  **[META_3413658_8]**  He also mentioned the development of AI agents capable of performing complex tasks, which could "enhance user engagement and create future monetization opportunities."  **[META_3413658_15]**
- Meta is seeing **strong advertiser demand**, with no noticeable impact from content policy changes on advertiser spend. The company continues to invest in **AI-powered tools** that help businesses maximize the value of their ad spend, which is expected to drive revenue growth. CFO Susan Li stated that they "believe we'll continue to get better at driving conversions for advertisers," leading to higher-value impressions and benefiting pricing overall.  **[META_3413658_11]** **[META_3413658_10]**
- Meta's investment in custom silicon through the **MTIA program** aims to optimize compute efficiency and reduce costs over time. By developing in-house silicon for unique workloads, Meta expects to achieve "**greater compute efficiency and performance per cost and power**," providing a strategic advantage in AI infrastructure.  **[META_3413658_8]** **[META_3413658_12]**

423a1a49a943bc4a31a34fa7f843a57856c063868fdc2fd76a3749ebedbbaa54

- **Delayed monetization of AI initiatives:** Meta's AI products, including Meta AI and Llama 4, are expected to reach a large scale, but significant contributions to the business are anticipated outside of 2025. Mark Zuckerberg stated that "the actual business opportunity for Meta AI...remains outside of '25, for the most part," which may impact near-term revenue growth.  **[META_3413658_15]**
- **Significant increase in capital expenditures with uncertain returns:** Meta plans to spend **$60 billion to $65 billion** on capital expenditures in 2025, primarily on servers and AI infrastructure. However, management acknowledges it is "too early to determine what long-run capital intensity is going to look like," indicating uncertainty about future returns on these investments.  **[META_3413658_12]** **[META_3413658_14]**
- **Rising operating expenses and headcount growth:** Employee compensation is expected to be the next largest driver of expense growth in 2025 due to hiring in technical areas like infrastructure and AI. This increased expense may impact profitability, especially as they are "focused on running the company efficiently" but need to "staff those priority areas."  **[META_3413658_14]**

39f5bbfe865df1242cc2b7ee37e513641572970afb1d501c25e5b96744309b0b

1. **CapEx and Investment Guidance**  
   **Q:** How will CapEx plans impact investment over time?  
   **A:** Susan Li explained that **2025 CapEx will grow** across servers, data centers, and networking, with servers being the largest growth driver.  **[META_3413658_12]**  They expect **$60-65 billion** in CapEx for 2025.  **[META_3413658_12]**  Investments are focused on AI capacity to support generative AI and core AI efforts, as well as non-AI capacity for the core business.  **[META_3413658_12]**  Mark Zuckerberg mentioned it's too early to determine long-run capital intensity, given factors like model advancements and hardware innovations.  **[META_3413658_12]**  They remain committed to building leading foundation models and making significant investments in training and inference.  **[META_3413658_12]** 

2. **Monetization of Meta AI**  
   **Q:** How will Meta monetize Meta AI over time?  
   **A:** Susan Li stated that their initial focus for Meta AI is **building a great consumer experience**.  **[META_3413658_11]**  Monetization opportunities like paid recommendations and premium offerings are clear but not the current focus.  **[META_3413658_11]**  Mark Zuckerberg added that while monetization remains **outside of 2025**, they typically scale products to over **a billion people** before focusing on monetization.  **[META_3413658_15]**  He emphasized that this year is about scaling AI products, with business opportunities emerging beyond 2025.  **[META_3413658_15]** 

3. **Open Source Strategy and Competition**  
   **Q:** How does competition from DeepSeek impact Meta's open source strategy?  
   **A:** Mark Zuckerberg believes innovations from competitors like DeepSeek contribute to the field, and Meta will incorporate advances into their own systems.  **[META_3413658_12]**  He underscored that investing heavily in **infrastructure and CapEx** remains a strategic advantage.  **[META_3413658_12]**  Regarding open source, as Llama becomes more widely used, it drives down costs and improves performance due to industry standardization.  **[META_3413658_9]** 

4. **Return to "OG Facebook"**  
   **Q:** How will Facebook focus on original features to boost engagement?  
   **A:** Mark Zuckerberg is excited about making Facebook more culturally influential by focusing on product areas reminiscent of how Facebook was originally used.  **[META_3413658_13]**  He plans to invest time and possibly make trade-offs to prioritize these initiatives, with more details to come over the next year.  **[META_3413658_13]** 

