# migrations

dir: embeddings_queue
filename: 00001-embeddings.sqlite.sql
hash: d3755dfd232be8e8301f4d7fcfb3a486
sql:
CREATE TABLE embeddings_queue (
    seq_id INTEGER PRIMARY KEY,
    created_at TIMESTAMP NOT NULL DEFAULT CURRENT_TIMESTAMP,
    operation INTEGER NOT NULL,
    topic TEXT NOT NULL,
    id TEXT NOT NULL,
    vector BLOB,
    encoding TEXT,
    metadata TEXT
);


dir: sysdb
filename: 00001-collections.sqlite.sql
hash: 38352d725ad1c16074fac420b22b4633
sql:
CREATE TABLE collections (
    id TEXT PRIMARY KEY,
    name TEXT NOT NULL,
    topic TEXT NOT NULL,
    UNIQUE (name)
);

CREATE TABLE collection_metadata (
    collection_id TEXT REFERENCES collections(id) ON DELETE CASCADE,
    key TEXT NOT NULL,
    str_value TEXT,
    int_value INTEGER,
    float_value REAL,
    PRIMARY KEY (collection_id, key)
);


dir: sysdb
filename: 00002-segments.sqlite.sql
hash: 2913cb6a503055a95f625448037e8912
sql:
CREATE TABLE segments (
    id TEXT PRIMARY KEY,
    type TEXT NOT NULL,
    scope TEXT NOT NULL,
    topic TEXT,
    collection TEXT REFERENCES collection(id)
);

CREATE TABLE segment_metadata (
    segment_id TEXT  REFERENCES segments(id) ON DELETE CASCADE,
    key TEXT NOT NULL,
    str_value TEXT,
    int_value INTEGER,
    float_value REAL,
    PRIMARY KEY (segment_id, key)
);


dir: sysdb
filename: 00004-tenants-databases.sqlite.sql
hash: 048867ce8fcdefe4023c7110e4433591
sql:
CREATE TABLE IF NOT EXISTS tenants (
    id TEXT PRIMARY KEY,
    UNIQUE (id)
);

CREATE TABLE IF NOT EXISTS databases (
    id TEXT PRIMARY KEY, -- unique globally
    name TEXT NOT NULL, -- unique per tenant
    tenant_id TEXT NOT NULL REFERENCES tenants(id) ON DELETE CASCADE,
    UNIQUE (tenant_id, name) -- Ensure that a tenant has only one database with a given name
);

CREATE TABLE IF NOT EXISTS collections_tmp (
    id TEXT PRIMARY KEY, -- unique globally
    name TEXT NOT NULL, -- unique per database
    topic TEXT NOT NULL,
    dimension INTEGER,
    database_id TEXT NOT NULL REFERENCES databases(id) ON DELETE CASCADE,
    UNIQUE (name, database_id)
);

-- Create default tenant and database
INSERT OR REPLACE INTO tenants (id) VALUES ('default_tenant'); -- The default tenant id is 'default_tenant' others are UUIDs
INSERT OR REPLACE INTO databases (id, name, tenant_id) VALUES ('00000000-0000-0000-0000-000000000000', 'default_database', 'default_tenant');

INSERT OR REPLACE INTO collections_tmp (id, name, topic, dimension, database_id)
    SELECT id, name, topic, dimension, '00000000-0000-0000-0000-000000000000' FROM collections;
DROP TABLE collections;
ALTER TABLE collections_tmp RENAME TO collections;


dir: metadb
filename: 00001-embedding-metadata.sqlite.sql
hash: 2b4cf52c4bb2676e21d6860a4409f856
sql:
CREATE TABLE embeddings (
    id INTEGER PRIMARY KEY,
    segment_id TEXT NOT NULL,
    embedding_id TEXT NOT NULL,
    seq_id BLOB NOT NULL,
    created_at TIMESTAMP NOT NULL DEFAULT CURRENT_TIMESTAMP,
    UNIQUE (segment_id, embedding_id)
);

CREATE TABLE embedding_metadata (
    id INTEGER REFERENCES embeddings(id),
    key TEXT NOT NULL,
    string_value TEXT,
    int_value INTEGER,
    float_value REAL,
    PRIMARY KEY (id, key)
);

CREATE TABLE max_seq_id (
    segment_id TEXT PRIMARY KEY,
    seq_id BLOB NOT NULL
);

CREATE VIRTUAL TABLE embedding_fulltext USING fts5(id, string_value);


dir: metadb
filename: 00002-embedding-metadata.sqlite.sql
hash: 12a570f7121b3a8ce750a2a7c36da20f
sql:
-- SQLite does not support adding check with alter table, as a result, adding a check
-- involve creating a new table and copying the data over. It is over kill with adding
-- a boolean type column. The application write to the table needs to ensure the data
-- integrity.
ALTER TABLE embedding_metadata ADD COLUMN bool_value INTEGER


dir: metadb
filename: 00003-full-text-tokenize.sqlite.sql
hash: f97ad6334aeaa8f419f01110b648b97a
sql:
CREATE VIRTUAL TABLE embedding_fulltext_search USING fts5(string_value, tokenize='trigram');
INSERT INTO embedding_fulltext_search (rowid, string_value) SELECT rowid, string_value FROM embedding_metadata;
DROP TABLE embedding_fulltext;


