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1、UNITED STATESSECURITIES AND EXCHANGE COMMISSIONWashington,D.C.20549_FORM 10-K_(Mark One)ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d)OF THE SECURITIES EXCHANGE ACT OF 1934For the fiscal year ended December 31,2024or TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d)OF THE SECURITIES EXCHANGE ACT OF 1

2、934For the transition period from to Commission File Number:001-35551_Meta Platforms,Inc.(Exact name of registrant as specified in its charter)_Delaware20-1665019(State or other jurisdiction of incorporation or organization)(I.R.S.Employer Identification Number)1 Meta Way,Menlo Park,California 94025

3、(Address of principal executive offices and Zip Code)(650)543-4800(Registrants telephone number,including area code)_Securities registered pursuant to Section 12(b)of the Act:Title of each classTrading symbol(s)Name of each exchange on which registeredClass A Common Stock,$0.000006 par valueMETAThe

4、Nasdaq Stock Market LLCSecurities registered pursuant to Section 12(g)of the Act:NoneIndicate by check mark if the registrant is a well-known seasoned issuer,as defined in Rule 405 of the Securities Act.Yes No Indicate by check mark if the registrant is not required to file reports pursuant to Secti

5、on 13 or Section 15(d)of the Act.Yes No Indicate by check mark whether the registrant(1)has filed all reports required to be filed by Section 13 or 15(d)of the Securities Exchange Act of 1934(Exchange Act)during the preceding12 months(or for such shorter period that the registrant was required to fi

6、le such reports),and(2)has been subject to such filing requirements for the past 90 days.Yes No Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T(232.405 of this chapter)during the pr

7、eceding 12 months(or for such shorter period that the registrant was required to submit such files).Yes No Indicate by check mark whether the registrant is a large accelerated filer,an accelerated filer,a non-accelerated filer,a smaller reporting company,or an emerging growth company.See the definit

8、ionsof large accelerated filer,accelerated filer,smaller reporting company,and emerging growth company in Rule 12b-2 of the Exchange Act.Large accelerated filerAccelerated filerNon-accelerated filerSmaller reporting companyEmerging growth companyIf an emerging growth company,indicate by check mark i

9、f the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standardsprovided pursuant to Section 13(a)of the Exchange Act.Indicate by check mark whether the registrant has filed a report on and attestation to its managements asse

10、ssment of the effectiveness of its internal control over financial reporting under Section404(b)of the Sarbanes-Oxley Act(15 U.S.C.7262(b)by the registered public accounting firm that prepared or issued its audit report.If securities are registered pursuant to Section 12(b)of the Act,indicate by che

11、ck mark whether the financial statements of the registrant included in the filing reflect the correction of an error topreviously issued financial statements.Indicate by check mark whether any of those error corrections are restatements that required a recovery analysis of incentive-based compensati

12、on received by any of the registrants executive officersduring the relevant recovery period pursuant to 240.10D-1(b).Indicate by check mark whether the registrant is a shell company(as defined in Rule 12b-2 of the Exchange Act).Yes No The aggregate market value of the voting and non-voting stock hel

13、d by non-affiliates of the registrant as of June 30,2024,the last business day of the registrants most recently completed second fiscalquarter,was$1,103 billion based upon the closing price reported for such date on the Nasdaq Global Select Market.On January 24,2025,the registrant had 2,189,898,148

14、shares of Class A commonstock and 343,761,117 shares of Class B common stock outstanding.DOCUMENTS INCORPORATED BY REFERENCEPortions of the registrants Proxy Statement for the 2025 Annual Meeting of Stockholders are incorporated herein by reference in Part III of this Annual Report on Form 10-K to t

15、he extent statedherein.Such proxy statement will be filed with the Securities and Exchange Commission within 120 days of the registrants fiscal year ended December 31,2024.Meta Platforms,Inc.Form 10-KTABLE OF CONTENTSPageNote About Forward-Looking Statements3Limitations of Key Metrics and Other Data

16、4PART IItem 1.Business6Item 1A.Risk Factors14Item 1B.Unresolved Staff Comments49Item 1C.Cybersecurity49Item 2.Properties50Item 3.Legal Proceedings51Item 4.Mine Safety Disclosures56PART IIItem 5.Market for Registrants Common Equity,Related Stockholder Matters and Issuer Purchases of Equity Securities

17、57Item 6.Reserved58Item 7.Managements Discussion and Analysis of Financial Condition and Results of Operations59Item 7A.Quantitative and Qualitative Disclosures About Market Risk79Item 8.Financial Statements and Supplementary Data81Item 9.Changes in and Disagreements with Accountants on Accounting a

18、nd Financial Disclosure123Item 9A.Controls and Procedures123Item 9B.Other Information123Item 9C.Disclosure Regarding Foreign Jurisdictions that Prevent Inspections124PART IIIItem 10.Directors,Executive Officers and Corporate Governance124Item 11.Executive Compensation124Item 12.Security Ownership of

19、 Certain Beneficial Owners and Management and Related Stockholder Matters124Item 13.Certain Relationships and Related Transactions,and Director Independence124Item 14.Principal Accountant Fees and Services124PART IVItem 15.Exhibit and Financial Statement Schedules125Item 16.Form 10-K Summary127Signa

20、tures1282Table of ContentsNOTE ABOUT FORWARD-LOOKING STATEMENTSThis Annual Report on Form 10-K contains forward-looking statements.All statements contained in this Annual Report on Form 10-K other thanstatements of historical fact,including statements regarding our future results of operations and f

21、inancial position,our business strategy and plans,and ourobjectives for future operations,are forward-looking statements.The words believe,may,will,estimate,continue,anticipate,intend,expect,and similar expressions are intended to identify forward-looking statements.We have based these forward-looki

22、ng statements largely on our currentexpectations and projections about future events and trends that we believe may affect our financial condition,results of operations,business strategy,short-term and long-term business operations and objectives,and financial needs.These forward-looking statements

23、are subject to a number of risks,uncertaintiesand assumptions,including those described in Part I,Item 1A,Risk Factors in this Annual Report on Form 10-K.Moreover,we operate in a very competitiveand rapidly changing environment.New risks emerge from time to time.It is not possible for our management

24、 to predict all risks,nor can we assess the impactof all factors on our business or the extent to which any factor,or combination of factors,may cause actual results to differ materially from those contained inany forward-looking statements we may make.In light of these risks,uncertainties and assum

25、ptions,the future events and trends discussed in this AnnualReport on Form 10-K may not occur and actual results could differ materially and adversely from those anticipated or implied in the forward-lookingstatements.We undertake no obligation to revise or publicly release the results of any revisi

26、on to these forward-looking statements,except as required by law.Giventhese risks and uncertainties,readers are cautioned not to place undue reliance on such forwardlooking statements.Unless expressly indicated or the context requires otherwise,the terms Meta,company,we,us,and our in this document r

27、efer to MetaPlatforms,Inc.,a Delaware corporation,and,where appropriate,its subsidiaries.The term Family refers to our Facebook,Instagram,Messenger,andWhatsApp products.For references to accessing Metas products on the web or via a website,such terms refer to accessing such products on personalcompu

28、ters.For references to accessing Metas products on mobile,such term refers to accessing such products via a mobile application or via a mobile-optimized version of our websites such as ,whether on a mobile phone or tablet.3Table of ContentsLIMITATIONS OF KEY METRICS AND OTHER DATAFamily MetricsThe n

29、umbers for our key metrics are calculated using internal company data based on the activity of user accounts.We report our estimates of thenumbers of our daily active people(DAP)and average revenue per person(ARPP)(collectively,our Family metrics)based on the activity of users whovisited at least on

30、e of Facebook,Instagram,Messenger,and WhatsApp(collectively,our Family of products)during the applicable period of measurement.While these numbers are based on what we believe to be reasonable estimates of our user base for the applicable period of measurement,there areinherent challenges in measuri

31、ng usage of our products across large online and mobile populations around the world.The methodologies used to measure thesemetrics require significant judgment and are also susceptible to algorithm or other technical errors.In addition,we are continually seeking to improve ourestimates of our user

32、base,and such estimates may change due to improvements or changes in our methodology.We regularly review our processes forcalculating these metrics,and from time to time we discover inaccuracies in our metrics or make adjustments to improve their accuracy,which can result inadjustments to our histor

33、ical metrics.Our ability to recalculate our historical metrics may be impacted by data limitations or other factors that require us toapply different methodologies for such adjustments.We generally do not intend to update previously disclosed Family metrics for any such inaccuracies oradjustments th

34、at are within the error margins disclosed below.In addition,our Family metrics estimates will differ from estimates published by third parties due to differences in methodology or other factors such asdata limitations or other challenges in measuring large online and mobile populations.For example,o

35、ur methodologies include measurements of our user basethat have in some instances exceeded estimates of addressable online and mobile populations that are based on data published by third parties.Many people in our community have user accounts on more than one of our products,and some people have mu

36、ltiple user accounts within an individualproduct.Accordingly,for our Family metrics,we do not seek to count the total number of user accounts across our products because we believe that would notreflect the actual size of our community.Rather,our Family metrics represent our estimates of the number

37、of unique people using at least one of Facebook,Instagram,Messenger,and WhatsApp.We do not require people to use a common identifier or link their accounts to use multiple products in our Family,andtherefore must seek to attribute multiple user accounts within and across products to individual peopl

38、e.To calculate these metrics,we rely upon complextechniques,algorithms and machine learning models that seek to count the individual people behind user accounts,including by matching multiple useraccounts within an individual product and across multiple products when we believe they are attributable