5. **Content Policy Changes Impact**  
   **Q:** Will policy changes affect user engagement and advertising?  
   **A:** Mark Zuckerberg clarified that despite changes like adopting the Community Notes system, their commitment to adding context to misinformation remains.  **[META_3413658_11]**  Susan Li added they haven't seen any noticeable impact on advertiser spend due to content policy changes.  **[META_3413658_11]**  They continue to see strong advertiser demand, particularly for **AI-powered tools**.  **[META_3413658_11]** 

6. **Custom Silicon vs. Third-Party Chips**  
   **Q:** What are the benefits of Meta's custom silicon?  
   **A:** Susan Li explained that custom silicon allows for optimizing the full stack for greater compute efficiency and performance per cost and power.  **[META_3413658_8]**  While they continue to purchase third-party silicon, the **in-house MTIA program** supports core ranking and recommendation inference workloads.  **[META_3413658_8]**  They started adopting MTIA in the first half of **2024** and plan to expand its use over **2025**.  **[META_3413658_8]** 

7. **Smart Glasses and Meta AI**  
   **Q:** Are smart glasses better for Meta AI assistant?  
   **A:** Mark Zuckerberg believes that glasses are the ideal form factor for an AI device because they can **see what users see and hear what they hear**, providing valuable context.  **[META_3413658_10]**  He is optimistic about glasses becoming a major computing platform, noting the success of **Ray-Ban Meta** glasses is encouraging.  **[META_3413658_10]** 

8. **Hiring Plans and Future Needs**  
   **Q:** How should we think about future hiring needs?  
   **A:** Susan Li stated that growth in employee compensation and headcount is driven by areas like infrastructure, monetization, generative AI, Reality Labs, and compliance.  **[META_3413658_14]**  They focus on technical roles with higher costs and aim to efficiently staff priority areas to position for success.  **[META_3413658_14]**  They are committed to running the company efficiently while investing where necessary.  **[META_3413658_14]** 

a6e50bc8de0bbf3abf2085d4105fc7a633d4b2fb714df3d150a0aaf3d12a0637

META plans $60–$65B in 2025 CapEx to power AI and infrastructure, aiming to reach 1B+ users with upcoming Llama 4 and Meta AI. Yet monetization remains largely post-2025, risking near-term profit pressures. Strong ad demand persists, but rising costs bear watching.

c1adc47583131a5d6033ca53a575156679ed4b40376277f798a4a2e951c3ad57

1355726e3bccfadd86bf76d344fcc315d81cafeafc30808e76a104d211f90bba

**Quarterly guidance for Q1 2025:**
- **Revenue**: $39.5B – $41.8B  **[META_3413658_6]**  (lower from $45B – $48B  **[META_3404763_6]** )  
- **Revenue YoY growth**: 8% – 15%  **[META_3413658_6]**  (no prior guidance)  
- **Revenue YoY growth (constant currency)**: 11% – 18%  **[META_3413658_6]**  (no prior guidance)

**Annual guidance for FY 2025:**
- **Total expenses**: $114B – $119B  **[META_3413658_6]**  (raised from $96B – $98B  **[META_3404763_6]** )  
- **CapEx**: $60B – $65B  **[META_3413658_7]** **[META_3413658_12]**  (raised from $38B – $40B  **[META_3404763_6]** )  
- **Tax rate**: 12% – 15%  **[META_3413658_7]**  (no prior guidance)