# embeddings_queue

created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8aafbc-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 0, "chroma:document": "UNITED ST ATES\nSECURITIES AND EXCHANGE COMMISSION\nWashington, D.C. 20549\n__________________________\nFORM 10-K\n__________________________\n(Mark One)\n\u2612    ANNUAL  REPOR T PURSUANT  TO SECTION 13 OR 15(d) OF  THE SECURITIES EXCHANGE ACT  OF 1934\nFor the fiscal year  ended December  31, 2023\nor\n\u2610    TRANSITION REPOR T PURSUANT  TO SECTION 13 OR 15(d) OF  THE SECURITIES EXCHANGE ACT  OF 1934\nFor the transition period fr om            to            \nCommission File Number: 001-35551\n__________________________\nMeta Platforms, Inc.\n(Exact name of r egistrant as specified in its charter)\n__________________________\nDelawar e 20-1665019\n(State or other jurisdiction of incorporation or organization) (I.R.S. Employer Identification Number)\n1 Meta Way, Menlo Park, California 94025\n(Address of principal executive offices and Zip Code)\n(650) 543-4800\n(Registrant's telephone number, including area code)\n__________________________\nSecurities r egister ed pursuant to Section 12(b) of the Act:\nTitle of each class Trading symbol(s) Name of each exchange on which registered\nClass A Common Stock, $0.000006 par value MET A The Nasdaq Stock Market LLC\nSecurities r egister ed pursuant to Section 12(g) of the Act: None\nIndicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act.    Yes  \u2612   No   \u2610\nIndicate by check mark if the registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Act.    Yes  \u2610  No  \u2612\nIndicate 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 preceding\n12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    Yes  \u2612     No  \u2610"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ab110-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 0, "chroma:document": "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 (\u00a7 232.405 of this chapter)\nduring the preceding 12 months (or for such shorter period that the registrant was required to submit such files).    Yes  \u2612     No  \u2610\nIndicate 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 definitions\nof \"large accelerated filer,\" \"accelerated filer,\" \"smaller reporting company,\" and \"emerging growth company\" in Rule 12b-2 of the Exchange Act.\nLarge accelerated filer \u2612 Accelerated filer \u2610\nNon-accelerated filer \u2610 Smaller reporting company \u2610\nEmerging growth company \u2610\nIf an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards\nprovided pursuant to Section 13(a) of the Exchange Act. \u2610\nIndicate by check mark whether the registrant has filed a report on and attestation to its management's assessment of the effectiveness of its internal control over financial reporting under Section\n404(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. \u2612\nIf securities are registered pursuant to Section 12(b) of the Act, indicate by check mark whether the financial statements of the registrant included in the filing reflect the correction of an error to\npreviously issued financial statements. \u2610\nIndicate by check mark whether any of those error corrections are restatements that required a recovery analysis of incentive-based compensation received by any of the registrant\u2019s executive officers\nduring the relevant recovery period pursuant to \u00a7240.10D-1(b). \u2610\nIndicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).    Yes  \u2610     No   \u2612\nThe aggregate market value of the voting and non-voting stock held by non-affiliates of the registrant as of June 30, 2023, the last business day of the registrant's most recently completed second fiscal"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ab192-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 0, "chroma:document": "quarter, was $637 billion based upon the closing price reported for such date on the Nasdaq Global Select Market. On January 26, 2024, the registrant had 2,200,048,907 shares of Class A common\nstock and 349,356,199 shares of Class B common stock outstanding."}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ab1f6-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 1, "chroma:document": "DOCUMENTS INCORPORATED BY REFERENCE\nPortions of the registrant's Proxy Statement for the 2024 Annual Meeting of Stockholders are incorporated herein by reference in Part III of this Annual Report on Form 10-K to the extent stated\nherein. Such proxy statement will be filed with the Securities and Exchange Commission within 120 days of the registrant's fiscal year ended December 31, 2023."}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ab25a-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 2, "chroma:document": "Meta Platforms, Inc.\nForm 10-K\nTABLE OF CONTENTS\nPage\nNote About Forward-Looking Statements 3\nLimitations of Key Metrics and Other Data 4\nPART I\nItem 1. Business 7\nItem 1A. Risk Factors 15\nItem 1B. Unresolved Staff Comments 51\nItem 1C. Cybersecurity 51\nItem 2. Properties 52\nItem 3. Legal Proceedings 52\nItem 4. Mine Safety Disclosures 56\nPART II\nItem 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities 57\nItem 6. [Reserved] 58\nItem 7. Management's Discussion and Analysis of Financial Condition and Results of Operations 59\nItem 7A. Quantitative and Qualitative Disclosures About Market Risk 82\nItem 8. Financial Statements and Supplementary Data 84\nItem 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure 126\nItem 9A. Controls and Procedures 126\nItem 9B. Other Information 126\nItem 9C. Disclosure Regarding Foreign Jurisdictions that Prevent Inspections 126\nPART III\nItem 10. Directors, Executive Officers and Corporate Governance 127\nItem 11. Executive Compensation 127\nItem 12. Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 127\nItem 13. Certain Relationships and Related Transactions, and Director Independence 127\nItem 14. Principal Accountant Fees and Services 127\nPART IV\nItem 15. Exhibit and Financial Statement Schedules 128\nItem 16. Form 10-K Summary 130\nSignatures 131\n2"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ab2be-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 3, "chroma:document": "Table of Contents\nNOTE ABOUT FORWARD-LOOKING STATEMENTS\nThis Annual Report on Form 10-K contains forward-looking statements. All statements contained in this Annual Report on Form 10-K other than\nstatements of historical fact, including statements regarding our future results of operations and financial position, our business strategy and plans, and our\nobjectives for future operations, are forward-looking statements. The words \"believe,\" \"may,\" \"will,\" \"estimate,\" \"continue,\" \"anticipate,\" \"intend,\" \"expect,\"\nand similar expressions are intended to identify forward-looking statements. We have based these forward-looking statements largely on our current\nexpectations and projections about future events and trends that we believe may affect our financial condition, results of operations, business strategy, short-\nterm and long-term business operations and objectives, and financial needs. These forward-looking statements are subject to a number of risks, uncertainties\nand 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 competitive\nand rapidly changing environment. New risks emerge from time to time. It is not possible for our management to predict all risks, nor can we assess the impact\nof 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 in\nany forward-looking statements we may make. In light of these risks, uncertainties and assumptions, the future events and trends discussed in this Annual\nReport on Form 10-K may not occur and actual results could differ materially and adversely from those anticipated or implied in the forward-looking\nstatements.\nWe undertake no obligation to revise or publicly release the results of any revision to these forward-looking statements, except as required by law. Given\nthese risks and uncertainties, readers are cautioned not to place undue reliance on such forward\u2011looking statements.\nUnless expressly indicated or the context requires otherwise, the terms \"Meta,\" \"company,\" \"we,\" \"us,\" and \"our\" in this document refer to Meta\nPlatforms, Inc., a Delaware corporation, and, where appropriate, its subsidiaries. The term \"Family\" refers to our Facebook, Instagram, Messenger, and\nWhatsApp products. For references to accessing Meta's products on the \"web\" or via a \"website,\" such terms refer to accessing such products on personal"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ab318-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 3, "chroma:document": "computers. For references to accessing Meta's products on \"mobile,\" such term refers to accessing such products via a mobile application or via a mobile-\noptimized version of our websites such as m.facebook.com, whether on a mobile phone or tablet.\n3"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ab37c-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 4, "chroma:document": "Table of Contents\nLIMITATIONS OF KEY METRICS AND OTHER DATA\nThe numbers for our key metrics are calculated using internal company data based on the activity of user accounts. We report our estimates of the\nnumbers of our daily active people (DAP), monthly active people (MAP), and average revenue per person (ARPP) (collectively, our \"Family metrics\") based\non the activity of users who visited at least one of Facebook, Instagram, Messenger, and WhatsApp (collectively, our \"Family\" of products) during the\napplicable period of measurement. We have historically reported the numbers of our daily active users (DAUs), monthly active users (MAUs), and average\nrevenue per user (ARPU) (collectively, our \"Facebook metrics\") based on user activity only on Facebook and Messenger and not on our other products. We\nbelieve our Family metrics better reflect the size of our community and the fact that many people are using more than one of our products. Beginning with our\nQuarterly Report on Form 10-Q to be filed for the first quarter of 2024, we will no longer report DAUs, MAUs, ARPU, and MAP in our periodic reports filed\nwith the Securities and Exchange Commission, but will continue reporting DAP and ARPP (calculated based on DAP).\nWhile these numbers are based on what we believe to be reasonable estimates of our user base for the applicable period of measurement, there are\ninherent challenges in measuring usage of our products across large online and mobile populations around the world. The methodologies used to measure these\nmetrics require significant judgment and are also susceptible to algorithm or other technical errors. In addition, we are continually seeking to improve our\nestimates of our user base, and such estimates may change due to improvements or changes in our methodology. We regularly review our processes for\ncalculating these metrics, and from time to time we discover inaccuracies in our metrics or make adjustments to improve their accuracy, which can result in\nadjustments to our historical metrics. Our ability to recalculate our historical metrics may be impacted by data limitations or other factors that require us to\napply different methodologies for such adjustments. We generally do not intend to update previously disclosed Family metrics for any such inaccuracies or\nadjustments that are within the error margins disclosed below.\nIn addition, our Family metrics and Facebook metrics estimates will differ from estimates published by third parties due to differences in methodology"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ab3d6-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 4, "chroma:document": "or other factors such as data limitations or other challenges in measuring large online and mobile populations. For example, our Family metrics estimates in\nsome instances exceed estimates of addressable online and mobile populations that are based on data published by third parties.\nFamily Metrics\nMany people in our community have user accounts on more than one of our products, and some people have multiple user accounts within an individual\nproduct. 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 not\nreflect the actual size of our community. Rather, our Family metrics represent our estimates of the number of unique people using at least one of Facebook,\nInstagram, Messenger, and WhatsApp. We do not require people to use a common identifier or link their accounts to use multiple products in our Family, and\ntherefore must seek to attribute multiple user accounts within and across products to individual people. To calculate these metrics, we rely upon complex\ntechniques, algorithms and machine learning models that seek to count the individual people behind user accounts, including by matching multiple user\naccounts within an individual product and across multiple products when we believe they are attributable to a single person, and counting such group of\naccounts as one person. These techniques and models require significant judgment, are subject to data and other limitations discussed below, and inherently are\nsubject to statistical variances and uncertainties. We estimate the potential error in our Family metrics primarily based on user survey data, which itself is\nsubject to error as well. While we expect the error margin for our Family metrics to vary from period to period, we estimate that such margin generally will be\napproximately 3% of our worldwide MAP. At our scale, it is very difficult to attribute multiple user accounts within and across products to individual people,\nand it is possible that the actual numbers of unique people using our products may vary significantly from our estimates, potentially beyond our estimated error\nmargins. As a result, it is also possible that our Family metrics may indicate changes or trends in user numbers that do not match actual changes or trends.\nTo calculate our estimates of Family DAP and MAP, we currently use a series of machine learning models that are developed based on internal reviews\nof limited samples of user accounts and calibrated against user survey data. We apply significant judgment in designing these models and calculating these\nestimates. For example, to match user accounts within individual products and across multiple products, we use data signals such as similar device information,"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ab43a-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 4, "chroma:document": "IP addresses, and user names. We also calibrate our models against data from periodic user surveys of varying sizes and frequency across our products, which\nare inherently subject to error. The timing and results of such user surveys have in the past contributed, and may in the future contribute, to changes in our\nreported Family metrics from period to period. In addition, our data limitations may affect our understanding of certain details of our business and increase the\nrisk of error for our Family metrics estimates.