39、 to a single person,and counting such group ofaccounts as one person.These techniques and models require significant judgment,are subject to data and other limitations discussed below,and inherently aresubject to statistical variances and uncertainties.We estimate the potential error in our Family m

40、etrics primarily based on user survey data as described furtherbelow,which itself is subject to error as well.While we expect the error margin for our Family metrics to vary from period to period,we estimate that suchmargin generally will be approximately 3%of our worldwide DAP.At our scale,it is ve

41、ry difficult to attribute multiple user accounts within and acrossproducts to individual people,and it is possible that the actual numbers of unique people using our products may vary significantly from our estimates,potentially beyond our estimated error margins.As a result,it is also possible that

42、 our Family metrics may indicate changes or trends in user numbers that donot match actual changes or trends.To calculate our estimates of DAP,we currently use a series of machine learning models that are developed based on internal reviews of limited samplesof user accounts and calibrated against u

43、ser survey data.We apply significant judgment in designing these models and calculating these estimates.For example,to match user accounts within individual products and across multiple products,we use data signals such as similar device information,IP addresses,and usernames.We also calibrate our m

44、odels against data from periodic user surveys of varying sizes and frequency across our products,which survey questions arebased on monthly usage,and which are inherently subject to error.The timing and results of such user surveys have in the past contributed,and may in thefuture contribute,to chan

45、ges in our reported Family metrics from period to period.In addition,our data limitations may affect our understanding of certaindetails of our business and increase the risk of error for our Family metrics estimates.Our techniques and models rely on a variety of data signals from differentproducts,

46、and we rely on more limited data signals for some products compared to others.For example,as a result of limited visibility into encrypted products,we have fewer data signals from WhatsApp user accounts and primarily rely on phone numbers and device information to match WhatsApp user accounts withac

47、counts on our other products.Any loss of access to data signals we use in our process for calculating Family metrics,whether as a result of our own productdecisions,actions by third-party browser or mobile platforms,regulatory or legislative requirements,or other factors,also may impact the stabilit

48、y or accuracy4Table of Contentsof our reported Family metrics,as well as our ability to report these metrics at all.Our estimates of Family metrics also may change as our methodologiesevolve,including through the application of new data signals or technologies,product changes,or other improvements i

49、n our user surveys,algorithms,ormachine learning that may improve our ability to match accounts within and across our products or otherwise evaluate the broad population of our users.Inaddition,such evolution may allow us to identify previously undetected violating accounts(as defined below).We regu

50、larly evaluate our Family metrics to estimate the percentage of our DAP consisting solely of violating accounts.We define violatingaccounts as accounts which we believe are intended to be used for purposes that violate our terms of service,including bots and spam.In the fourth quarter of2024,we esti

51、mated that less than 3%of our worldwide DAP consisted solely of violating accounts.Such estimation is based on an internal review of a limitedsample of accounts,and we apply significant judgment in making this determination.For example,we look for account information and behaviors associatedwith Fac

52、ebook and Instagram accounts that appear to be inauthentic to the reviewers,but we have limited visibility into WhatsApp user activity due toencryption.In addition,if we believe an individual person has one or more violating accounts,we do not include such person in our violating accountsestimation

53、as long as we believe they have one account that does not constitute a violating account.From time to time,we disable certain user accounts,makeproduct changes,or take other actions to reduce the number of violating accounts among our users,which may also reduce our DAP estimates in a particularperi

54、od.We intend to continue to disclose our estimates of the percentage of our DAP consisting solely of violating accounts on an annual basis in our AnnualReport on Form 10-K.Violating accounts are very difficult to measure at our scale,and it is possible that the actual number of violating accounts ma

55、y varysignificantly from our estimates.User GeographyOur estimates for revenue by user location,as well as year-over-year percentage changes in ad impressions delivered and the average price per ad byuser location,are also affected by data limitations and other challenges in measuring user geography

56、.Our data regarding the geographic location of our users isestimated based on a number of factors,such as the users IP address and self-disclosed location.These factors may not always accurately reflect the usersactual location.For example,a user may appear to be accessing our products from the loca

57、tion of the proxy server that the user connects to rather than from theusers actual location.The methodologies used to measure our metrics are also susceptible to algorithm or other technical errors.5Table of ContentsPART IItem 1.BusinessOverviewOur mission is to build the future of human connection

58、 and the technology that makes it possible.We build technology that helps people connect and share,find and build communities,and grow businesses.Our products enable people to connect andshare with friends and family through mobile devices,personal computers,virtual reality(VR)and mixed reality(MR)h

59、eadsets,augmented reality(AR),andwearables.We also help people discover and learn about what is going on in the world around them,enable people to share their experiences,ideas,photos,videos,and other content with audiences ranging from their closest family members and friends to the public at large

60、,and stay connected everywhere byaccessing our products.Meta is moving our offerings beyond 2D screens toward immersive experiences like augmented,mixed,and virtual reality to help buildthe next computing platform.Our vision does not center on any single product,but rather an entire ecosystem of exp

61、eriences,devices,and new technologies.While the metaverse is in the very early stages of its development,we believe it will become the next computing platform and the future of social interaction.Across our work,we are innovating in artificial intelligence(AI)technologies to build new experiences th

62、at help make our platform more social,useful,and immersive.Our AI investments support initiatives across our products and services,helping power the systems that rank content in our apps,our discoveryengine that recommends relevant content,the tools advertisers use to reach customers,the development

63、 of new generative AI experiences,and the tools thatmake our product development more efficient and productive.For example,Meta AI is an assistant thats available across our apps,on Ray-Ban Meta AIglasses and on the web.Its designed to help people learn,get things done,create content,and connect wit

64、h others to make the most of every moment.We report financial results for two segments:Family of Apps(FoA)and Reality Labs(RL).Currently,we generate substantially all of our revenue fromselling advertising placements on our family of apps to marketers,which is reflected in FoA.Ads on our platform en

65、able marketers to reach people across arange of marketing objectives,such as generating leads or driving awareness.Marketers purchase ads that can appear in multiple places including on Facebook,Instagram,Messenger,and third-party applications and websites.RL generates revenue from sales of consumer

66、 hardware products,software,and content.We invest in our business based on our company priorities.In 2025,we intend to focus on several key investment areas:generative AI,our discoveryengine,the metaverse and wearables,Threads,monetization of our products and services,platform integrity and communit

67、y support,and infrastructurecapacity.The majority of our investments are directed toward developing our family of apps.In 2024,79%of our total costs and expenses were recognized inFoA and 21%were recognized in RL.Our FoA investments were$75.25 billion in 2024 and include expenses relating to headcou

68、nt,data centers and technicalinfrastructure as part of our efforts to develop our apps and our advertising services.We are also making significant investments in our metaverse andwearables efforts.This includes developing virtual,mixed,and augmented reality devices,software for social platforms,neur

69、al interfaces,and otherfoundational technologies.Our total RL investments were$19.88 billion in 2024 and include expenses relating to headcount and technology developmentacross these efforts.These are fundamentally new technologies that we expect will evolve as the next computing platform develops,a

70、nd many products mayonly be fully realized in the next decade.Although it is inherently difficult to predict when and how the next computing platform will develop,we expect ourRL segment to continue to operate at a loss for the foreseeable future,and our ability to support our efforts to build the n

71、ext computing platform is dependenton generating sufficient profits from other areas of our business.We expect this will be a complex,evolving,and long-term initiative.We are investing nowbecause we believe this is the next chapter of the internet and will unlock monetization opportunities for busin

72、esses,developers,and creators,including aroundadvertising,hardware,and digital goods.6Table of ContentsFamily of Apps ProductsFacebook.Facebook helps give people the power to build community and bring the world closer together.Its a place for people to share lifesmoments and discuss whats happening,

73、nurture and build relationships,discover and connect to people with shared interests,and create economicopportunity.They can do this through Feed,Reels,Stories,Groups,Marketplace,and more.Instagram.Instagram brings people closer to the people and things they love.Instagram Feed,Stories,Reels,Live,an

74、d messaging are placeswhere people and creators can connect and express themselves through photos,video,and private messaging,and discover and shop from theirfavorite businesses.Messenger.Messenger is a simple yet powerful messaging application for people to connect with friends,family,communities,a

75、nd businessesacross platforms and devices through text,audio,and video calls.Threads.Threads is an application for text-based updates and public conversations,where communities come together to discuss topics of interest.People can connect directly with their favorite creators and others who love th

76、e same things or build a loyal following of their own to share theirideas,opinions,and creativity with the world.WhatsApp.WhatsApp is a simple,reliable,and secure messaging application that is used by people and businesses around the world tocommunicate and transact in a private way.Within WhatsApp

77、we launched WhatsApp Channels,a one-to-many broadcast service designed to helppeople follow information from people and organizations that are important to them.Reality Labs ProductsMany of our Reality Labs investments are directed toward long-term,cutting edge research and development for products

78、that are not on the markettoday and may only be fully realized in the next decade.This includes exploring new technologies such as neural interfaces using electromyography,which letspeople control their devices using neuromuscular signals,as well as innovations in AI and hardware to help build next-

79、generation interfaces.In the near term,we are continuing to develop early metaverse and wearables products and experiences that help people feel connected,anytime,anywhere.Our metaverse efforts include our VR,MR,and social platform initiatives.Our current product offerings in VR include our Meta Que

80、st devices,as wellas software and content available through the Meta Horizon Store,which enable a range of social experiences that allow people to defy physical distance whileengaging in gaming,fitness,entertainment,and more.To drive greater adoption and acceptance of VR we have introduced MR capabi