df82822e7167d162d76ade8efdc5d2a5f5d85914a9cb2ce740115f2c9027d0cc

16e3e8e5bb997fd28c2e211884b3676667ae870d42f838e898bdcb59ae7a505f

- Total Revenue: $48,386 million (+21% YoY)  **[0001326801-24-000012_meta-20231231.htm:140]** **[0001326801-25-000014_meta-12312024xexhibit991.htm:8]**   
- Family of Apps: $47,303 million (+21% YoY)  **[0001326801-24-000012_meta-20231231.htm:140]** **[0001326801-25-000014_meta-12312024xexhibit991.htm:8]**   
- Advertising: $46,784 million (+21% YoY)  **[0001326801-24-000012_meta-20231231.htm:140]** **[0001326801-25-000014_meta-12312024xexhibit991.htm:8]**   
- Other Revenue: **$519 million (+55% YoY)**  **[0001326801-24-000012_meta-20231231.htm:140]** **[0001326801-25-000014_meta-12312024xexhibit991.htm:8]**   
- United States & Canada: $19,302 million (+20% YoY)  **[0001326801-24-000012_meta-20231231.htm:140]** **[0001326801-25-000017_meta-20241231.htm:148]**   
- Europe: $11,599 million (+24% YoY)  **[0001326801-24-000012_meta-20231231.htm:140]** **[0001326801-25-000017_meta-20241231.htm:148]**   
- Asia-Pacific: $12,487 million (+19% YoY)  **[0001326801-24-000012_meta-20231231.htm:140]** **[0001326801-25-000017_meta-20241231.htm:148]**   
- Rest of World: $4,998 million (+22% YoY)  **[0001326801-24-000012_meta-20231231.htm:140]** **[0001326801-25-000017_meta-20241231.htm:148]**   
- Net Income: **$20,838 million (+49% YoY)**  **[0001326801-24-000012_meta-20231231.htm:125]** **[0001326801-25-000014_meta-12312024xexhibit991.htm:4]** **[0001326801-25-000014_meta-12312024xexhibit991.htm:6]** **[0001326801-25-000014_meta-12312024xexhibit991.htm:0]**   
- Diluted EPS: **$8.02 (+51% YoY)**  **[0001326801-24-000012_meta-20231231.htm:125]** **[0001326801-25-000014_meta-12312024xexhibit991.htm:4]** **[0001326801-25-000014_meta-12312024xexhibit991.htm:0]**   

cb83edd6dbd692bfe7141b852b263c156828c601939da118d3b854f43a1ef358

Family daily active people (billions)

Family daily active people year-over-year growth (percent)

Ad impressions delivered across our Family of Apps year-over-year growth (percent)

Average price per ad year-over-year growth (percent)

Headcount (count)

Headcount year-over-year growth (percent)

d9118fc295616799cf606a592d786963d0572ca956fb630ea6f0113f79da54f1

78b1284ee416c71a8b23b9bf7d83eaa0e63982af764acf8f5d403732dc6c7258

1. **AI Investments and CapEx Growth**  
   **Q:** What's the outlook for AI investments and CapEx growth?  
   **A:** Mark highlighted that AI is broadly applicable across their products, requiring significant investment in infrastructure. He expects to continue investing significantly, proud of teams building capacity, even as expenses grow.  **[META_3404763_11]**  Susan mentioned that the expected step-up in Q4 CapEx comes from increases in server spend, with significant infrastructure investment growth anticipated again in 2025.  **[META_3404763_9]** 

2. **Headcount and Cost Flexibility**  
   **Q:** How flexible is headcount amid cost growth?  
   **A:** Susan stated they are evaluating opportunities for investment with a focus on measurable ROI, including in Gen AI and Reality Labs. They are still working through their 2025 budget, focusing on streamlining operations and efficiency efforts.  **[META_3404763_7]** **[META_3404763_10]** 

3. **Reality Labs Losses**  
   **Q:** Are we approaching peak losses in Reality Labs?  
   **A:** Susan noted they aren't sharing expectations beyond 2024, but Reality Labs remains a strategic long-term priority with significant investment expected as they build towards their ambitious product roadmap.  **[META_3404763_14]** 

4. **Meta AI Monetization Plans**  
   **Q:** Any plans to monetize Meta AI with ads?  
   **A:** Susan explained they are currently focused on making Meta AI engaging for users. Over time, they anticipate monetization opportunities as queries broaden, but for now, the focus is on the consumer experience.  **[META_3404763_14]** 

5. **Productivity Gains from AI**  
   **Q:** Are you seeing productivity gains from AI internally?  
   **A:** Susan mentioned they are excited about using AI to increase internal productivity, particularly in coding with their internal assistant and coding agent. They are exploring LLM-based tools across various work streams to improve efficiency.  **[META_3404763_10]** 

6. **Threads Growth and Monetization**  
   **Q:** How will Threads evolve and monetize over time?  
   **A:** Susan reported strong user growth in Threads, reaching **275 million** monthly active users, with engagement increasing.  **[META_3404763_12]**  They are focused on adding features and improving functionality but don't expect Threads to be a meaningful revenue driver in 2025.  **[META_3404763_12]** 

7. **WhatsApp Monetization**  
   **Q:** What's the status and potential of WhatsApp monetization?  
   **A:** Susan stated that click-to-message ads are the primary focus, with strong growth in click-to-WhatsApp ads, especially in markets like Brazil.  **[META_3404763_15]**  Paid messaging continues to grow at a strong pace, driving **48%** growth in their Family of Apps other revenue line in Q3.  **[META_3404763_15]** 