\n4"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ab494-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 5, "chroma:document": "Table of Contents\nOur techniques and models rely on a variety of data signals from different products, and we rely on more limited data signals for some products compared to\nothers. For example, as a result of limited visibility into encrypted products, we have fewer data signals from WhatsApp user accounts and primarily rely on\nphone numbers and device information to match WhatsApp user accounts with accounts on our other products. Any loss of access to data signals we use in our\nprocess for calculating Family metrics, whether as a result of our own product decisions, actions by third-party browser or mobile platforms, regulatory or\nlegislative requirements, or other factors, also may impact the stability or accuracy of our reported Family metrics, as well as our ability to report these metrics\nat all. Our estimates of Family metrics also may change as our methodologies evolve, including through the application of new data signals or technologies,\nproduct changes, or other improvements in our user surveys, algorithms, or machine learning that may improve our ability to match accounts within and across\nour products or otherwise evaluate the broad population of our users. In addition, such evolution may allow us to identify previously undetected violating\naccounts (as defined below).\nWe regularly evaluate our Family metrics to estimate the percentage of our MAP consisting solely of \"violating\" accounts. We define \"violating\"\naccounts 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 of\n2023, we estimated that approximately 3% of our worldwide MAP consisted solely of violating accounts. Such estimation is based on an internal review of a\nlimited sample of accounts, and we apply significant judgment in making this determination. For example, we look for account information and behaviors\nassociated with Facebook and Instagram accounts that appear to be inauthentic to the reviewers, but we have limited visibility into WhatsApp user activity due\nto encryption. In addition, if we believe an individual person has one or more violating accounts, we do not include such person in our violating accounts\nestimation 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, make\nproduct changes, or take other actions to reduce the number of violating accounts among our users, which may also reduce our DAP and MAP estimates in a\nparticular period. Violating accounts are very difficult to measure at our scale, and it is possible that the actual number of violating accounts may vary"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ab4f8-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 5, "chroma:document": "significantly from our estimates.\nThe numbers of Family DAP and MAP discussed in this Annual Report on Form 10-K, as well as ARPP, do not include users on our other products,\nunless they would otherwise qualify as DAP or MAP, respectively, based on their other activities on our Family products.\nFacebook Metrics\nWe regularly evaluate our Facebook metrics to estimate the number of \"duplicate\" and \"false\" accounts among our MAUs. A duplicate account is one\nthat a user maintains in addition to his or her principal account. We divide \"false\" accounts into two categories: (1) user-misclassified accounts, where users\nhave created personal profiles for a business, organization, or non-human entity such as a pet (such entities are permitted on Facebook using a Page rather than\na personal profile under our terms of service); and (2) violating accounts, which represent user profiles that we believe are intended to be used for purposes that\nviolate our terms of service, such as bots and spam. The estimates of duplicate and false accounts are based on an internal review of a limited sample of\naccounts, and we apply significant judgment in making this determination. For example, to identify duplicate accounts we use data signals such as identical IP\naddresses and similar user names, and to identify false accounts we look for names that appear to be fake or other behavior that appears inauthentic to the\nreviewers. Any loss of access to data signals we use in this process, whether as a result of our own product decisions, actions by third-party browser or mobile\nplatforms, regulatory or legislative requirements, or other factors, also may impact the stability or accuracy of our estimates of duplicate and false accounts.\nOur estimates also may change as our methodologies evolve, including through the application of new data signals or technologies or product changes that may\nallow us to identify previously undetected duplicate or false accounts and may improve our ability to evaluate a broader population of our users. Duplicate and\nfalse accounts are very difficult to measure at our scale, and it is possible that the actual number of duplicate and false accounts may vary significantly from our\nestimates.\nIn the fourth quarter of 2023, we estimated that duplicate accounts may have represented approximately 10% of our worldwide MAUs. We believe the\npercentage of duplicate accounts is meaningfully higher in developing markets such as the Philippines and Vietnam, as compared to more developed markets."}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ab552-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 5, "chroma:document": "In the fourth quarter of 2023, we estimated that false accounts may have represented approximately 4% of our worldwide MAUs. Our estimation of false\naccounts can vary as a result of episodic spikes in the creation of such accounts, which we have seen originate more frequently in specific countries such as\nIndonesia, Vietnam, and Nigeria. From time to time, we disable certain user accounts, make product changes, or take other actions to reduce the number of\nduplicate or false accounts among our users, which may also reduce our DAU and MAU estimates in a particular period.\n5"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ab5ac-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 6, "chroma:document": "Table of Contents\nThe numbers of DAUs and MAUs discussed in this Annual Report on Form 10-K, as well as ARPU, do not include users on Instagram, WhatsApp, or\nour other products, unless they would otherwise qualify as DAUs or MAUs, respectively, based on their other activities on Facebook.\nUser Geography\nOur data regarding the geographic location of our users is estimated based on a number of factors, such as the user's IP address and self-disclosed\nlocation. These factors may not always accurately reflect the user's actual location. For example, a user may appear to be accessing Facebook from the location\nof the proxy server that the user connects to rather than from the user's actual location. The methodologies used to measure our metrics are also susceptible to\nalgorithm or other technical errors, and our estimates for revenue by user location and revenue by user device are also affected by these factors.\n6"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ab61a-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 7, "chroma:document": "Table of Contents\nPART I\nItem 1.Business\nOverview\nOur mission is to give people the power to build community and bring the world closer together.\nAll of our products, including our apps, share the vision of helping to bring the metaverse to life. We build technology that helps people connect and\nshare, find communities, and grow businesses. Our products enable people to connect and share with friends and family through mobile devices, personal\ncomputers, virtual reality (VR) and mixed reality (MR) headsets, and wearables. We also help people discover and learn about what is going on in the world\naround them, enable people to share their experiences, ideas, photos and videos, and other activities with audiences ranging from their closest family members\nand friends to the public at large, and stay connected everywhere by accessing our products. Meta is moving our offerings beyond 2D screens toward\nimmersive experiences like augmented and virtual reality to help build the metaverse, which we believe is the next evolution in social technology. Our vision\nfor the metaverse does not center on any single product, but rather an entire ecosystem of experiences, devices, and new technologies. While the metaverse is in\nthe 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\ninnovating in artificial intelligence (AI) technologies to build new experiences that help make our platform more social, useful, and immersive.\nWe report financial results for two segments: Family of Apps (FoA) and Reality Labs (RL). Currently, we generate substantially all of our revenue from\nselling advertising placements on our family of apps to marketers, which is reflected in FoA. Ads on our platform enable marketers to reach people across a\nrange of marketing objectives, such as generating leads or driving awareness. Marketers purchase ads that can appear in multiple places including on Facebook,\nInstagram, Messenger, and third-party applications and websites. RL generates revenue from sales of consumer hardware products, software, and content.\nWe invest in our business based on our company priorities. In 2024, we intend to focus on six key investment areas: AI, the metaverse, our discovery\nengine, monetization of our products and services, regulatory readiness, and enhancing developer efficiency to build, iterate, and optimize products quickly.\nOur AI investments support initiatives across our products and services, helping power the systems that rank content in our apps, our discovery engine that"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ab69c-255e-11ef-be8d-0242ac1c000c
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 7, "chroma:document": "recommends relevant content, the tools advertisers use to reach customers, the development of new generative AI experiences, and the tools that make our\nproduct development more efficient and productive.\nThe majority of our investments are directed toward developing our family of apps. In 2023, 80% of our total costs and expenses were recognized in\nFoA and 20% were recognized in RL. Our FoA investments were $70.13 billion in 2023 and include expenses relating to headcount, data centers and technical\ninfrastructure as part of our efforts to develop our apps and our advertising services. We are also making significant investments in our metaverse efforts,\nincluding developing virtual and augmented reality devices, software for social platforms, neural interfaces, and other foundational technologies. Our total RL\ninvestments were $18.02 billion in 2023 and include expenses relating to headcount and technology development across these efforts. These are fundamentally\nnew technologies that we expect will evolve as the metaverse ecosystem develops, and many products for the metaverse may only be fully realized in the next\ndecade. Although it is inherently difficult to predict when and how the metaverse ecosystem will develop, we expect our RL segment to continue to operate at a\nloss for the foreseeable future, and our ability to support our metaverse efforts is dependent on generating sufficient profits from other areas of our business. We\nexpect this will be a complex, evolving, and long-term initiative. We are investing now because we believe this is the next chapter of the internet and will\nunlock monetization opportunities for businesses, developers, and creators, including around advertising, hardware, and digital goods.\nFamily of Apps Products\n\u2022 Facebook. Facebook helps give people the power to build community and bring the world closer together. It's a place for people to share life's\nmoments and discuss what's happening, nurture and build relationships, discover and connect to interests, and create economic opportunity. They\ncan do this through Feed, Reels, Stories, Groups, Marketplace, and more.\n7"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ab6f6-255e-11ef-be8d-0242ac1c000c
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 8, "chroma:document": "Table of Contents\n\u2022 Instagram. Instagram brings people closer to the people and things they love. Instagram Feed, Stories, Reels, Live, and messaging are places\nwhere people and creators can connect and express themselves through photos, video, and private messaging, and discover and shop from their\nfavorite businesses.\n\u2022 Messenger. Messenger is a simple yet powerful messaging application for people to connect with friends, family, communities, and businesses\nacross platforms and devices through text, audio, and video calls.\n\u2022 Threads. Threads is an application for text-based updates and public conversations, where communities come together to discuss topics of interest.\nPeople can connect directly with their favorite creators and others who love the same things or build a loyal following of their own to share their\nideas, opinions, and creativity with the world.\n\u2022 WhatsApp. WhatsApp is a simple, reliable, and secure messaging application that is used by people and businesses around the world to\ncommunicate and transact in a private way. Within WhatsApp we launched WhatsApp Channels, a one-to-many broadcast service designed to help\npeople follow information from people and organizations that are important to them.\nReality Labs Products\nMany of our metaverse investments are directed toward long-term, cutting-edge research and development for products that are not on the market today\nand may only be fully realized in the next decade. This includes exploring new technologies such as neural interfaces using electromyography, which lets\npeople control their devices using neuromuscular signals, as well as innovations in AI and hardware to help build next-generation interfaces. In the near term,\nwe are continuing to develop early metaverse experiences through Reality Labs products that help people feel connected, anytime, anywhere.\nOur current product offerings in VR include our Meta Quest devices, as well as software and content available through the Meta Quest Store, which\nenable a range of social experiences that allow people to defy physical distance while engaging in gaming, fitness, entertainment, and more. For example, Meta\nHorizon Worlds is a social platform where people can interact with friends, meet new people, play games, and attend virtual events.\nTo drive greater adoption and acceptance of VR we have also introduced MR capabilities, which allow users to experience the immersion and presence\nof VR while still being grounded in the physical world, through our Meta Quest Pro and Meta Quest 3 devices.\nWe have continued to advance our augmented reality (AR) roadmap to include offerings such as the Ray-Ban Meta smart glasses, which feature Meta"}