81、lities,which allow usersto experience the immersion and presence of VR while still being grounded in the physical world,through our Meta Quest devices.Our wearables efforts include our AR initiatives.We have continued to advance our roadmap to include additional AI-enabled offerings such as the Ray-

82、Ban Meta AI glasses,which feature Meta AI,our advanced conversational assistant,as well as other features such as hands-free interaction.As we continue ourlong-term efforts to bring AR glasses to market,in 2024 we also unveiled our Orion prototype,a pair of true AR glasses that overlay content on to

83、p of thephysical world.It does this with an industry-leading field of view and in glasses form factor for comfortable wear.In general,while all of these investments are part of our long-term initiative to help build the next computing platform,our metaverse efforts alsoinclude notable shorter-term p

84、rojects developing specific products and services to go to market,whereas our wearables efforts are primarily directed towardlonger-term research and development projects.For example,in 2025,we expect to spend approximately 50%of our Reality Labs operating expenses on ourwearables initiatives,and th

85、e remaining 50%on our metaverse initiatives.We apply significant judgment in estimating this expense breakdown as there arecertain shared costs across product lines,and our expectations are subject to change,including as the next computing platform and our business strategiesevolve.In particular,we

86、regularly evaluate our product roadmaps and make significant changes as our understanding of the technological challenges andmarket landscape and our product ideas and designs evolve.7Table of ContentsCompetitionOur business is characterized by innovation,rapid change,and disruptive technologies.We

87、compete with companies providing connection,sharing,discovery,and communication products and services to users online,as well as companies that sell advertising to businesses looking to reach consumers and/ordevelop tools and systems for managing and optimizing advertising campaigns.We face signific

88、ant competition in every aspect of our business,including,butnot limited to,companies that facilitate the ability of users to create,share,communicate,and discover content and information online or enable marketers toreach their existing or prospective audiences.We compete to attract,engage,and reta

89、in people who use our products,to attract and retain businesses that useour free or paid business and advertising services,and to attract and retain developers who build compelling applications that integrate with our products.Wealso compete with companies that develop and deliver consumer hardware

90、and augmented,mixed,and virtual reality products and services.We also expect toface additional competition as we introduce or acquire new products,as our existing products evolve,or as other companies introduce new products andservices,including as part of efforts to innovate through the development

91、 and application of AI and other new technologies as well as efforts to develop themetaverse.TechnologyOur product development philosophy centers on continuous innovation in creating and improving products that are social by design,which means thatour products are designed to place people and their

92、social interactions at the core of the product experience.As our user base grows,as engagement withproducts like video,VR,and MR increases,and as we deepen our investment in new technologies,our computing needs continue to expand.We have designedand built our own data centers and key portions of our

93、 technical infrastructure,and a substantial portion of our technical infrastructure is also provided by thirdparties.Our ability to provide and continue to innovate our products and services depends on the continued availability of components,power,and networkcapacity.We make significant investments

94、 in technology both to improve our existing products and services and to develop new ones,as well as for our marketersand developers.We are also investing in protecting the security,privacy,and integrity of our platform by investing in both people and technology to strengthenour systems against abus

95、e.Across all of these efforts,we are making significant investments in AI initiatives,including generative AI,to,among other things,recommend relevant content across our products through our AI-powered discovery engine,enhance our advertising tools and improve our ad delivery,targeting,and measureme

96、nt capabilities,and to develop new products as well as new features for existing products.We also believe in the power of open source innovation and have released our Llama models,consisting of state-of-the-art foundation models that areavailable for researchers and developers to use and build upon.

97、By making our Llama models openly available,we aim to accelerate AI research anddevelopment,improve our own products,and to foster collaboration and innovation within the broader tech community.Sales and OperationsThe majority of our marketers use our self-service ad platform to launch and manage th

98、eir advertising campaigns.We also have a global sales force thatis focused on attracting and retaining advertisers and providing support to them throughout the stages of the marketing cycle from pre-purchase decision-making to real-time optimizations to post-campaign analytics.We work directly with

99、these advertisers,as well as through advertising agencies and resellers.We operate offices in more than 90 cities around the globe,the majority of which have a sales presence.We also invest in and rely on self-service tools toprovide direct customer support to our users and partners.For our RL produ

100、cts,our sales and operations efforts utilize third-party sales channels such as retailers,resellers,and our direct-to-consumer channel,M.These efforts are focused on driving consumer and enterprise sales and adoption of our Meta Quest portfolio of products and Ray-Ban Meta AIglasses.MarketingHistori

101、cally,our communities have generally grown organically with people inviting their friends to connect with them,supported by internal efforts tostimulate awareness and interest.In addition,we have invested and will continue to invest in marketing our products and services to grow our brand and helpbu

102、ild community around the world.8Table of ContentsIntellectual PropertyTo establish and protect our proprietary rights,we rely on a combination of patents,trademarks,copyrights,trade secrets,including know-how,licenseagreements,confidentiality procedures,non-disclosure agreements with third parties,e

103、mployee disclosure and invention assignment agreements,and othercontractual rights.In addition,to further protect our proprietary rights,from time to time we have purchased patents and patent applications from third parties.We do not believe that our proprietary technology is dependent on any single

104、 patent or copyright or groups of related patents or copyrights.We believe theduration of our patents is adequate relative to the expected lives of our products.Government RegulationWe are subject to a variety of laws and regulations in the United States and abroad that involve matters central to ou

105、r business,many of which are stillevolving and being tested in courts,and could be interpreted in ways that could harm our business.These laws and regulations involve matters includingprivacy,data use,data combination,data protection and personal information,the provision of our services to younger

106、users,biometrics,encryption,rights ofpublicity,content,integrity,intellectual property,advertising,marketing,distribution,data security,data retention and deletion,data localization and storage,data disclosure,AI and machine learning,electronic contracts and other communications,competition,protecti

107、on of minors,consumer protection,civil rights,accessibility,telecommunications,product liability,e-commerce,taxation,economic or other trade controls including sanctions,anti-corruption and politicallaw compliance,securities law compliance,and online payment services.The introduction of new products

108、,expansion of our activities in certain jurisdictions,or other actions that we may take may subject us to additional laws,regulations,or other government scrutiny.In addition,these U.S.and foreign laws andregulations may impose different obligations from each other and create the potential for signi

109、ficant fines to be imposed.These U.S.federal and state,EU,and other international laws and regulations,which in some cases can be enforced by private parties in addition togovernment entities,are constantly evolving and can be subject to significant change.As a result,the application,interpretation,

110、and enforcement of these lawsand regulations are often uncertain,particularly in the new and rapidly evolving industry in which we operate,and may be interpreted and appliedinconsistently from jurisdiction to jurisdiction and inconsistently with our current policies and practices.For example,regulat

111、ory or legislative actions orlitigation concerning the manner in which we display content to our users,moderate content,provide our services to younger users,or are able to use data invarious ways,including for advertising,or otherwise relating to content that is made available on our products,have

112、in the past and could in the futureadversely affect user growth and engagement,affect the manner in which we provide our services,or adversely affect our financial results,including byimposing significant fines that increasingly may be calculated based on global revenue.In the United States,in 2023,

113、the U.S.Supreme Court heard oralargument in a matter in which the scope of the protections available to online platforms under Section 230 of the Communications Decency Act(Section 230)was at issue,but it ultimately declined to address Section 230 in its decision.In addition,there have been,and cont

114、inue to be,various other litigationconcerning,and state and federal legislative and executive efforts to remove or restrict,the scope of the protections available to online platforms underSection 230,and any such changes may increase our costs or require significant changes to our products,business

115、practices,or operations,which couldadversely affect our business and financial results.We are also subject to evolving laws and regulations that dictate whether,how,and under what circumstances we can transfer,process or receive certaindata that is critical to our operations,including data shared be

116、tween countries or regions in which we operate and data shared among our products and services.If we are unable to transfer data between and among countries and regions in which we operate,or if we are restricted from sharing data among our productsand services,it could affect our ability to provide

117、 our services,the manner in which we provide our services or our ability to target ads,which could adverselyaffect our financial results.For example,in 2016,the European Union and United States agreed to a transfer framework for data transferred from the EuropeanUnion to the United States,called the

118、 Privacy Shield,but the Privacy Shield was invalidated in July 2020 by the Court of Justice of the European Union(CJEU).In addition,the other bases upon which Meta relies to transfer such data,such as Standard Contractual Clauses(SCCs),have been subjected toregulatory and judicial scrutiny.For examp

119、le,the CJEU considered the validity of SCCs as a basis to transfer user data from the European Union to the UnitedStates following a challenge brought by the Irish Data Protection Commission(IDPC).Although the CJEU upheld the validity of SCCs in July 2020,on May12,2023,the IDPC issued a Final Decisi

120、on concluding that Meta Platforms Irelands reliance on SCCs in respect of certain transfers of European EconomicArea(EEA)Facebook user data was not in compliance with the European General Data Protection Regulation(GDPR).The IDPC issued an administrative fineof EUR 1.2 billion as well as corrective

121、orders requiring Meta Platforms Ireland to suspend the relevant transfers and to bring its processing operations intocompliance with Chapter V GDPR by ceasing the unlawful processing,including storage,9Table of Contentsof such data in the United States.We are appealing this Final Decision and it is

122、currently subject to an interim stay from the Irish High Court.Separately,onMarch 25,2022,the European Union and United States announced that they had reached an agreement in principle on a new EU-U.S.Data Privacy Framework(EU-U.S.DPF).On October 7,2022,President Biden signed the Executive Order on

123、Enhancing Safeguards for United States Signals Intelligence Activities(E.O.),and on June 30,2023,the European Union and the three additional countries making up the EEA were designated by the United States Attorney Generalas a qualifying state under Section 3(f)of the E.O.On July 10,2023,the Europea