8. **Ads Pricing Dynamics**  
   **Q:** What's driving the 11% increase in ad pricing?  
   **A:** Susan explained that the **11%** year-over-year growth in price per ad was driven by strong advertiser demand and better ad performance. CPM growth accelerated slightly from **10%** in Q2 due to lower impression growth in Q3.  **[META_3404763_12]** 

9. **Third-Party AI Applications and Meta's Role**  
   **Q:** When will we see more consumer AI applications?  
   **A:** Mark expects developers will build many consumer products using Llama. Meta is working on products like Meta AI, AI Studio, and Business AIs, seeing significant opportunity in AI-generated content enhancing user feeds over the next several years.  **[META_3404763_13]** 

10. **Macro Events Impact on Revenue**  
    **Q:** Did major events boost ad revenue this year?  
    **A:** Susan noted that events like the Olympics historically haven't had a meaningful impact on revenue, and that was largely the case this year. Growth is expected to continue benefiting from healthy global advertising demand.  **[META_3404763_15]** 

e2c993e463c911aa2fc98a8d2a2d0424261ce0812968927d489c7513e5294fe7

1. **CapEx Outlook and Returns**  
   **Q:** How will significant AI CapEx investments impact returns?  
   **A:** We expect to significantly increase our AI infrastructure investments in **2025**, focusing on building it flexibly to deploy across core AI and generative AI use cases as needed. While core AI investments are delivering strong returns through improved engagement and ad performance, generative AI is in earlier stages. We don't expect generative AI products to contribute meaningfully to revenue in **2024**, but they will open new revenue opportunities over time, enabling solid returns on our investments.  **[META_3395360_8]** **[META_3395360_11]** **[META_3395360_16]** 

2. **Revenue Guidance and Ad Market**  
   **Q:** What's the outlook for revenue growth and the ad market?  
   **A:** We're seeing healthy global advertising demand and delivering ongoing ad performance improvements, which we expect to benefit ad spend in **Q3**. However, we anticipate year-over-year growth to slow due to lapping strong growth from China-based advertisers and Reels impressions from a year ago, as well as modestly larger FX headwinds.  **[META_3395360_9]** **[META_3395360_11]** 

3. **Monetization of Threads and WhatsApp**  
   **Q:** How do you view monetizing Threads and WhatsApp?  
   **A:** Threads reached almost **200 million** users, but scaling to **1 billion** will take years, and monetization will follow thereafter. We're excited about this rare opportunity. For WhatsApp, particularly in the U.S., increased usage is significant since the U.S. accounts for a large portion of our revenue, presenting a substantial business opportunity over time.  **[META_3395360_10]** 

4. **AI's Impact on Future Business**  
   **Q:** Which AI use cases will drive business in '25 and '26?  
   **A:** The primary drivers will be AI enhancements to existing products, improving content recommendations and advertising effectiveness. New initiatives like Meta AI and AI Studio will boost engagement soon, but their monetization is expected to be years away.  **[META_3395360_8]** 

5. **Marketplace Monetization and Headcount**  
   **Q:** What are plans for Marketplace and headcount growth?  
   **A:** Marketplace is key in our commerce strategy to create the best shopping experience. We're pleased with strong year-over-year growth in Shops ads revenue. Regarding headcount, we expect to end **2024** with numbers meaningfully higher than **2023**, focusing hiring on priority areas while maintaining disciplined processes.  **[META_3395360_13]** 

6. **CapEx Planning for Llama Models**  
   **Q:** How does building for Llama models influence CapEx?  
   **A:** Infrastructure planning is dynamic as we define the scope of generative AI roadmaps. We're constructing data centers with long-term flexibility, considering capacity for training future Llama generations and supporting uses like inference, core ads, and content ranking.  **[META_3395360_11]** **[META_3395360_16]** 

7. **U.S. Young Adult User Growth**  
   **Q:** Can you quantify young adult usage growth?  
   **A:** We've seen healthy growth in young adult app usage in the U.S. and Canada over several quarters, with particular traction in Groups and Marketplace. Posting to Groups has been boosted mainly by young adults, and they're active users of Marketplace.  **[META_3395360_12]** 

8. **Llama 3.1 and Enterprise Services**  
   **Q:** How will Llama 3.1 support enterprise services?  
   **A:** Llama is an open-source foundation model that developers can shape into diverse products. By open-sourcing, we foster an ecosystem enhancing our infrastructure. We're focusing on business applications like AI agents, enabling businesses to quickly deploy agents for customer interaction and support.  **[META_3395360_14]** **[META_3395360_15]** 

