Meta reassured investors about its AI investment strategy and potential competition from Chinese AI firm DeepSeek during its fourth-quarter earnings call on Wednesday.
Revenue Beats Estimates Despite Soft Forecast
The company reported $48.39 billion in revenue for Q4, surpassing analyst expectations of $46.98 billion. However, its Q1 2025 sales forecast fell short of projections, though investors appeared focused on other issues.
Zuckerberg Discusses AI, Content Moderation, and DeepSeek
During the earnings call, CEO Mark Zuckerberg addressed Meta’s content moderation policy, its AI spending plans for 2025, and competition from TikTok. He hinted at Llama 4 developments and expressed optimism about “progress and innovation” under President Donald Trump.
Regarding DeepSeek, Zuckerberg emphasized the importance of a U.S.-based company leading open-source AI to maintain a national advantage.
Trump Settlement Revealed Before Call
Meta’s earnings call started later than usual, coinciding with reports that Trump had signed a $25 million settlement agreement with Meta over his suspension from Facebook following the January 6 Capitol riots.
Stock Gains in After-Hours Trading
Despite market volatility, Meta’s stock edged 0.3% higher on Wednesday, reflecting investor confidence in the company’s AI and business strategy.