124、n Commission adopted an adequacy decision in relation to the UnitedStates.The adequacy decision concludes that the United States ensures an adequate level of protection for personal data transferred from the European Unionto organizations in the United States that are included in the Data Privacy Fr

125、amework List,maintained and made publicly available by the United StatesDepartment of Commerce pursuant to the EU-U.S.DPF.The implementation of the EU-U.S.DPF and the adequacy decision are important and welcomemilestones,and we have implemented steps to comply with the above corrective orders follow

126、ing engagement with the IDPC.The EU-U.S.DPF replaces twoprior adequacy frameworks which were invalidated by the CJEU.A further invalidation of the EU-U.S.DPF by the CJEU could create considerable uncertaintyand lead to us being unable to offer a number of our most significant products and services,i

127、ncluding Facebook and Instagram,in Europe,which wouldmaterially and adversely affect our business,financial condition,and results of operations.We have been subject to other significant legislative and regulatory developments,which together with proposed or new legislation and regulationscould signi

128、ficantly affect our business in the future.For example,we have implemented a number of product changes and controls as a result of requirementsunder the GDPR,and may implement additional changes in the future.The GDPR also requires submission of personal data breach notifications to our leadEuropean

129、 Union privacy regulator,the IDPC,and includes significant penalties for non-compliance with the notification obligation as well as otherrequirements of the regulation.The interpretation of the GDPR is still evolving,including through decisions of the CJEU,and draft decisions in investigationsby the

130、 IDPC are subject to review by other European privacy regulators as part of the GDPRs consistency mechanism,which may lead to significant changesin the final outcome of such investigations.We also face potential enforcement from European privacy regulators other than the IDPC,including where thosere

131、gulators consider they must act urgently or where they believe their concerns relate only to data processing undertaken in their individual jurisdiction.As aresult,the interpretation and enforcement of the GDPR,as well as the imposition and amount of penalties for non-compliance,are subject to signi

132、ficantuncertainty,and as it evolves,could potentially have a negative impact on our business and/or our operations.In addition,Brazil,the United Kingdom,andother countries have enacted similar data protection regulations imposing data privacy-related requirements on products and services offered to

133、users in theirrespective jurisdictions.The California Consumer Privacy Act,as amended by the California Privacy Rights Act(CCPA),also establishes certain transparencyrules and creates certain data privacy rights for users,including limitations on our use of certain sensitive personal information and

134、 more ability for users tocontrol the purposes for which their data is shared with third parties.Other states have proposed or enacted similar comprehensive privacy laws that affordusers with similar data privacy rights and controls.These laws and regulations are evolving and subject to interpretati

135、on,and resulting limitations on ouradvertising services,or reductions of advertising by marketers,have to some extent adversely affected,and will continue to adversely affect,our advertisingbusiness.Some states have also proposed or enacted laws specifically focused on the privacy rights and control

136、s for users under 18 years old and their parentsor guardians.Like comprehensive privacy laws,these laws are evolving and subject to interpretation,and may restrict our ability to offer certain products andservices provided to all or certain cohorts of users in those states,adversely affecting our ad

137、vertising business.In Europe,evolving interpretation of theePrivacy Directives requirements regarding the use of cookies and similar technologies may lead to regulators imposing specific measures in the future whichcould directly impact our use of such technologies.In addition,the ePrivacy Directive

138、 and national implementation laws impose additional limitations on theuse of data across messaging products and include significant penalties for non-compliance.Changes to our products or business practices as a result of theseor similar developments have adversely affected,and may in the future adv

139、ersely affect,our advertising business.For example,in response to regulatorydevelopments in Europe,we announced plans to change the legal basis for behavioral advertising on Facebook and Instagram in the European Union,EuropeanEconomic Area,and Switzerland from legitimate interests to consent,and in

140、 November 2023 we began offering users in the region a subscription for noads alternative.We are engaging with regulators on our consent model,including regarding compliance with requirements under the GDPR,Digital MarketsAct(DMA),and EU consumer laws.For example,in March 2024,the European Commissio

141、n opened formal proceedings regarding the compliance of oursubscription for no ads model with requirements under the DMA,and it issued preliminary findings in July 2024,reflecting its preliminary view that ourmodel does not comply with such requirements,and indicated that it will conclude its invest

142、igation in March 2025.In addition,the European Data ProtectionBoard has published an opinion on the operation of such models under GDPR and European consumer protection organizations have raised concerns regardingour compliance with consumer protection laws.In response to these developments,in Novem

143、ber 2024,we began offering users in the European Union,European Economic Area,and Switzerland who elect to continue using our services free-of-charge,supported by ads,an option to see less personalized ads,10Table of Contentswhich are expected to be less relevant and effective than our premium ad of

144、ferings.These or any similar developments in the future may negatively impact ouruser growth and engagement,revenue,and financial results.Similarly,there are a number of legislative proposals or recently enacted laws in the European Union,the United States,at both the federal and statelevel,as well

145、as other jurisdictions that could impose new obligations or limitations in areas affecting our business.For example,the DMA in the EuropeanUnion imposes restrictions and requirements on companies like ours,including in areas such as the combination of data across services,mergers andacquisitions,and

146、 product design.The DMA also includes significant penalties for non-compliance,and its key requirements are enforceable against designatedgatekeeper companies as of March 2024.The DMA has caused,and may in the future cause,us to incur significant compliance costs and make changes to ourproducts or b

147、usiness practices.The requirements under the DMA will likely be subject to further interpretation and regulatory engagement.Pending or futureproposals to modify competition laws in a number of jurisdictions could have similar effects.Further,the Digital Services Act(DSA),which started to apply toour

148、 business as of August 2023,imposes certain restrictions and requirements for our products and services,subjects us to increased compliance costs,andincludes significant penalties for non-compliance.The interpretation and enforcement of the DMA and the DSA,as well as the imposition and amount ofpena

149、lties for non-compliance,are subject to significant uncertainty.In addition,some countries,such as the UK,India,and Turkey,are considering or havepassed legislation implementing data protection requirements,new competition requirements,or requiring local storage and processing of data or similarrequ

150、irements that could require substantial changes to our products,increase the cost and complexity of delivering our services,cause us to cease the offeringof our products and services in certain countries,and/or result in fines or other penalties.New legislation or regulatory decisions may restrict o

151、ur ability tocollect and use information about minors or also limit our advertising services or our ability to offer products and services to minors in certain jurisdictions.Forexample,several U.S.states,including Arkansas,Utah,Texas,California,and Florida,among others,have passed laws restricting o

152、ur ability to offer services tominors without parental consent or otherwise limiting the services that we can provide to minors.While enforcement of a number of these statutes(or parts ofthem)has been enjoined as a result of legal challenges to them,it is possible that the decisions to enjoin these

153、statutes may be overturned,the injunctive ordersmay expire,and certain statutes are coming into effect that may not be subject to injunctions.Should enforcement of one or more of these statutes not beenjoined,we may not be able to comply with certain of these statutes by their respective effective d

154、ates.We may face similar challenges in light of recentlegislation in Australia which imposes a social media ban for users under 16 years old that is expected to be effective by December 2025,requiring certainsocial media companies to take reasonable steps to ensure under 16 year olds do not create u

155、ser accounts.Legislative proposals and evolving interpretation ofexisting laws in Europe,Asia-Pacific,and other jurisdictions may also subject us to new requirements relating to allegedly fraudulent or illegal activities bythird parties on our platform,which could cause us to incur significant compl

156、iance costs or make changes to our products or business practices,and couldsubject us to additional fines and penalties or liability for losses to users or other third parties in such transactions.We are and expect to continue to be,the subject of investigations,inquiries,data requests,requests for

157、information,actions,and audits by governmentauthorities and regulators in the United States,Europe,and around the world,particularly in the areas of privacy,data use,data combination,and dataprotection,including with respect to processing of sensitive data,data from third parties,data for advertisin

158、g purposes,data security,minors,data subjectrights,safety,law enforcement,consumer protection,civil rights,content and content moderation,use of our platform for illegal,illicit,or otherwiseobjectionable activity,competition,AI,and machine learning.We are also currently,and may in the future be,subj

159、ect to regulatory orders or consent decrees,including the modified consent order we entered into with the U.S.Federal Trade Commission(FTC),which took effect in April 2020 and,among other things,required us to significantly enhance our practices and processes for privacy compliance and oversight.The

160、 FTC also continues to monitor us and ourcompliance with the modified consent order and initiated an administrative proceeding against us,which we are challenging at the agency and in federal court,that alleges deficient compliance and violations of the Childrens Online Privacy Protection Act(COPPA)

161、,the COPPA Rule,and Section 5 of the Federal TradeCommission Act and seeks changes to our business.If we are unsuccessful in our challenge to the FTCs action and the agency imposes its proposed order in itscurrent form,we would be subject to significant limitations,including on our ability to launch

162、 new and modified products or use data of users under 18 yearsold.Orders issued by,or inquiries or enforcement actions initiated by,government or regulatory authorities could cause us to incur substantial costs,expose usto civil and criminal liability(including liability for our personnel)or penalti

163、es(including substantial monetary remedies),interrupt or require us to change ourbusiness practices in a manner materially adverse to our business(including changes to our products or user data practices),result in negative publicity andreputational harm,divert resources and the time and attention o

164、f management from our business,or subject us to other structural or behavioral remedies thatadversely affect our business.11Table of ContentsFor additional information about government regulation applicable to our business,see Part I,Item 1A,Risk Factors in this Annual Report on Form10-K.Human Capit