9. **Ray-Ban Partnership Opportunities**  
   **Q:** How will you deepen the Ray-Ban partnership?  
   **A:** The second-generation Ray-Ban Meta glasses are exceeding expectations. We aim to partner with EssilorLuxottica to build new generations of glasses, integrating AI functionalities and improving the product further. There's a lot more to come, and all signs are good.  **[META_3395360_14]** 

10. **Future AI Roadmap Beyond Assistants**  
    **Q:** What other AI areas are in the 5-year roadmap?  
    **A:** We're planning future Llama models with capabilities to support broad utility in products like Meta AI, enabling businesses and individuals to create AI agents. This includes integrating AI into products like real-time, multimodal glasses to enhance content discovery and interaction.  **[META_3395360_16]** 

0f8fe837af81de5d52c7f941b83b5f84ed78eade50fa82f4426baa1ea5dbca01

- **Meta expects significant increases in capital expenditures (CapEx) for AI infrastructure over the coming years**, which will precede revenue generation from these initiatives, potentially impacting profitability in the near term. They anticipate **full year 2024 CapEx to be in the range of $35 billion to $40 billion**, increased from the prior range of $30 billion to $37 billion. (**[META_3380477_7]**, **[META_3380477_2]**, **[META_3380477_8]**)
- **Reality Labs operating losses are expected to increase meaningfully year-over-year** due to ongoing product development efforts and investments to further scale the ecosystem, suggesting continued profitability challenges in this segment. (**[META_3380477_7]**, **[META_3380477_12]**)
- Meta is **facing increased legal expenses**, with **G&A expenses increasing by 20%** in Q1 due to higher legal-related expenses. They **recognized accruals related to ongoing legal matters** in Q1, and are **not providing full year 2024 revenue guidance**, indicating potential uncertainties ahead. (**[META_3380477_5]**, **[META_3380477_14]**, **[META_3380477_11]**)

7de703f671ded793a9e69e65d59177531cc23f8318007154d7576ef520dfbc7d

- **Strong Growth in Business Messaging**: Meta's **click-to-message ads revenue grew strongly in Q4**, with broad advertiser adoption and enhanced optimization leading to **strong growth in purchase optimization revenue**.  **[META_3371582_12]**  Paid messaging is also gaining momentum, with **good results from the updated pricing model** and a focus on making paid messaging easier to buy.  **[META_3371582_12]**
- **Advancements in AI Driving Ad Performance**: Meta continues to **leverage AI across its ad systems**, delivering **continued performance gains from ranking improvements** and adopting **larger and more advanced models**.  **[META_3371582_9]**  The **Advantage+ portfolio** helps advertisers automate campaigns, contributing to the **inflection in advertising growth**.  **[META_3371582_9]**
- **Success in Shops Ads and Online Commerce**: Meta's **Shops ads crossed a $2 billion annual run rate in Q4**, reflecting strong momentum in the **online commerce vertical**, one of Meta's strongest sectors.  **[META_3371582_11]**

e1f72796afa124a3638300267898f7866ef32bdeef25dbaece85fd5fbfd1d29d

- **Meta is increasingly optimistic about its AI capabilities**, with CEO Mark Zuckerberg stating they can build leading AI models and be the **leading AI company in the world**, opening up additional opportunities beyond social and commerce products.  **[META_3380477_2]**
- **Core AI work is driving strong returns**, improving engagement and ad performance, while **strategic bets in AI** are expected to create significant long-term value. Meta is enabling businesses to set up AIs for business messaging, aiming to **dramatically reduce costs** and open new revenue streams.  **[META_3380477_2]** **[META_3380477_11]** **[META_3380477_10]** **[META_3380477_15]** **[META_3380477_9]**
- **Advancements in AI are improving recommendation systems and ad models**, leading to increased user engagement and better ad performance. Deploying a new model architecture for Facebook Reels resulted in an **8-10% increase in watch time**, and **conversions grew at a faster rate than impressions**, driving revenue growth.  **[META_3380477_2]** **[META_3380477_3]** **[META_3380477_9]**

