Meta✴ CEO Mark Zuckerberg said that improving recommendation algorithms using artificial intelligence has helped increase audience retention on social networks. Meta✴’s financial report for the third quarter of 2024 noted that time spent on Facebook✴ grew by 8% and on Instagram✴ by 6%.
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The increase is due to AI improvements in recommendation algorithms for videos and personalized news feeds. However, the influence of AI does not stop there. It is noted that 500 million users per month use Meta✴AI AI functions in their applications. In addition, more than a million advertisers used generative AI tools last month to create more than 15 million ads, increasing their ad conversions by 7%.
Meta✴’s user base also continues to grow. The number of people who interact daily with any of the company’s apps (DAP) increased by 5% to 3.29 billion, and its monthly active audience (MAP) grew by 6% to 3.96 billion.
The company’s financial results for the third quarter exceeded analysts’ expectations. Meta✴ posted earnings of $6.03 per share, beating estimates of $5.25. Revenue was $40.59 billion, exceeding the forecast of $40.29 billion. Total expenses were $23.2 billion, and capital expenditures were $9.2 billion. In this regard, Meta✴ revised its full-year cost forecast to $96 -$98 billion. It is emphasized that infrastructure costs may increase sharply due to the expansion of data processing and storage systems.