165、alAt Meta,everything we do is about helping people feel connected and closer,and we are proud of our unique company culture.We had a global workforce of 74,067 employees as of December 31,2024,and we have offices in more than 90 cities around the world.We arecommitted to fostering an enriching envir

166、onment for our workforce and we are focused on supporting our people in doing the best work of their careers.Weoffer competitive compensation and a wide range of benefits,including many learning and development resources.From time to time,we implement organizational changes to pursue greater efficie

167、ncy and realign our business and strategic priorities.For example,wehave previously undertaken cost reduction efforts such as scaling back budgets,reducing company perks,shrinking our real estate footprint,and employeelayoffs and restructurings.We make it a priority to treat outgoing employees with

168、respect and provide a generous severance package.For U.S.employees,thatincludes severance payments,payment for all remaining paid time off,and restricted stock unit vesting through their last day on payroll,as well as certaincontinuing coverage of the cost of healthcare for employees and their famil

169、ies,career services with an external vendor,and immigration support.We offersimilar support for outgoing employees outside of the United States while taking into account local employment laws.Employee Learning and DevelopmentWe value our investment in growing and keeping a highly skilled workforce.W

170、e aim to provide all of our employees with regular performance reviewstwice a year as we believe it is an important part of how we support their growth and career development while also recognizing and rewarding their impact atMeta.We also offer career development opportunities and work experience p

171、rograms that extend beyond the physical and virtual classroom.To do this,weutilize various learning modalities,such as live virtual and in-person learning experiences,on-demand e-learning,self-service resources,learning communities,and coaching engagements.The Pulse of Our WorkforceEach year,we cond

172、uct company-wide employee surveys to help us understand how employees feel about working at Meta and what we can do toimprove their experience.Our surveys help us measure company,manager,team,and personal experience over time.Further,our more frequent surveys,suchas those that have been administered

173、 daily to an ongoing random sample of employees,allow us to measure real-time sentiment around emerging events andcompany changes.These surveys are designed to invite feedback and actionable suggestions,inform decisions,and drive change across the company.Compensation,Benefits,Health,and Well-beingW

174、e offer competitive compensation to attract and retain the best people,and we help care for our people so they can focus on our mission.Ouremployees total compensation package includes market-competitive salary,bonuses or sales incentives,and equity.We generally offer full-time employeesequity at th

175、e time of hire and through annual equity grants because we want them to be owners of the company and committed to our long-term success.Wehave conducted pay equity analyses for many years,and continue to be committed to pay equity.For example,in September 2024,we announced that wecontinue to have pa

176、y equity for gender globally and ethnicity in the United States.Through Life Meta,our holistic approach to benefits,we continue to provide our employees and their dependents with resources to help them thrive.We offer a wide range of benefits across areas such as health,family,finance,community,12Ta

177、ble of Contentsand time away,including family building benefits,family care resources,retirement savings plans,access to legal services,Meta Resource Groups to buildcommunity at Meta,and health and well-being benefits.Our health and well-being programs are designed to give employees a choice of flex

178、ible benefits to help them reach their personal well-being goals.Ourprograms are tailored to help boost employee physical and mental health,create financial peace of mind,provide support for families,and help employeesbuild a strong community.The Strength of Our Workforce and People ProcessesIn earl

179、y 2025,we announced changes to our diversity programs in light of the shifting legal and policy landscape.We will continue to work to build aninclusive workplace where we can leverage our collective cognitive diversity to build the best products and make the best decisions for the global communitywe

180、 serve.We want our products to work for people around the world and we need to grow and keep the best talent in order to do that.We remain committed tohaving a skilled,inclusive and diverse workforce with a broad range of knowledge,skills,political views,backgrounds,and perspectives because we belie

181、vecognitive diversity fuels innovation.To aid in this effort,we have taken steps to reduce bias in our people processes and tooling,including our hiring processesand performance management systems.Corporate InformationWe were incorporated in Delaware in July 2004.We completed our initial public offe

182、ring in May 2012 and our Class A common stock is currently listedon the Nasdaq Global Select Market under the symbol META.Our principal executive offices are located at 1 Meta Way,Menlo Park,California 94025,andour telephone number is(650)543-4800.Meta,the Meta logo,Meta Quest,Meta Horizon,Facebook,

183、Instagram,WhatsApp,Reels,and our other registered or common law trademarks,servicemarks,or trade names appearing in this Annual Report on Form 10-K are the property of Meta Platforms,Inc.or its affiliates.Other trademarks,service marks,or trade names appearing in this Annual Report on Form 10K are t

184、he property of their respective owners.Available InformationOur Annual Reports on Form 10-K,Quarterly Reports on Form 10-Q,Current Reports on Form 8-K,and amendments to reports filed pursuant toSections 13(a)and 15(d)of the Securities Exchange Act of 1934,as amended(Exchange Act),are filed with the

185、U.S.Securities and Exchange Commission(SEC).We are subject to the informational requirements of the Exchange Act and file or furnish reports,proxy statements,and other information with the SEC.Such reports and other information filed by us with the SEC are available free of charge on our website at

186、when such reports are availableon the SECs website.We use our and as well as Mark Zuckerbergs Facebook Page( account( Threads profile( means of disclosing material non-public information and for complying with our disclosure obligations under Regulation FD.The SEC maintains an Internet site that con

187、tains reports,proxy and information statements,and other information regarding issuers that fileelectronically with the SEC at www.sec.gov.The contents of the websites referred to above are not incorporated into this filing.Further,our references to the URLs for these websites are intended tobe inac

188、tive textual references only.13Table of ContentsItem 1A.Risk FactorsCertain factors may have a material adverse effect on our business,financial condition,and results of operations.You should consider carefully the risks anduncertainties described below,in addition to other information contained in

189、this Annual Report on Form 10-K,including our consolidated financial statementsand related notes.The risks and uncertainties described below are not the only ones we face.Additional risks and uncertainties that we are unaware of,or thatwe currently believe are not material,may also become important

190、factors that adversely affect our business.If any of the following risks actually occurs,ourbusiness,financial condition,results of operations,and future prospects could be materially and adversely affected.In that event,the trading price of ourClass A common stock could decline,and you could lose p

191、art or all of your investment.Summary Risk FactorsOur business is subject to a number of risks,including risks that may prevent us from achieving our business objectives or may adversely affect ourbusiness,financial condition,results of operations,cash flows,and prospects.These risks are discussed m

192、ore fully below and include,but are not limited to,risks related to:Risks Related to Our Product Offeringsour ability to add and retain users and maintain levels of user engagement with our products;the loss of,or reduction in spending by,our marketers;reduced availability of data signals used by ou

193、r ad targeting and measurement tools;ineffective operation with mobile operating systems or changes in our relationships with mobile operating system partners;failure of our new products,or changes to our existing products,to attract or retain users or generate revenue;Risks Related to Our Business

194、Operations and Financial Resultsour ability to compete effectively;fluctuations in our financial results;unfavorable media coverage and other risks affecting our ability to maintain and enhance our brands;our ability to build,maintain,and scale our technical infrastructure,and risks associated with

195、disruptions in our service,catastrophic events,andcrises;operating our business in multiple countries around the world;litigation,including class action lawsuits;acquisitions and our ability to successfully integrate our acquisitions;Risks Related to Government Regulation and Enforcementgovernment r

196、estrictions on access to Facebook or our other products,or other actions that impair our ability to sell or deliver advertising,in theircountries;complex and evolving U.S.and foreign privacy,data use,data combination,data protection,content and content moderation,competition,youth,safety,consumer pr

197、otection,advertising,and other laws and regulations,including the General Data Protection Regulation(GDPR),DigitalMarkets Act(DMA),Digital Services Act(DSA),Artificial Intelligence Act(EU AI Act),and the UK Digital Markets,Competition andConsumer Act(DMCC);the impact of government investigations,enf

198、orcement actions,and settlements,including litigation and investigations by privacy,consumerprotection,and competition authorities,among others;14Table of Contentsour ability to comply with regulatory and legislative privacy requirements,including our consent order with the Federal Trade Commission(

199、FTC);Risks Related to Data,Security,Platform Integrity,and Intellectual Propertythe occurrence of security breaches,improper access to or disclosure of our data or user data,and other cyber incidents,as well as intentionalmisuse of our services and other undesirable activity on our platform;our abil

200、ity to obtain,maintain,protect,and enforce our intellectual property rights;andRisks Related to Ownership of Our Class A Common Stocklimitations on the ability of holders of our Class A Common Stock to influence corporate matters due to the dual class structure of our commonstock and the control of

201、a majority of the voting power of our outstanding capital stock by our founder,Chairman,and Chief Executive Officer(CEO).Risks Related to Our Product OfferingsIf we fail to retain existing users or add new users,or if our users decrease their level of engagement with our products,our revenue,financi

202、al results,andbusiness may be significantly harmed.The size of our active user base and our users level of engagement across our products are critical to our success.Our financial performance has beenand will continue to be significantly determined by our success in adding,retaining,and engaging act

203、ive users of our products that deliver ad impressions,particularly for Facebook and Instagram.We have experienced,and expect to continue to experience,fluctuations and declines in the size of our active userbase in one or more markets from time to time,particularly in markets where we have achieved

204、higher penetration rates.User growth and engagement are alsoimpacted by a number of other factors,including competitive products and services,such as TikTok,that have reduced some users engagement with ourproducts and services,as well as global and regional business,macroeconomic,and geopolitical co

205、nditions.For example,the COVID-19 pandemic led toincreases and decreases in the size and engagement of our active user base from period to period at different points during the pandemic.In addition,inconnection with the war in Ukraine,access to Facebook and Instagram was restricted in Russia and the