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topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ab764-255e-11ef-be8d-0242ac1c000c
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 8, "chroma:document": "AI, our advanced conversational assistant, as well as offer the ability to livestream video and let people stay more present through hands-free interaction. We\nalso offer Meta Spark, a platform that allows creators and businesses to build AR experiences that bring the digital and physical worlds together in our apps.\nIn general, while all of these investments are part of our long-term initiative to help build the metaverse, our VR and social platform efforts also include\nnotable shorter-term projects developing specific products and services to go to market, whereas our AR efforts are primarily directed toward longer-term\nresearch and development projects. For example, in 2024, we expect to spend approximately 50% of our Reality Labs operating expenses on our AR initiatives,\napproximately 40% on our VR (including MR) initiatives, and approximately 10% on social platforms and other initiatives. We apply significant judgment in\nestimating this expense breakdown as there are certain shared costs across product lines, and our expectations are subject to change, including as the metaverse\necosystem and our business strategies evolve. In particular, we regularly evaluate our product roadmaps and make significant changes as our understanding of\nthe technological challenges and market landscape and our product ideas and designs evolve.\nCompetition\nOur business is characterized by innovation, rapid change, and disruptive technologies. We compete with companies providing connection, sharing,\ndiscovery, and communication products and services to users online, as well as companies that sell advertising to businesses looking to reach consumers and/or\ndevelop tools and systems for managing and optimizing advertising campaigns. We face significant competition in every aspect of our business, including, but\nnot limited to, companies that facilitate the ability of users to create, share, communicate, and discover content and information online or\n8"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ab7be-255e-11ef-be8d-0242ac1c000c
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 9, "chroma:document": "Table of Contents\nenable marketers to reach their existing or prospective audiences. We compete to attract, engage, and retain people who use our products, to attract and retain\nbusinesses that use our free or paid business and advertising services, and to attract and retain developers who build compelling applications that integrate with\nour products. We also compete with companies that develop and deliver consumer hardware and virtual and augmented reality products and services. We also\nexpect to face additional competition as we introduce or acquire new products, as our existing products evolve, or as other companies introduce new products\nand services, including as part of efforts to develop the metaverse or innovate through the development and application of new technologies such as AI.\nTechnology\nOur product development philosophy centers on continuous innovation in creating and improving products that are social by design, which means that\nour products are designed to place people and their social interactions at the core of the product experience. As our user base grows, as engagement with\nproducts like video, VR, and MR increases, and as we deepen our investment in new technologies, our computing needs continue to expand. We have designed\nand built our own data centers and key portions of our technical infrastructure, and a substantial portion of our technical infrastructure is also provided by third\nparties. Our ability to provide and continue to innovate our products and services depends on the continued availability of components, power, and network\ncapacity.\nWe make significant investments in technology both to improve our existing products and services and to develop new ones, as well as for our marketers\nand developers. We are also investing in protecting the security, privacy, and integrity of our platform by investing in both people and technology to strengthen\nour systems against abuse. Across all of these efforts, we are making significant investments in AI initiatives, including generative AI, to, among other things,\nrecommend relevant content across our products through our AI-powered discovery engine, enhance our advertising tools and improve our ad delivery,\ntargeting, and measurement capabilities, and to develop new products as well as new features for existing products.\nSales and Operations\nThe majority of our marketers use our self-service ad platform to launch and manage their advertising campaigns. We also have a global sales force that\nis focused on attracting and retaining advertisers and providing support to them throughout the stages of the marketing cycle from pre-purchase decision-\nmaking to real-time optimizations to post-campaign analytics. We work directly with these advertisers, as well as through advertising agencies and resellers."}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ab818-255e-11ef-be8d-0242ac1c000c
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 9, "chroma:document": "We operate offices in approximately 90 cities around the globe, the majority of which have a sales presence. We also invest in and rely on self-service tools to\nprovide direct customer support to our users and partners.\nFor our RL products, our sales and operations efforts utilize third-party sales channels such as retailers, resellers, and our direct-to-consumer channel,\nMeta.com. These efforts are focused on driving consumer and enterprise sales and adoption of our Meta Quest portfolio of products and Ray-Ban Meta smart\nglasses.\nMarketing\nHistorically, our communities have generally grown organically with people inviting their friends to connect with them, supported by internal efforts to\nstimulate awareness and interest. In addition, we have invested and will continue to invest in marketing our products and services to grow our brand and help\nbuild community around the world.\nIntellectual Property\nTo establish and protect our proprietary rights, we rely on a combination of patents, trademarks, copyrights, trade secrets, including know-how, license\nagreements, confidentiality procedures, non-disclosure agreements with third parties, employee disclosure and invention assignment agreements, and other\ncontractual rights. In addition, to further protect our proprietary rights, from time to time we have purchased patents and patent applications from third parties.\nWe do not believe that our proprietary technology is dependent on any single patent or copyright or groups of related patents or copyrights. We believe the\nduration of our patents is adequate relative to the expected lives of our products.\n9"}