2f3664dd084807c2bfa59eed2c5ed4b48ed195b2eed32f5911085b267e6ce2ee

- Meta expects a **slowing in year-over-year revenue growth in Q3 2024** due to tough comparisons from strong growth in China-based advertisers and Reels impressions in the prior year, as well as modestly larger FX headwinds.  **[META_3395360_7]** **[META_3395360_9]**
- The company anticipates **significant capital expenditure (CapEx) growth in 2025**, driven by investments in AI infrastructure and future foundation models, which may pressure free cash flow and profitability. **Uncertainty remains regarding the return on these investments**, especially since **generative AI products are not expected to be meaningful revenue drivers in 2024**.  **[META_3395360_7]** **[META_3395360_6]** **[META_3395360_11]**
- Meta is facing **increasing legal and regulatory headwinds in the EU and the U.S.**, which could significantly impact its business and financial results, adding **uncertainty and potential risks** to the company's operations.  **[META_3395360_7]**

3dcde4b08a1d4711115d8cdc888c43bbbf2a7dbbd7da1a90d97531ac83e3fd76

- **Meta's AI initiatives are driving significant engagement and revenue growth**, with **Meta AI now having over 500 million monthly active users** and improvements to AI-driven feed and video recommendations leading to an **8% increase in time spent on Facebook and a 6% increase on Instagram this year alone**.  **[META_3404763_1]**
- **Over 1 million advertisers used Meta's Generative AI tools to create more than 15 million ads in the last month**, resulting in businesses seeing a **7% increase in conversions**, demonstrating the effectiveness of AI in enhancing advertising performance.  **[META_3404763_1]**
- **Meta's advancements in AI technologies like Llama** position the company as a leader in the AI space, with the upcoming **Llama 4 models** expected to bring new capabilities and **strengthen Meta's competitive advantage in AI development**.  **[META_3404763_1]**

c128030d483061f3b1ca63a3667d80596fe4d190db0c507c6f73b542ac51f74d

- **Increasing capital expenditures for AI and data center investments may pressure future profitability**, as Meta expects full-year 2024 capital expenditures to be between $30 billion and $37 billion, a $2 billion increase from the high end of their prior range, reflecting evolving AI capacity demands and potential ongoing growth in infrastructure investments beyond 2024.  **[META_3371582_6]** **[META_3371582_10]**
- **Reality Labs continues to incur significant operating losses, which are expected to increase meaningfully in 2024**, due to ongoing product development efforts in AR/VR and investments to scale their ecosystem. In Q4, Reality Labs operating loss was $4.6 billion.  **[META_3371582_6]**
- **Regulatory and legal headwinds pose significant risks to Meta's business and financial results**, including the FTC seeking to modify the existing consent order, which could adversely impact operations if the company is unsuccessful in contesting these matters.  **[META_3371582_8]**

6c768648fe850a16b776d46eb4d760f9bcb43e602f05328683a2575820045942

- **Reality Labs continues to incur significant losses**, with operating losses reaching **$4.4 billion** in Q3 2024, driven by higher headcount-related expenses and infrastructure costs  **[META_3404763_4]** . Concerns remain about the ongoing investments without a clear path to profitability  **[META_3404763_14]** **[META_3404763_8]** .
- **Capital expenditures are expected to increase significantly**, with a **step-up in Q4 CapEx** due to increases in server spend and data center CapEx  **[META_3404763_9]** **[META_3404763_4]** . Continued investment in AI infrastructure could pressure future profitability.
- **Uncertainty around headcount growth and cost management**, as Meta is evaluating opportunities to invest in strategic priorities like Gen AI and Reality Labs in 2025, potentially leading to increased expenses without clear ROI timelines  **[META_3404763_7]** **[META_3404763_10]** .

9339968ea736ef014dbfc45dc2f4249b932c1ed634b0d703602c8de0983d1ff5

1. **Increased AI Investment**  
   **Q:** What's changed most in your business outlook, and is the AI opportunity requiring more investment?  
   **A:** Mark Zuckerberg noted that they've become more optimistic and ambitious about AI. Previously, they were excited about building good AI models for social and commerce products, but now they believe they can build leading AI models and become a **leading AI company**.  **[META_3380477_11]**  This success encourages them to invest more to stay at the forefront of AI technology, even as they scale products before they start generating revenue.  **[META_3380477_11]** 

2. **Capital Allocation & ROI**  
   **Q:** How do you view returns on capital and the capital spent over the next few years?  
   **A:** Susan Li explained that they're measuring ROI on AI investments by categorizing them into core AI work and strategic bets. The **core AI work continues to show strong returns**, improving engagement and ad performance that translate into revenue gains.  **[META_3380477_12]**  Strategic bets like generative AI are earlier in the return curve, requiring investment ahead of revenue generation. They're building systems with flexibility to allocate capacity across different use cases as opportunities arise.  **[META_3380477_12]** 