206、se services were then prohibited by the Russiangovernment,which contributed to slight decreases in the size of our active user base following the onset of the war.Any future declines in the size of our activeuser base may adversely impact our ability to deliver ad impressions and,in turn,our financi

207、al performance.If people do not perceive our products to be useful,reliable,and trustworthy,we may not be able to attract or retain users or otherwise maintain orincrease the frequency and duration of their engagement.A number of other social networking companies that achieved early popularity have

208、since seen theiractive user bases or levels of engagement decline,in some cases precipitously.There is no guarantee that we will not experience a similar erosion of our activeuser base or engagement levels.Our user engagement patterns have changed over time,and user engagement can be difficult to me

209、asure,particularly as we andour competitors introduce new and different products and services.Any number of factors can negatively affect user retention,growth,and engagement,including if:users increasingly engage with other competitive products or services;we fail to introduce new features,products

210、,or services that users find engaging or if we introduce new products or services,or make changes toexisting products and services,that are not favorably received;users feel that their experience is diminished as a result of the decisions we make with respect to the frequency,prominence,format,size,

211、andquality of ads that we display;users have difficulty installing,updating,or otherwise accessing our products on mobile devices as a result of actions by us or third parties that werely on to distribute our products and deliver our services;user behavior on any of our products changes,including de

212、creases in the quality and frequency of content shared on our products and services;we are unable to continue to develop products for mobile devices that users find engaging,that work with a variety of mobile operating systemsand networks,and that achieve a high level of market acceptance;15Table of

213、 Contentsthere are decreases in user sentiment due to questions about the quality or usefulness of our products or our user data practices,concerns about thenature of content made available on our products,or concerns related to privacy,safety,security,well-being,or other factors;we are unable to ma

214、nage and prioritize information to ensure users are presented with content that is appropriate,interesting,useful,and relevantto them;we are unable to obtain or attract engaging third-party content;we are unable to successfully maintain or grow usage of and engagement with applications that integrat

215、e with our products;users adopt new technologies where our products may be displaced in favor of other products or services,or may not be featured or otherwiseavailable;there are changes mandated by legislation,government and regulatory authorities,or litigation that adversely affect our products or

216、 users;we are unable to offer a number of our most significant products and services,including Facebook and Instagram,in Europe,or are otherwiselimited in our business operations,as a result of European courts invalidating the EU-U.S.DPF or regulators,courts,or legislative bodiesdetermining that the

217、 legal bases we rely upon to transfer user data from the European Union to the United States are invalid;there is decreased engagement with our products,decreased efficiency of our advertising products,or failure to accept our terms of service,aspart of changes that we have implemented or may implem

218、ent in the future,whether voluntarily,in connection with the GDPR,the EuropeanUnions ePrivacy Directive,the DMA,the DSA,the DMCC,U.S.state privacy laws including the California Consumer Privacy Act,as amendedby the California Privacy Rights Act(CCPA),youth social media laws,or other laws,regulations

219、,or regulatory actions,or otherwise;technical or other problems prevent us from delivering our products in a rapid and reliable manner or otherwise affect the user experience,such assecurity breaches or failure to prevent or limit spam or otherwise objectionable content,or users feel their experienc

220、e is diminished as a result ofour efforts to protect the security and integrity of our platform;we adopt terms,policies,or procedures related to areas such as sharing,content,user data,or advertising,or we take,or fail to take,actions toenforce our policies,that result in our removal of users from o

221、ur platform or are perceived negatively by our users or the general public,includingas a result of decisions or recommendations from the independent Oversight Board regarding content on our platform;we elect to focus our product decisions on longer-term initiatives that do not prioritize near-term u

222、ser growth and engagement(for example,wehave announced plans to focus product decisions on optimizing the young adult experience in the long term);we make changes in our user account login or registration processes or changes in how we promote different products and services across ourfamily of prod

223、ucts;initiatives designed to attract and retain users and engagement,including the use of evolving technologies such as generative artificialintelligence,are unsuccessful or discontinued,whether as a result of actions by us,our competitors,or other third parties,or otherwise;third-party initiatives

224、that may enable greater use of our products,including low-cost or discounted data plans,are scaled back or discontinued,orthe pricing of data plans otherwise increases;there is decreased engagement with our products as a result of taxes imposed on the use of social media or other mobile applications

225、 in certaincountries,internet shutdowns,or other actions by governments that affect the accessibility of our products in their countries(for example,beginning in the first quarter of 2022,our user growth and engagement were adversely affected by the war in Ukraine and service restrictionsimposed by

226、the Russian government);we fail to provide adequate customer service to users,marketers,developers,or other partners;16Table of Contentswe,developers whose products are integrated with our products,or other partners and companies in our industry are the subject of adverse mediareports or other negat

227、ive publicity,including as a result of our or their user data practices;orour current or future products,such as our development tools and application programming interfaces that enable developers to build,grow,andmonetize applications,reduce user activity on our products by making it easier for our

228、 users to interact and share on third-party applications.From time to time,certain of these factors have negatively affected user retention,growth,and engagement to varying degrees.If we are unable tomaintain or increase our user base and user engagement,particularly for our significant revenue-gene

229、rating products like Facebook and Instagram,our revenueand financial results may be adversely affected.Any significant decrease in user retention,growth,or engagement could render our products less attractive tousers,marketers,and developers,which is likely to have a material and adverse impact on o

230、ur ability to deliver ad impressions and,accordingly,our revenue,business,financial condition,and results of operations.As the size of our active user base fluctuates in one or more markets from time to time,we will becomeincreasingly dependent on our ability to maintain or increase levels of user e

231、ngagement and monetization in order to grow revenue.We generate substantially all of our revenue from advertising.The loss of marketers,or reduction in spending by marketers,could seriously harm ourbusiness.Substantially all of our revenue is currently generated from marketers advertising on Faceboo

232、k and Instagram.As is common in the industry,ourmarketers do not have long-term advertising commitments with us.Many of our marketers spend only a relatively small portion of their overall advertisingbudget with us.Marketers will not continue to do business with us,or they will reduce the budgets th

233、ey are willing to commit to us,if we do not deliver ads inan effective manner,if they do not believe that their investment in advertising with us will generate a competitive return relative to other alternatives,or if theyare not satisfied for any other reason.We have implemented,and we will continu

234、e to implement,changes to our user data practices.Some of these changesreduce our ability to effectively target ads,which has to some extent adversely affected,and will continue to adversely affect,our advertising business.If weare unable to provide marketers with a suitable return on investment,the

235、 demand for our ads may not increase,or may decline,in which case our revenue andfinancial results may be harmed.Our advertising revenue can also be adversely affected by a number of other factors,including:decreases in user engagement,including time spent on our products;our inability to continue t

236、o increase user access to and engagement with our products;product changes or inventory management decisions we may make that change the size,format,frequency,or relative prominence of adsdisplayed on our products or of other unpaid content shared by marketers on our products;our inability to mainta

237、in or increase marketer demand,the pricing of our ads,or both;our inability to maintain or increase the quantity or quality of ads shown to users;changes to the content or application of third-party policies that limit our ability to deliver,target,or measure the effectiveness of advertising,includi

238、ng changes by mobile operating system and browser providers such as Apple and Google;adverse litigation,government actions,or legislative,regulatory,or other legal developments relating to advertising,including developments thatmay impact certain advertisers ability to advertise on our platform or o

239、ur ability to deliver,target,or measure the effectiveness of advertising;user behavior or product changes that may reduce traffic to features or products that we monetize at a higher rate,such as our Feed and Storiesproducts,including as a result of increased usage of our Reels or other video or mes

240、saging products;reductions of advertising due to our efforts to implement or enforce advertising policies that protect the security and integrity of our platform orthat we believe are needed to comply with global content,security,or integrity obligations;17Table of Contentsthe availability,accuracy,

241、utility,and security of analytics and measurement solutions offered by us or third parties that demonstrate the value ofour ads to marketers,or our ability to further improve such tools;loss of advertising market share to our competitors,including if prices to purchase our ads increase or if competi

242、tors offer lower priced,moreintegrated,or otherwise more effective products;limitations on our ability to offer a number of our most significant products and services,including Facebook and Instagram,in Europe as a resultof European courts invalidating the EU-U.S.DPF or regulators,courts,or legislat

243、ive bodies determining that the legal bases we rely upon totransfer user data from the European Union to the United States are invalid;limitations on our ability to deliver ads to users under the age of 18 and,in some cases,to continue to offer certain products or services to certaincohorts of users

244、,whether voluntarily,as a result of new laws,regulations,or government actions in the United States and other jurisdictions,orotherwise;changes in our marketing and sales or other operations that we are required to or elect to make as a result of risks related to complying with lawsor regulatory req

245、uirements or other government actions;decisions by marketers to reduce their advertising as a result of announcements by us or adverse media reports or other negative publicityinvolving us,our user data practices,our advertising metrics or tools,content on our products,our interpretation,implementat

246、ion,or enforcementof policies relating to content on our products(including as a result of decisions or recommendations from the independent Oversight Board),developers with applications that are integrated with our products,or other companies in our industry;reductions of advertising by marketers d

247、ue to illegal,illicit,or otherwise objectionable content made available on our products by third parties,questions about our user data practices or the security of our platform,concerns about brand safety or potential legal liability,or uncertaintyregarding regulatory developments or their own legal

248、 and compliance obligations,including with respect to artificial intelligence;the effectiveness of our ad targeting or degree to which users consent to,opt out of,or reduce the use of data for ads,including as a result ofproduct changes and controls that we have implemented or may implement in the f