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topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ab872-255e-11ef-be8d-0242ac1c000c
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 10, "chroma:document": "Table of Contents\nGovernment Regulation\nWe are subject to a variety of laws and regulations in the United States and abroad that involve matters central to our business, many of which are still\nevolving and being tested in courts, and could be interpreted in ways that could harm our business. These laws and regulations involve matters including\nprivacy, data use, data protection and personal information, the provision of our services to younger users, biometrics, encryption, rights of publicity, content,\nintegrity, intellectual property, advertising, marketing, distribution, data security, data retention and deletion, data localization and storage, data disclosure, AI\nand machine learning, electronic contracts and other communications, competition, protection of minors, consumer protection, civil rights, accessibility,\ntelecommunications, product liability, e-commerce, taxation, economic or other trade controls including sanctions, anti-corruption and political law\ncompliance, securities law compliance, and online payment services. Foreign data protection, privacy, content, competition, consumer protection, and other\nlaws and regulations can impose different obligations or be more restrictive than those in the United States, and create the potential for significant fines to be\nimposed.\nThese U.S. federal and state, EU, and other international laws and regulations, which in some cases can be enforced by private parties in addition to\ngovernment entities, are constantly evolving and can be subject to significant change. As a result, the application, interpretation, and enforcement of these laws\nand regulations are often uncertain, particularly in the new and rapidly evolving industry in which we operate, and may be interpreted and applied\ninconsistently from jurisdiction to jurisdiction and inconsistently with our current policies and practices. For example, regulatory or legislative actions or\nlitigation 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 in\nvarious ways, including for advertising, or otherwise relating to content that is made available on our products, could adversely affect our financial results,\nincluding by imposing significant fines that increasingly may be calculated based on global revenue. In the United States, in 2023, the U.S. Supreme Court\nheard oral argument in a matter in which the scope of the protections available to online platforms under Section 230 of the Communications Decency Act\n(Section 230) was at issue, but it ultimately declined to address Section 230 in its decision. In addition, there have been, and continue to be, various efforts to"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ab8cc-255e-11ef-be8d-0242ac1c000c
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 10, "chroma:document": "remove or restrict the scope of the protections available to online platforms under Section 230, and any such changes may increase our costs or require\nsignificant changes to our products, business practices, or operations, which could adversely affect our business and financial results.\nWe are also subject to evolving laws and regulations that dictate whether, how, and under what circumstances we can transfer, process or receive certain\ndata that is critical to our operations, including data shared between countries or regions in which we operate and data shared among our products and services.\nIf 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 products\nand services, it could affect our ability to provide our services, the manner in which we provide our services or our ability to target ads, which could adversely\naffect our financial results. For example, the Privacy Shield, a transfer framework we relied upon for data transferred from the European Union to the United\nStates, 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\ndata, such as Standard Contractual Clauses (SCCs), have been subjected to regulatory and judicial scrutiny. For example, although the CJEU upheld the\nvalidity of SCCs as a basis to transfer user data from the European Union to the United States in July 2020, on May 12, 2023, the Irish Data Protection\nCommittee (IDPC) issued a Final Decision concluding that Meta Platforms Ireland's reliance on SCCs in respect of certain transfers of European Economic\nArea (EEA) Facebook user data was not in compliance with the European General Data Protection Regulation (GDPR). The IDPC issued an administrative fine\nof EUR \u20ac1.2 billion as well as corrective orders requiring Meta Platforms Ireland to suspend the relevant transfers and to bring its processing operations into\ncompliance with Chapter V GDPR by ceasing the unlawful processing, including storage, of such data in the United States. We are appealing this decision and\nthe corrective orders are currently subject to an interim stay from the Irish High Court. Separately, on March 25, 2022, the European Union and United States\nannounced 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"}


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topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ab926-255e-11ef-be8d-0242ac1c000c
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 10, "chroma:document": "signed the Executive Order on Enhancing Safeguards for United States Signals Intelligence Activities (E.O.), and on June 30, 2023, the European Union and\nthe three additional countries making up the EEA were designated by the United States Attorney General as a \"qualifying state\" under Section 3(f) of the E.O.\nOn July 10, 2023, the European Commission adopted an adequacy decision in relation to the United States. The adequacy decision concludes that the United\nStates ensures an adequate level of protection for personal data transferred from the European Union to organizations in the United States that are included in\nthe \"Data Privacy Framework List,\" maintained and made publicly available by the United States Department of Commerce pursuant to the EU-U.S. DPF. The\nimplementation of the EU-U.S. DPF and the adequacy decision are important and welcome milestones, and we are implementing steps to comply with the\nabove corrective orders following engagement with the IDPC. If we are required to take additional steps to comply with the corrective orders, this could\nincrease the cost and complexity of delivering our products and services in Europe. Furthermore, the EU-U.S. DPF replaces\n10"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ab980-255e-11ef-be8d-0242ac1c000c
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 11, "chroma:document": "Table of Contents\ntwo prior adequacy frameworks which were invalidated by the CJEU. A further invalidation of the EU-U.S. DPF by the CJEU could create considerable\nuncertainty and lead to us being unable to offer a number of our most significant products and services, including Facebook and Instagram, in Europe, which\nwould materially and adversely affect our business, financial condition, and results of operations.\nWe have been subject to other significant legislative and regulatory developments, which together with proposed or new legislation and regulations\ncould significantly affect our business in the future. For example, we have implemented a number of product changes and controls as a result of requirements\nunder the GDPR, and may implement additional changes in the future. The GDPR also requires submission of personal data breach notifications to our lead\nEuropean Union privacy regulator, the IDPC, and includes significant penalties for non-compliance with the notification obligation as well as other\nrequirements of the regulation. The interpretation of the GDPR is still evolving, including through decisions of the CJEU, and draft decisions in investigations\nby the IDPC are subject to review by other European privacy regulators as part of the GDPR's consistency mechanism, which may lead to significant changes\nin the final outcome of such investigations. As a result, the interpretation and enforcement of the GDPR, as well as the imposition and amount of penalties for\nnon-compliance, are subject to significant uncertainty, and as it evolves, could potentially have a negative impact on our business and/or our operations. In\naddition, Brazil, the United Kingdom, and other countries have enacted similar data protection regulations imposing data privacy-related requirements on\nproducts and services offered to users in their respective jurisdictions. The California Consumer Privacy Act, as amended by the California Privacy Rights Act,\nand similar laws recently enacted by other states also establish certain transparency rules and create certain data privacy rights for users. Some states have also\nproposed or enacted laws specifically focused on the privacy rights and controls for users under 18 years old and their parents or guardians. Like\ncomprehensive privacy laws, these laws are evolving and subject to interpretation, and may restrict our ability to offer certain products and services provided to\nall or certain cohorts of users in those states, adversely affecting our advertising business. In addition, the European Union's ePrivacy Directive and national\nimplementation laws impose additional limitations on the use of data across messaging products and include significant penalties for non-compliance. Changes"}