3. **Reels Monetization Growth**  
   **Q:** With Reels taking a large share of time spent, what's the next leg of monetization growth?  
   **A:** Susan Li stated that Reels revenue continued to grow across Instagram and Facebook, driven by higher engagement and increased monetization efficiency.  **[META_3380477_10]**  They see opportunities to **improve performance and grow supply**, investing in ranking improvements and optimizing ads to feel more native to Reels.  **[META_3380477_10]**  Despite increased ad loads, Reels' ad load remains lower than Feed and Stories, offering room for thoughtful growth.  **[META_3380477_10]** 

4. **China Advertiser Contribution**  
   **Q:** How is spend from China-based advertisers trending?  
   **A:** Susan Li reported that growth in spend from China advertisers remained strong, driven by online commerce and gaming.  **[META_3380477_10]**  This contributed to the Asia Pacific Advertisers segment being the **fastest-growing region at 41% year-over-year in Q1**.  **[META_3380477_10]**  While they saw strength across other geographies, they expect to lap periods of strong demand over the course of 2024 due to the prior recovery of China-based advertisers.  **[META_3380477_10]** 

5. **Impact of TikTok Ban**  
   **Q:** How could a TikTok ban affect the U.S. social media landscape and Meta in particular?  
   **A:** Susan Li commented that they're closely following events related to TikTok but believe it's **too early to assess the impact** or what it would mean for Meta's business.  **[META_3380477_13]** 

6. **Advantage+ Adoption**  
   **Q:** How significant is Advantage+ in terms of platform spend and CPM impact?  
   **A:** Susan Li said they're seeing strong traction across the Advantage+ portfolio.  **[META_3380477_13]**  Advantage+ audience targeting saw a **28% decrease in cost per click or objective**, improving campaign performance.  **[META_3380477_13]**  End-to-end automation products like Advantage+ Shopping and App Campaigns have more than **doubled in revenue** since last year, with significant room for broader adoption.  **[META_3380477_13]** 

7. **Sustaining Growth Rates**  
   **Q:** Can you maintain growth rates despite tougher comparisons ahead?  
   **A:** Susan Li expressed optimism about continuing to grow engagement through investments in AI-based content recommendations and video work.  **[META_3380477_11]**  They also expect to drive further ad performance gains, noting that they **grew conversions at a faster rate than impressions** this quarter, indicating increasing ad effectiveness.  **[META_3380477_11]** 

8. **Shifting Resources to AI**  
   **Q:** Can you reallocate spending from other areas like the metaverse to fund AI investments?  
   **A:** Mark Zuckerberg acknowledged they're shifting resources from other parts of the company to advance AI efforts.  **[META_3380477_12]**  While remaining optimistic about long-term investments in platforms like Reality Labs, they're focusing more Reality Labs work on AI goals as well.  **[META_3380477_12]** 

9. **AI Tools for Businesses**  
   **Q:** How do you see the business model evolving with AI tools for businesses and creators?  
   **A:** Mark Zuckerberg believes the biggest opportunity lies in **business messaging**.  **[META_3380477_15]**  They aim to make it easy for businesses and creators to set up AI to engage with their communities for sales, commerce, and support.  **[META_3380477_15]**  As AI reduces the cost of engaging with customers, it can unlock new monetization avenues.  **[META_3380477_15]** 

10. **Evolution of AI Experience**  
    **Q:** How will larger AI models evolve the user experience on Meta platforms?  
    **A:** Mark Zuckerberg envisions AI handling more complex tasks, becoming more like **agents rather than simple chatbots**.  **[META_3380477_16]**  These agents can perform multi-turn interactions to accomplish user goals, such as finding products or providing support.  **[META_3380477_16]**  He believes this will enable more powerful business use cases and represents a significant long-term investment opportunity.  **[META_3380477_16]** 

8a43bf2048acbbb9ead2969d29f1921d93740d78cf3c2108ccf47ea821dd5c15

1. **Ad Business Strength**  
   **Q:** What's driving the strong performance in advertising?  **[META_3371582_9]**   
   **A:** The advertising business is thriving due to continuous ad performance improvements and strong year-over-year conversion growth. This success is driven by three main areas: creating engaging on-platform ad experiences like click-to-message ads and shops ads, which reached a **$2 billion annual run rate in Q4**  **[META_3371582_9]** ; simplifying connections for advertisers to integrate their marketing data; and leveraging AI through tools like the Advantage+ suite to enhance ad relevance and performance.  **[META_3371582_9]** 