249、uture in connection with the GDPR,ePrivacy Directive,DMA,DMCC,U.S.state privacy laws including the CCPA,and other laws,regulations,regulatory actions,or litigation,or otherwise,that impact ourability to use data for advertising purposes(for example,in response to regulatory developments in Europe,we

250、 began offering our users asubscription for no ads alternative in the European Union,European Economic Area,and Switzerland,and subsequently in November 2024provided users in those regions who elect to continue receiving our services free-of-charge,supported by ads,an option to see less personalized

251、ads);the degree to which users cease or reduce the number of times they engage with our ads;changes in the way advertising on mobile devices or on personal computers is measured or priced;the success of technologies designed to block the display of ads or ad measurement tools;changes in the composit

252、ion of our marketer base or our inability to maintain or grow our marketer base;andthe impact of macroeconomic and geopolitical conditions,whether in the advertising industry in general,or among specific types of marketers orwithin particular geographies,which in turn can have broader effects in oth

253、er regions(for example,the war in Ukraine and service restrictionsimposed by the Russian government have adversely affected our advertising business in Europe and other regions,and advertiser spending alsocan be subject to adverse effects from conflicts in the Middle East or the implementation of ta

254、riffs by the United States,China,or othergovernments).From time to time,certain of these factors have adversely affected our advertising revenue to varying degrees.The occurrence of any of these or otherfactors in the future,including our enforcement efforts,could result in a reduction in marketer s

255、pend or demand for our ads,which may reduce the prices wereceive for our ads,could cause marketers to stop advertising with us altogether,or could otherwise negatively affect our revenue and financial results,andcould be material.18Table of ContentsOur ad targeting and measurement tools incorporate

256、data signals from user activity on websites and services that we do not control,as well as signalsgenerated within our products,and changes to the regulatory environment,third-party mobile operating systems and browsers,and our own products haveimpacted,and we expect will continue to impact,the avai

257、lability of such signals,which will adversely affect our advertising revenue.Our ad targeting and measurement tools rely on data signals from user activity on websites and services that we do not control,as well as signalsgenerated within our products,in order to deliver relevant and effective ads t

258、o our users,and any changes in our ability to use such signals will adversely affectour business.For example,legislative and regulatory developments,such as the GDPR,ePrivacy Directive,DMA,and U.S.state privacy laws,including theCCPA,have impacted,and we expect will continue to impact,our ability to

259、 use such signals in our ad products.In particular,we have seen increases in thenumber of users opting to control certain types of ad targeting in Europe following product changes implemented in connection with our GDPR and ePrivacyDirective compliance,and we have introduced product changes that lim

260、it data signal use for certain users in California following adoption of the CCPA.OtherU.S.state privacy laws,such as the Texas Data Privacy and Security Act,the Colorado Privacy Act,and the Oregon Consumer Privacy Act,are introducingadditional rights for users and could result in restrictions on ou

261、r use of signals from third-party apps and websites through certain browser-and device-baseduniversal opt-out mechanisms.Judicial and regulatory guidance,decisions,or enforcement actions,or new legislation in these or other jurisdictions mayrequire us to make additional changes to our products in th

262、e future that further reduce our ability to use these signals,which has occurred in the past.Forexample,in response to regulatory developments in Europe,we announced plans to change the legal basis for behavioral advertising on Facebook andInstagram in the European Union,European Economic Area,and S

263、witzerland from legitimate interests to consent,and in November 2023 we beganoffering users in the region a subscription for no ads alternative.We are engaging with regulators on our consent model,including regarding compliance withrequirements under the GDPR,DMA,and EU consumer laws.For example,in

264、March 2024,the European Commission opened formal proceedings regardingthe compliance of our subscription for no ads model with requirements under the DMA,and it issued preliminary findings in July 2024.In addition,theEuropean Data Protection Board has published an opinion on the operation of such mo

265、dels under GDPR and European consumer protection organizations haveraised concerns regarding our compliance with consumer protection laws.In response to these developments,in November 2024,we began offering users inthe European Union,European Economic Area,and Switzerland who elect to continue using

266、 our services free-of-charge,supported by ads,an option to see lesspersonalized ads,which are expected to be less relevant and effective than our premium ad offerings.In addition,mobile operating system and browser providers,such as Apple and Google,have implemented product changes and/or announced

267、futureplans to limit the ability of websites and application developers to collect and use these signals to target and measure advertising.For example,in 2021,Applemade certain changes to its products and data use policies in connection with changes to its iOS operating system that reduce our and ot

268、her iOS developersability to target and measure advertising,which has negatively impacted,and we expect will continue to negatively impact,the size of the budgets marketersare willing to commit to us and other advertising platforms.In addition,we have implemented,and may continue to implement,produc

269、t changes that give usersthe ability to limit our use of such data signals to improve ads and other experiences on our products and services,including changes implemented inconnection with the GDPR,ePrivacy Directive,DMA,and other regulatory frameworks.These developments have limited our ability to

270、target and measure the effectiveness of ads on our platform and negatively impacted our advertisingrevenue.For example,our advertising revenue has been negatively impacted by marketer reaction to targeting and measurement challenges associated with iOSchanges beginning in 2021.If we are unable to mi

271、tigate these developments as they take further effect in the future,our targeting and measurement capabilitieswill be materially and adversely affected,which would in turn significantly impact our advertising revenue.Our user growth,engagement,and monetization on mobile devices depend upon effective

272、 operation with mobile operating systems,networks,technologies,products,and standards that we do not control.The substantial majority of our revenue is generated from advertising on mobile devices.There is no guarantee that popular mobile devices will continueto feature our products,or that mobile d

273、evice users will continue to use our products rather than competing products.We are dependent on the interoperabilityof our products with popular mobile operating systems,networks,technologies,products,and standards that we do not control,such as the Android and iOSoperating systems and mobile brows

274、ers.Changes,bugs,or technical issues in such systems,or changes in our relationships with mobile operating systempartners,handset manufacturers,browser developers,or mobile carriers,or in the content or application of their terms of service or policies(which they havemade in the past and continue to

275、 seek to implement)that degrade our products functionality,reduce or eliminate our ability to update or distribute our products,give preferential treatment to19Table of Contentscompetitive products,limit our ability to deliver,target,or measure the effectiveness of ads,or charge fees related to the

276、distribution of our products or ourdelivery of ads have adversely affected,and could in the future adversely affect,the usage of our products and monetization on mobile devices.For example,Apple previously released an update to its Safari browser that limits the use of third-party cookies,which redu

277、ces our ability to provide the most relevant ads toour users and impacts monetization,and also released changes to iOS that limit our ability to target and measure ads effectively,while expanding their ownadvertising business.In addition,Google previously proposed phasing out third-party cookies in

278、its Chrome browser.We expect that any similar changes toApples,Googles,or other browser or mobile platforms will further limit our ability to target and measure the effectiveness of ads and impact monetization.Additionally,in order to deliver high quality mobile products,it is important that our pro

279、ducts work well with a range of mobile technologies,products,systems,networks,and standards that we do not control,and that we have good relationships with handset manufacturers,mobile carriers,and browserdevelopers.We may not be successful in maintaining or developing relationships with key partici

280、pants in the mobile ecosystem or in developing products thatoperate effectively with these technologies,products,systems,networks,or standards.In the event that it is more difficult for our users to access and use ourproducts on their mobile devices,or if our users choose not to access or use our pr

281、oducts on their mobile devices or use mobile products that do not offer accessto our products,our user growth and user engagement could be harmed.From time to time,we may also take actions regarding the distribution of our productsor the operation of our business based on what we believe to be in ou

282、r long-term best interests.Such actions may adversely affect our users and ourrelationships with the operators of mobile operating systems,handset manufacturers,mobile carriers,browser developers,other business partners,oradvertisers,and there is no assurance that these actions will result in the an

283、ticipated long-term benefits.In the event that our users are adversely affected bythese actions or if our relationships with such third parties deteriorate,our user growth,engagement,and monetization could be adversely affected and ourbusiness could be harmed.We have experienced challenges in operat

284、ing with mobile operating systems,networks,technologies,products,and standards thatwe do not control,and any such occurrences in the future may negatively impact our user growth,engagement,and monetization on mobile devices,whichmay in turn materially and adversely affect our business and financial

285、results.Our new products and changes to existing products could fail to attract or retain users or generate revenue and profits,or otherwise adversely affect ourbusiness.Our ability to retain,increase,and engage our user base and to increase our revenue depends heavily on our ability to continue to

286、evolve our existingproducts and to create successful new products,both independently and in conjunction with developers or other third parties.We may introduce significantchanges to our existing products or acquire or introduce new and unproven products,including using technologies with which we hav

287、e little or no priordevelopment or operating experience.For example,we have relatively limited experience with consumer hardware products and virtual,augmented,and mixedreality technology,which may adversely affect our ability to successfully develop and market these evolving products and technologi

288、es.We are also makingsignificant investments in artificial intelligence(AI)initiatives across our business.For example,we continue to launch new AI features on our products,including support for new modalities,conversational AIs,stickers and photos,and editing tools.We continue to incur substantial

289、costs,and we may not besuccessful in generating profits,in connection with these efforts.In addition,we have invested,and expect to continue to invest,significant resources in growing our messaging products to support increasing usage ofsuch products.We have historically monetized messaging in only

290、a limited fashion,and we may not be successful in our efforts to generate meaningful revenueor profits from messaging over the long term.Our efforts to implement default end-to-end encryption across our messaging services on Facebook andInstagram have been subject to governmental and regulatory scru