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topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ab9da-255e-11ef-be8d-0242ac1c000c
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 11, "chroma:document": "to our products or business practices as a result of these or similar developments have adversely affected, and may in the future adversely affect, our advertising\nbusiness. For example, in response to regulatory developments in Europe, we announced plans to change the legal basis for behavioral advertising on Facebook\nand Instagram in the EU, EEA, and Switzerland from \"legitimate interests\" to \"consent,\" and in November 2023 we began offering users in the region a\n\"subscription for no ads\" alternative. We are continuing to engage with regulators on our new consent model, including regarding compliance with\nrequirements under the GDPR, Digital Markets Act (DMA), and EU consumer laws. These or any similar developments in the future may negatively impact\nour user growth and engagement, revenue, and financial results. Similarly, there are a number of legislative proposals or recently enacted laws in the European\nUnion, the United States, at both the federal and state level, as well as other jurisdictions that could impose new obligations or limitations in areas affecting our\nbusiness. For example, the DMA in the European Union imposes new restrictions and requirements on companies like ours, including in areas such as the\ncombination of data across services, mergers and acquisitions, and product design. The DMA also includes significant penalties for non-compliance, and its key\nrequirements will be enforceable against designated gatekeeper companies beginning in March 2024. The DMA has caused, and may in the future cause, us to\nincur significant compliance costs and make changes to our products or business practices. The requirements under the DMA will likely be subject to further\ninterpretation and regulatory engagement. Pending or future proposals to modify competition laws in the United States and other jurisdictions could have\nsimilar effects. We are also subject to content-related legislation such as the Digital Services Act (DSA) in the European Union, which started to apply to our\nbusiness as of August 2023, imposes certain restrictions and requirements for our products and services, and subjects us to increased compliance costs. The\nDSA also includes significant penalties for non-compliance. In addition, some countries, such as India and Turkey, are considering or have passed legislation\nimplementing data protection requirements, new competition requirements, or requiring local storage and processing of data or similar requirements that could\nrequire substantial changes to our products, increase the cost and complexity of delivering our services, cause us to cease the offering of our products and"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8aba34-255e-11ef-be8d-0242ac1c000c
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 11, "chroma:document": "services in certain countries, and/or result in fines or other penalties. New legislation or regulatory decisions that restrict our ability to collect and use\ninformation about minors may also result in limitations on our advertising services or our ability to offer products and services to minors in certain\njurisdictions.\nWe are, and expect to continue to be, the subject of investigations, inquiries, data requests, requests for information, actions, and audits by government\nauthorities and regulators in the United States, Europe, and around the world, particularly in the areas of privacy, data use and data protection, including with\nrespect to processing of sensitive data, data from third parties, data for advertising purposes, data security, minors, safety, law enforcement, consumer\nprotection, civil rights, content moderation, use of our platform for illegal, illicit, or otherwise objectionable activity, competition, AI, and machine learning.\nWe are also currently, and may in the future be, subject to regulatory orders or consent decrees, including the modified consent order we entered into with the\nU.S. Federal Trade Commission (FTC), which took effect in April 2020 and,\n11"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8aba8e-255e-11ef-be8d-0242ac1c000c
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 12, "chroma:document": "Table of Contents\namong other things, required us to significantly enhance our practices and processes for privacy compliance and oversight. The FTC also continues to monitor\nus and our compliance with the modified consent order and initiated an administrative proceeding against us, which we are challenging, that alleges deficient\ncompliance and violations of the Children's Online Privacy Protection Act (COPPA), the COPPA Rule, and Section 5 of the Federal Trade Commission Act and\nseeks changes to our business. If we are unsuccessful in our challenge to the FTC's action and the agency imposes its proposed order in its current form, we\nwould be subject to significant limitations, including on our ability to launch new and modified products or use data of users under 18 years old. Orders issued\nby, or inquiries or enforcement actions initiated by, government or regulatory authorities could cause us to incur substantial costs, expose us to civil and\ncriminal liability (including liability for our personnel) or penalties (including substantial monetary remedies), interrupt or require us to change our business\npractices in a manner materially adverse to our business (including changes to our products or user data practices), result in negative publicity and reputational\nharm, divert resources and the time and attention of management from our business, or subject us to other structural or behavioral remedies that adversely\naffect our business.\nFor additional information about government regulation applicable to our business, see Part I, Item 1A, \"Risk Factors\" in this Annual Report on Form\n10-K.\nHuman Capital\nAt Meta, everything we do is about helping people feel connected and closer, and we are proud of our unique company culture.\nWe had a global workforce of 67,317 employees as of December 31, 2023, and we have offices in approximately 90 cities around the world. We are\ncommitted to fostering an enriching environment for our workforce and we are focused on supporting our people in doing the best work of their careers. We\noffer competitive compensation and a wide range of benefits, including many learning and development resources, and we work to build a diverse and\ninclusive workplace.\nBeginning in November 2022, we took a number of steps to reduce our expense base. For example, our cost reduction efforts have included scaling back\nbudgets, reducing company perks, shrinking our real estate footprint, and employee layoffs and restructurings. We make it a priority to treat outgoing"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8abae8-255e-11ef-be8d-0242ac1c000c
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 12, "chroma:document": "employees with respect and provide a generous severance package. For U.S. employees, that includes severance of 16 weeks of base pay plus two additional\nweeks for every year of service, payment for all remaining paid time off, restricted stock unit vesting through their last day on payroll, health insurance,\ncoverage of the cost of healthcare for employees and their families for six months, career services that included three months of career support with an external\nvendor and early access to unpublished job leads, immigration support that included dedicated immigration specialists to help guide employees based on their\nneeds. We offer similar support for outgoing employees outside of the United States while taking into account local employment laws.\nEmployee Learning and Development\nWe value our investment in growing and keeping a highly skilled workforce. We aim to provide all of our employees with regular performance reviews\ntwice 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 at\nMeta. We also offer career development opportunities and work experience programs that extend beyond the physical and virtual classroom. To do this, we\nutilize various learning modalities, such as live virtual and in-person learning experiences, on-demand e-learning, self-service resources, learning communities,\nand coaching engagements.\nThe Pulse of Our Workforce\nEach year, we conduct company-wide employee surveys to help us understand how employees feel about working at Meta and what we can do to\nimprove their experience. Our surveys help us measure company, manager, team, and personal experience over time. Further, our more frequent surveys, such\nas those that have been administered daily to an ongoing random sample of employees, allow us to measure real-time sentiment around emerging events and\ncompany changes. These surveys are designed to invite feedback and actionable suggestions, inform decisions, and drive change across the company. In 2024,\nwe expect to update our listening strategy and product capabilities, based on feedback from key groups, to further improve actionability and impact.\n12"}


