Shulou(Shulou.com)11/24 Report--

According to US media on April 27, Meta should thank Chinese merchants for their massive advertising support, which boosted the company's revenue in the first quarter. Earlier, Meta's revenue fell for three consecutive quarters.

Susan Li, chief financial officer of Meta, told analysts on the earnings call that Chinese advertisers have invested a lot of money to take advantage of the extensive global coverage of Facebook and Instagram to acquire new customers, bringing positive sales growth to Meta.

This shows that China's "hard economy" in 2023 indirectly promoted the performance of Meta.

However, Meta's first-quarter revenue grew only 3% year-on-year to $28.65 billion (CTOnews.com Note: currently about 198.544 billion yuan), indicating that the digital advertising market is still volatile.

Li says Meta has seen an increase in demand since February, but she is not sure it will be plain sailing for the rest of the year. She mentioned that EU regulators continued to implement strict data privacy laws and requirements, which had an impact on companies. As a result, the company expects to face an "unstable macro environment" and a "challenging regulatory environment" this year.

However, investors are gratified by the fact that Meta has been able to reverse the decline in sales after a difficult period.

In addition, investors are also very concerned about the cost-cutting measures of CEO Mark Mark Zuckerberg, which has cut 21000 jobs since November.

Zuckerberg spoke about the company's latest round of layoffs for technical workers last week and reminded analysts that more layoffs will be made in May, which will affect business teams.

However, Li also said that after May, the company "will resume hiring and we expect the number of employees to grow by more than 1 to 2 per cent in 2024."

In addition, Zuckerberg has not slowed down his spending plans on meta-universe. At present, the company's Reality Labs department is building the VR and AR technologies needed for meta-universe. The division had sales of $339 million in the first quarter and a loss of nearly $4 billion (currently about 27.72 billion yuan).

While Meta is developing new AI technology to assist with its advertising and business messaging services, Zuckerberg said metamosmos remains the company's core focus.

"some people think that we are gradually giving up our attention to meta-universe, but I would like to clarify in advance that this is not accurate." "We have been focusing on artificial intelligence and meta-universe for many years, and we will continue to focus on these two areas," Zuckerberg said. "

He added: "these two areas are also interrelated."

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