291、tiny in multiple jurisdictions.For example,the Nevada Attorney General is seeking to enjoinour offering of default end-to-end encryption on Messenger for all Nevada residents under the age of 18.If our new products or changes to existing products fail to engage users,marketers,or developers,or if ou

292、r business plans are unsuccessful,we may failto attract or retain users or to generate sufficient revenue,operating margin,or other value to justify our investments,and our business may be adverselyaffected.We may not be successful in our artificial intelligence initiatives,which could adversely aff

293、ect our business,reputation,or financial results.We are making significant investments in AI initiatives,including generative AI,to,among other things,recommend relevant content across ourproducts,enhance our advertising tools,develop new products,and develop new features for existing products.In pa

294、rticular,we expect our AI initiatives willrequire increased investment in infrastructure and headcount.If our investments are not successful longer-term,our business and financial performance couldbe harmed.20Table of ContentsThere are significant risks involved in developing and deploying AI and th

295、ere can be no assurance that the usage of AI will enhance our products orservices or be beneficial to our business,including our efficiency or profitability.For example,our AI-related efforts,particularly those related to generative AI,subject us to risks related to harmful or illegal content,accura

296、cy,misinformation and deepfakes(including related to elections),bias,discrimination,toxicity,consumer protection,intellectual property infringement or misappropriation,defamation,data privacy,cybersecurity,and sanctions and export controls,amongothers.It is also uncertain how various laws related to

297、 online services,intermediary liability,and other issues will apply to content generated by AI.In addition,we are subject to the risks of new or enhanced governmental or regulatory scrutiny,litigation,or other legal liability,ethical concerns,negative consumerperceptions as to automation and AI,acti

298、vities that threaten peoples safety or well-being on-or offline,or other complications that could adversely affect ourbusiness,reputation,or financial results.As a result of the complexity and rapid development of AI,it is also the subject of evolving review by various governmental and regulatory ag

299、encies injurisdictions around the world,which are applying,or are considering applying,platform moderation,intellectual property,cybersecurity,export controls,anddata protection laws to AI and/or are considering general legal frameworks on AI(such as the recently passed EU AI Act).We may not always

300、be able toanticipate how courts and regulators will apply existing laws to AI,predict how new legal frameworks will develop to address AI,or otherwise respond to theseframeworks as they are still rapidly evolving.We may also have to expend resources to adapt to new legal frameworks,and adjust our of

301、ferings in certainjurisdictions if the legal frameworks on AI are not consistent across jurisdictions.Further,we face significant competition from other companies that are developing their own AI features and technologies.Other companies maydevelop AI features and technologies that are similar or su

302、perior to our technologies or are more cost-effective to develop and deploy.Given the long history ofdevelopment in the AI sector,other parties may have(or in the future may obtain)patents or other proprietary rights that would prevent,limit,or interfere withour ability to make,use,or sell our own A

303、I features.Our AI initiatives also depend on our access to data to effectively train our models.Further,our ability tocontinue to develop and effectively deploy AI technologies is dependent on access to specific third-party equipment and other technical and physicalinfrastructure,such as processing

304、hardware,network capacity,computing power,and related energy requirements,as to which we cannot control theavailability or pricing,especially in a highly competitive environment.We are also developing AI technology that we make available via open source,commercial,and non-commercial license agreemen

305、ts to third-parties thatcan use this technology for use in their own products and services.We may not have insight into,or control over,the practices of third parties who may utilizesuch AI technologies.As such,we cannot guarantee that third parties will not use such AI technologies for improper pur

306、poses,including through thedissemination of illegal,inaccurate,defamatory or harmful content,intellectual property infringement or misappropriation,furthering bias or discrimination,cybersecurity attacks including spear phishing attacks,data privacy violations,other activities that threaten peoples

307、safety or well-being on-or offline,or todevelop competing technologies.While we may mitigate certain risks associated with the improper use of our AI models through both technical measures andthe inclusion of contractual restrictions on third-party use in any agreement between us and any third party

308、,we cannot guarantee that such measures will beeffective.Such improper use by any third party could adversely affect our business,reputation,or financial results or subject us to legal liability.It is not possible to predict all of the risks related to the use of AI and changes in laws,rules,directi

309、ves,and regulations or other regulatory developmentsregarding the use of AI,including restrictions around the collection and use of data,may adversely affect our ability to develop and use AI or subject us to legalliability.We make product and investment decisions that may not prioritize short-term

310、financial results and may not produce the long-term benefits that we expect.We frequently make product and investment decisions that may not prioritize short-term financial results if we believe that the decisions are consistentwith our mission and benefit the aggregate user experience and will ther

311、eby improve our financial performance over the long term.For example,we haveimplemented,and we will continue to implement,changes to our user data practices.Some of these changes reduce our ability to effectively target ads,whichhas to some extent adversely affected,and will continue to adversely af

312、fect,our advertising business.For example,our Your Activity off-Meta Technologiestool enables users to place limits on our storage and use of information about their interactions with advertisers apps and websites,which reduces our ability todeliver the most relevant and effective ads to our users.S

313、imilarly,21Table of Contentsfrom time to time we update our Feed display and ranking algorithms or other product features to improve the user experience,and these changes have had,andmay in the future have,the effect of reducing time spent and some measures of user engagement with our products,which

314、 could adversely affect our financialresults.From time to time,we also change the size,frequency,or relative prominence of ads as part of our product and monetization strategies.In addition,wehave made,and we expect to continue to make,other changes to our products which may adversely affect the dis

315、tribution of content of publishers,marketers,and developers,and could reduce their incentive to invest in their efforts on our products.We also may introduce new features or other changes to existingproducts,or introduce new stand-alone products,that attract users away from properties,formats,or use

316、 cases where we have more proven means ofmonetization,such as our Feed products.In addition,as we focus on growing users and engagement across our family of products,from time to time theseefforts have reduced,and may in the future reduce,engagement with one or more products and services in favor of

317、 other products or services that we monetizeless successfully or that are not growing as quickly.For example,we plan to continue to promote Reels,which we expect will continue to monetize at a lowerrate than our Feed and Stories products for the foreseeable future.These decisions may adversely affec

318、t our business and results of operations and may notproduce the long-term benefits that we expect.We may not be successful in our Reality Labs strategy and investments,which could adversely affect our business,reputation,or financial results.Our Reality Labs efforts include our metaverse and wearabl

319、es initiatives.We believe the metaverse,an embodied internet where people have immersiveexperiences beyond two-dimensional screens,is the next evolution in social technology.In 2021,we announced a shift in our business and product strategy tofocus on helping to bring the metaverse to life,and we are

320、 directing our efforts toward innovations in AI,wearables,and devices to help build next-generationinterfaces.We expect this will be a complex,evolving,and long-term initiative that will involve the development of new and emerging technologies,continuedinvestment in infrastructure as well as privacy

321、,safety,and security efforts,and collaboration with other companies,developers,partners,and other participants.However,the metaverse may not develop in accordance with our expectations,and market acceptance of features,products,or services we build is uncertain.We regularly evaluate our product road

322、maps and make significant changes as our understanding of the technological challenges and market landscape and ourproduct ideas and designs evolve.In addition,we have relatively limited experience with consumer hardware products and virtual,augmented,and mixedreality technology,which may enable oth

323、er companies to compete more effectively than us.We may be unsuccessful in our research and product developmentefforts,including if we are unable to develop relationships with key participants in the metaverse or develop products that operate effectively with metaversetechnologies,products,systems,n

324、etworks,or standards.For example,some of our consumer hardware products depend on the ability to operate with third-party mobile platforms and these platforms do not necessarily provide our products with the same levels of interoperability that they provide to their owncompeting products.In addition

325、,our Reality Labs efforts may also divert resources and management attention from other areas of our business.We expect tocontinue to make significant investments in virtual,augmented,and mixed reality and other technologies to support these efforts,and our ability to supportthese efforts is depende

326、nt on generating sufficient profits from other areas of our business.In addition,as our Reality Labs efforts evolve,we may be subject toa variety of existing or new laws and regulations in the United States and international jurisdictions,including in the areas of privacy,safety,AI,competition,conte

327、nt regulation,tariffs,export controls,consumer protection,and e-commerce,which may delay or impede the development of our products and services,increase our operating costs,require significant management time and attention,or otherwise harm our business.As a result of these or other factors,ourReali

328、ty Labs strategy and investments may not be successful in the foreseeable future,or at all,which could adversely affect our business,reputation,orfinancial results.If we are not able to maintain and enhance our brands,our ability to maintain or expand our base of users,marketers,and developers may b

329、e impaired,and our business and financial results may be harmed.We believe that our brands have significantly contributed to the success of our business.We also believe that maintaining and enhancing our brands iscritical to maintaining and expanding our base of users,marketers,and developers.Many o

330、f our new users are referred by existing users.Maintaining andenhancing our brands will depend largely on our ability to continue to provide useful,reliable,trustworthy,and innovative products,which we may not dosuccessfully.We may introduce new products,terms of service,or policies that users do no

331、t like,which may negatively affect our brands.Additionally,theactions of our developers or advertisers may affect our brands if users do not have a positive experience using third-party applications integrated with ourproducts or interacting with parties that advertise through our products.We will a

332、lso continue to experience media,legislative,or regulatory scrutiny of ouractions or decisions regarding user privacy,data use,encryption,content,product design,algorithms,advertising,competition,generative AI,younger users,and other issues,including actions or decisions in connection with elections

333、 or geopolitical events,which has adversely affected,and22Table of Contentsmay in the future adversely affect,our reputation and brands.For example,in January 2025,we announced certain changes to our content policies andenforcement efforts to further free expression on our platform and mitigate over-enforcement of certain of our content policies.Beginning in September 2021,we became the subject of