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topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8abb42-255e-11ef-be8d-0242ac1c000c
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 13, "chroma:document": "Table of Contents\nCompensation, Benefits, Health, and Well-being\nWe offer competitive compensation to attract and retain the best people, and we help care for our people so they can focus on our mission. Our\nemployees' total compensation package includes market-competitive salary, bonuses or sales incentives, and equity. We generally offer full-time employees\nequity at the 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. We\nhave conducted pay equity analyses for many years, and continue to be committed to pay equity. For example, in July 2023, we announced that our analyses\nconfirm that we continue to have pay equity across genders globally and by race in the United States for people in similar jobs, accounting for factors such as\nlocation, role, and level.\nThrough Life@ Meta, our holistic approach to benefits, we continue to provide our employees and their dependents with resources to help them thrive.\nWe offer a wide range of benefits across areas such as health, family, finance, community, and time away, including family building benefits, family care\nresources, retirement savings plans, access to legal services, Meta Resource Groups to build community at Meta, and health and well-being benefits.\nOur health and well-being programs are designed to give employees a choice of flexible benefits to help them reach their personal well-being goals. Our\nprograms are tailored to help boost employee physical and mental health, create financial peace of mind, provide support for families, and help employees\nbuild a strong community. Programs are designed and funded to support needs like autism care, cancer care, transgender services, holistic well-being, including\nmental health programs and retirement savings, which represent a few of the ways we support our employees and their dependents.\nDiverse and Inclusive Workplace\nWe work to build a diverse and inclusive workplace where we can leverage our collective cognitive diversity to build the best products and make the\nbest decisions for the global community we serve.\nIn our 2023 Responsible Business Practices Report, we published our global diversity and U.S. ethnic diversity workforce data. As of December 31,\n2022, our global employee base was composed of 45.4% underrepresented people, with 47.9% underrepresented people in the U.S., and 43.1% of our leaders"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8abba6-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 13, "chroma:document": "in the U.S. being people of color. As published in our 2023 Responsible Business Practices Report, people with disabilities now represent 7.2% of our U.S.\nworkforce, and based on voluntary self-identification, veterans represented 2.3% and members of the LGBTQ+ community make up 9.8% of our U.S.\nworkforce.\nWe 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 also remain committed\nto having a skilled, inclusive and diverse workforce because we believe cognitive diversity fuels innovation. To aid in this effort, we have taken steps to reduce\nbias from our hiring processes and performance management systems, as well as offering learning and development courses for our employees.\nCorporate Information\nWe were incorporated in Delaware in July 2004. We completed our initial public offering in May 2012 and our Class A common stock is currently listed\non the Nasdaq Global Select Market under the symbol \"META.\" Our principal executive offices are located at 1 Meta Way, Menlo Park, California 94025, and\nour telephone number is (650) 543-4800.\nMeta, the Meta logo, Meta Quest, Meta Horizon, Facebook, FB, Instagram, Oculus, WhatsApp, Reels, and our other registered or common law\ntrademarks, service marks, or trade names appearing in this Annual Report on Form 10-K are the property of Meta Platforms, Inc. or its affiliates. Other\ntrademarks, service marks, or trade names appearing in this Annual Report on Form 10\u2011K are the property of their respective owners.\nAvailable Information\nOur Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K, and amendments to reports filed pursuant to\nSections 13(a) and 15(d) of the Securities Exchange Act of 1934, as amended (Exchange Act), are filed with the U.S. Securities and Exchange Commission\n(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.\nSuch reports and other information filed by us with the SEC are available free of charge on our website at investor.fb.com when such reports are\n13"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8abc00-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 14, "chroma:document": "Table of Contents\navailable on the SEC's website. We use our investor.fb.com and about.fb.com/news/ websites as well as Mark Zuckerberg's Facebook Page\n(www.facebook.com/zuck), Instagram account (www.instagram.com/zuck), and Threads profile (www.threads.net/zuck) as means of disclosing material non-\npublic information and for complying with our disclosure obligations under Regulation FD.\nThe SEC maintains an Internet site that contains reports, proxy and information statements, and other information regarding issuers that file\nelectronically with the SEC at www.sec.gov.\nThe contents of the websites referred to above are not incorporated into this filing. Further, our references to the URLs for these websites are intended to\nbe inactive textual references only.\n14"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8abc5a-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 15, "chroma:document": "Table of Contents\nItem 1A.Risk Factors\nCertain factors may have a material adverse effect on our business, financial condition, and results of operations. You should consider carefully the risks and\nuncertainties described below, in addition to other information contained in this Annual Report on Form 10-K, including our consolidated financial statements\nand 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 that\nwe currently believe are not material, may also become important factors that adversely affect our business. If any of the following risks actually occurs, our\nbusiness, financial condition, results of operations, and future prospects could be materially and adversely affected. In that event, the trading price of our\nClass A common stock could decline, and you could lose part or all of your investment.\nSummary Risk Factors\nOur business is subject to a number of risks, including risks that may prevent us from achieving our business objectives or may adversely affect our\nbusiness, financial condition, results of operations, cash flows, and prospects. These risks are discussed more fully below and include, but are not limited to,\nrisks related to:\nRisks Related to Our Product Offerings\n\u2022our ability to add and retain users and maintain levels of user engagement with our products;\n\u2022the loss of, or reduction in spending by, our marketers;\n\u2022reduced availability of data signals used by our ad targeting and measurement tools;\n\u2022ineffective operation with mobile operating systems or changes in our relationships with mobile operating system partners;\n\u2022failure of our new products, or changes to our existing products, to attract or retain users or generate revenue;\nRisks Related to Our Business Operations and Financial Results\n\u2022our ability to compete effectively;\n\u2022fluctuations in our financial results;\n\u2022unfavorable media coverage and other risks affecting our ability to maintain and enhance our brands;\n\u2022our ability to build, maintain, and scale our technical infrastructure, and risks associated with disruptions in our service, catastrophic events, and\ncrises;\n\u2022operating our business in multiple countries around the world;\n\u2022acquisitions and our ability to successfully integrate our acquisitions;\n\u2022litigation, including class action lawsuits;\nRisks Related to Government Regulation and Enforcement\n\u2022government restrictions on access to Facebook or our other products, or other actions that impair our ability to sell advertising, in their countries;"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8abcbe-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 15, "chroma:document": "\u2022complex and evolving U.S. and foreign privacy, data use and data protection, content, competition, consumer protection, and other laws and\nregulations, including the General Data Protection Regulation (GDPR), Digital Markets Act (DMA), and Digital Services Act (DSA);\n15"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8abd18-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 16, "chroma:document": "Table of Contents\n\u2022the impact of government investigations, enforcement actions, and settlements, including litigation and investigations by privacy, consumer\nprotection, and competition authorities;\n\u2022our ability to comply with regulatory and legislative privacy requirements, including our consent order with the Federal Trade Commission (FTC);\nRisks Related to Data, Security, Platform Integrity, and Intellectual Property\n\u2022the occurrence of security breaches, improper access to or disclosure of our data or user data, and other cyber incidents, as well as intentional misuse\nof our services and other undesirable activity on our platform;\n\u2022our ability to obtain, maintain, protect, and enforce our intellectual property rights; and\nRisks Related to Ownership of Our Class A Common Stock\n\u2022limitations on the ability of holders of our Class A Common Stock to influence corporate matters due to the dual class structure of our common stock\nand the control of a majority of the voting power of our outstanding capital stock by our founder, Board Chair, and Chief Executive Officer (CEO).\nRisks Related to Our Product Offerings\nIf we fail to retain existing users or add new users, or if our users decrease their level of engagement with our products, our revenue, financial results, and\nbusiness may be significantly harmed.\nThe size of our active user base and our users' level of engagement across our products are critical to our success. Our financial performance has been\nand will continue to be significantly determined by our success in adding, retaining, and engaging active users of our products that deliver ad impressions,\nparticularly for Facebook and Instagram. We have experienced, and expect to continue to experience, fluctuations and declines in the size of our active user\nbase in one or more markets from time to time, particularly in markets where we have achieved higher penetration rates. User growth and engagement are also\nimpacted by a number of other factors, including competitive products and services, such as TikTok, that have reduced some users' engagement with our\nproducts and services, as well as global and regional business, macroeconomic, and geopolitical conditions. For example, the COVID-19 pandemic led to\nincreases and decreases in the size and engagement of our active user base from period to period at different points during the pandemic. In addition, in\nconnection with the war in Ukraine, access to Facebook and Instagram was restricted in Russia and these services were then prohibited by the Russian"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8abdae-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 16, "chroma:document": "government, 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 active\nuser base may adversely impact our ability to deliver ad impressions and, in turn, our financial performance.