2. **CapEx Guidance and AI Investment**  
   **Q:** Why has the CapEx guidance range increased, and what factors will influence it?  **[META_3371582_10]**   
   **A:** The increase in the top end of the CapEx guidance reflects evolving AI roadmaps and capacity demands as Meta trains next-generation foundation models. Factors influencing the final CapEx spend include supply and demand dynamics, the pace of executing the new data center architecture, and supply chain developments. Meta anticipates investing more to support AI work in the coming years, with some of this reflected in 2024.  **[META_3371582_10]** 

3. **Year of Efficiency and Headcount**  
   **Q:** How does the 'Year of Efficiency' impact future operations and headcount growth?  **[META_3371582_10]**   
   **A:** The 'Year of Efficiency' has led Meta to become a leaner and more streamlined company, improving overall performance. Despite strong business results, there's a focus on operating efficiently with minimal headcount growth. Even beyond 2024, Meta plans to maintain a relatively minimal increase in headcount to uphold discipline and flexibility for long-term investments in AI and the metaverse.  **[META_3371582_10]** 

4. **Messaging Monetization Growth**  
   **Q:** What is the outlook for messaging revenue and long-term opportunity?  **[META_3371582_12]**   
   **A:** Messaging monetization is progressing well, with strong revenue growth from click-to-messaging ads and expanding advertiser adoption. Focus areas include enhancing optimization and reporting, rolling out purchase optimization to click-to-WhatsApp campaigns, and simplifying the buying process for paid messaging. Initiatives like launching Flows globally enable businesses to offer richer user experiences within WhatsApp.  **[META_3371582_12]** 

5. **Meta AI and AI Assistants**  
   **Q:** How is Meta integrating AI assistants across its apps, and what's the timeline?  **[META_3371582_15]**   
   **A:** Meta AI is being introduced in select countries across WhatsApp, Messenger, and Instagram. Currently in the tuning phase, Meta is learning from user interactions to refine the assistant's capabilities. Over the course of the year, Meta plans to roll out AI assistants more prominently across its apps, making it a significant focus for **2024**.  **[META_3371582_15]** 

6. **Dividend Introduction**  
   **Q:** What's the rationale for introducing a dividend at this stage?  **[META_3371582_13]**   
   **A:** Introducing a dividend complements Meta's existing share repurchase program, providing a more balanced capital return strategy. It doesn't change the total amount of capital returned to shareholders, with share repurchases remaining the primary method. The dividend offers added flexibility in capital return moving forward.  **[META_3371582_13]** 

7. **Shop Ads and E-commerce Partnerships**  
   **Q:** How is Meta enhancing shop ads and integrating with e-commerce partners like Amazon?  **[META_3371582_11]**   
   **A:** Meta is making it easier for businesses to onboard to shops, such as allowing eligible Shopify businesses to seamlessly integrate with Facebook and Instagram. Efforts include simplifying the creation of shop ads and leveraging AI to boost performance. Meta is also testing a partnership with Amazon to integrate Buy with Prime, aiming to provide a more seamless shopping experience. This initiative is in early stages.  **[META_3371582_11]** 

8. **Impact of Apple App Store Changes**  
   **Q:** What effect will Apple's opening of an App Store in Europe have on Meta?  **[META_3371582_14]**   
   **A:** Meta doesn't anticipate any significant impact from Apple's App Store changes in Europe. The implementation is considered onerous and misaligned with the intent of EU regulations, making it unlikely that developers, including Meta, will seriously engage with these alternative App Stores.  **[META_3371582_14]** 

a985d839c519dff2316ec39a052e2f77081eb8c789e529b72b45d2d1fc531134

- **Meta reported a 22% revenue growth in Q2 2024**, showing strong advertising demand and ongoing ad performance improvements, with broad-based strength across regions and verticals, including particular strength among smaller advertisers.  **[META_3395360_9]** **[META_3395360_12]**
- **Meta's investments in AI are driving significant improvements in recommendations and advertising effectiveness**, with Meta AI on track to become the most used AI assistant by the end of the year, signaling potential for future revenue growth in '25 and '26.  **[META_3395360_8]**
- **WhatsApp now serves over 100 million monthly active users in the U.S., and Threads is about to hit 200 million monthly active users**, indicating promising user growth that could translate into significant business opportunities as these platforms scale.  **[META_3395360_10]**

438c75465bf19de9ef7bab51c4f6e89ce26324f504fdad6bcf89703c8fa1e80d

Meta Platforms Inc (META)

Financials