\nIf 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 or\nincrease the frequency and duration of their engagement. A number of other social networking companies that achieved early popularity have since seen their\nactive 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 active\nuser base or engagement levels. Our user engagement patterns have changed over time, and user engagement can be difficult to measure, particularly as we and\nour competitors introduce new and different products and services. Any number of factors can negatively affect user retention, growth, and engagement,\nincluding if:\n\u2022users increasingly engage with other competitive products or services;\n\u2022we fail to introduce new features, products, or services that users find engaging or if we introduce new products or services, or make changes to\nexisting products and services, that are not favorably received;\n\u2022users feel that their experience is diminished as a result of the decisions we make with respect to the frequency, prominence, format, size, and quality\nof ads that we display;\n\u2022users have difficulty installing, updating, or otherwise accessing our products on mobile devices as a result of actions by us or third parties that we rely\non to distribute our products and deliver our services;\n16"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8abe08-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 17, "chroma:document": "Table of Contents\n\u2022user behavior on any of our products changes, including decreases in the quality and frequency of content shared on our products and services;\n\u2022we are unable to continue to develop products for mobile devices that users find engaging, that work with a variety of mobile operating systems and\nnetworks, and that achieve a high level of market acceptance;\n\u2022there are decreases in user sentiment due to questions about the quality or usefulness of our products or our user data practices, concerns about the\nnature of content made available on our products, or concerns related to privacy, safety, security, well-being, or other factors;\n\u2022we are unable to manage and prioritize information to ensure users are presented with content that is appropriate, interesting, useful, and relevant to\nthem;\n\u2022we are unable to obtain or attract engaging third-party content;\n\u2022we are unable to successfully maintain or grow usage of and engagement with applications that integrate with our products;\n\u2022users adopt new technologies where our products may be displaced in favor of other products or services, or may not be featured or otherwise\navailable;\n\u2022there are changes mandated by legislation, government and regulatory authorities, or litigation that adversely affect our products or users;\n\u2022we are unable to offer a number of our most significant products and services, including Facebook and Instagram, in Europe, or are otherwise limited\nin our business operations, as a result of European courts invalidating the EU-U.S. DPF or regulators, courts, or legislative bodies determining that the\nlegal bases we rely upon to transfer user data from the European Union to the United States are invalid;\n\u2022there is decreased engagement with our products, or failure to accept our terms of service, as part of changes that we have implemented or may\nimplement in the future, whether voluntarily, in connection with the GDPR, the European Union's ePrivacy Directive, the DMA, the DSA, U.S. state\nprivacy and youth social media laws including the California Consumer Privacy Act (CCPA), as amended by the California Privacy Rights Act\n(CPRA), Arkansas Social Media Safety Act, Ohio Parental Notification Act, Utah Social Media Regulation Act, or other laws, regulations, or\nregulatory actions, or otherwise;\n\u2022technical or other problems prevent us from delivering our products in a rapid and reliable manner or otherwise affect the user experience, such as\nsecurity breaches or failure to prevent or limit spam or otherwise objectionable content, or users feel their experience is diminished as a result of our"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8abe62-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 17, "chroma:document": "efforts to protect the security and integrity of our platform;\n\u2022we adopt terms, policies, or procedures related to areas such as sharing, content, user data, or advertising, or we take, or fail to take, actions to enforce\nour policies, that are perceived negatively by our users or the general public, including as a result of decisions or recommendations from the\nindependent Oversight Board regarding content on our platform;\n\u2022we elect to focus our product decisions on longer-term initiatives that do not prioritize near-term user growth and engagement (for example, we have\nannounced plans to focus product decisions on optimizing the young adult experience in the long term);\n\u2022we make changes in our user account login or registration processes or changes in how we promote different products and services across our family\nof products;\n\u2022initiatives designed to attract and retain users and engagement, including the use of evolving technologies such as generative artificial intelligence, are\nunsuccessful or discontinued, whether as a result of actions by us, our competitors, or other third parties, or otherwise;\n17"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8abebc-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 18, "chroma:document": "Table of Contents\n\u2022third-party initiatives that may enable greater use of our products, including low-cost or discounted data plans, are scaled back or discontinued, or the\npricing of data plans otherwise increases;\n\u2022there is decreased engagement with our products as a result of taxes imposed on the use of social media or other mobile applications in certain\ncountries, internet shutdowns, or other actions by governments that affect the accessibility of our products in their countries (for example, beginning in\nthe first quarter of 2022, our user growth and engagement were adversely affected by the war in Ukraine and service restrictions imposed by the\nRussian government);\n\u2022we fail to provide adequate customer service to users, marketers, developers, or other partners;\n\u2022we, developers whose products are integrated with our products, or other partners and companies in our industry are the subject of adverse media\nreports or other negative publicity, including as a result of our or their user data practices; or\n\u2022our current or future products, such as our development tools and application programming interfaces that enable developers to build, grow, and\nmonetize applications, reduce user activity on our products by making it easier for our users to interact and share on third-party applications.\nFrom time to time, certain of these factors have negatively affected user retention, growth, and engagement to varying degrees. If we are unable to\nmaintain or increase our user base and user engagement, particularly for our significant revenue-generating products like Facebook and Instagram, our revenue\nand financial results may be adversely affected. Any significant decrease in user retention, growth, or engagement could render our products less attractive to\nusers, marketers, and developers, which is likely to have a material and adverse impact on our ability to deliver ad impressions and, accordingly, our revenue,\nbusiness, 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 become\nincreasingly dependent on our ability to maintain or increase levels of user engagement and monetization in order to grow revenue.\nWe generate substantially all of our revenue from advertising. The loss of marketers, or reduction in spending by marketers, could seriously harm our\nbusiness.\nSubstantially all of our revenue is currently generated from marketers advertising on Facebook and Instagram. As is common in the industry, our\nmarketers do not have long-term advertising commitments with us. Many of our marketers spend only a relatively small portion of their overall advertising"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8abf16-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 18, "chroma:document": "budget with us. Marketers will not continue to do business with us, or they will reduce the budgets they are willing to commit to us, if we do not deliver ads in\nan 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 they\nare not satisfied for any other reason. We have implemented, and we will continue to implement, changes to our user data practices. Some of these changes\nreduce our ability to effectively target ads, which has to some extent adversely affected, and will continue to adversely affect, our advertising business. If we\nare unable to provide marketers with a suitable return on investment, the demand for our ads may not increase, or may decline, in which case our revenue and\nfinancial results may be harmed.\nOur advertising revenue can also be adversely affected by a number of other factors, including:\n\u2022decreases in user engagement, including time spent on our products;\n\u2022our inability to continue to increase user access to and engagement with our products;\n\u2022product changes or inventory management decisions we may make that change the size, format, frequency, or relative prominence of ads displayed on\nour products or of other unpaid content shared by marketers on our products;\n\u2022our inability to maintain or increase marketer demand, the pricing of our ads, or both;\n\u2022our inability to maintain or increase the quantity or quality of ads shown to users;\n\u2022changes to the content or application of third-party policies that limit our ability to deliver, target, or measure the\n18"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8abf70-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 19, "chroma:document": "Table of Contents\neffectiveness of advertising, including changes by mobile operating system and browser providers such as Apple and Google;\n\u2022adverse litigation, government actions, or legislative, regulatory, or other legal developments relating to advertising, including developments that may\nimpact our ability to deliver, target, or measure the effectiveness of advertising;\n\u2022user behavior or product changes that may reduce traffic to features or products that we monetize at a higher rate, such as our feed and Stories\nproducts, including as a result of increased usage of our Reels or other video or messaging products;\n\u2022reductions of advertising by marketers due to our efforts to implement or enforce advertising policies that protect the security and integrity of our\nplatform;\n\u2022the availability, accuracy, utility, and security of analytics and measurement solutions offered by us or third parties that demonstrate the value of our\nads to marketers, or our ability to further improve such tools;\n\u2022loss of advertising market share to our competitors, including if prices to purchase our ads increase or if competitors offer lower priced, more\nintegrated, or otherwise more effective products;\n\u2022limitations on our ability to offer a number of our most significant products and services, including Facebook and Instagram, in Europe as a result of\nEuropean courts invalidating the EU-U.S. DPF or regulators, courts, or legislative bodies determining that the legal bases we rely upon to transfer user\ndata from the European Union to the United States are invalid;\n\u2022limitations 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 certain\ncohorts of users, whether voluntarily, as a result of new laws and regulations in the United States and other jurisdictions, or otherwise;\n\u2022changes 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 laws or\nregulatory requirements or other government actions;\n\u2022decisions by marketers to reduce their advertising as a result of announcements by us or adverse media reports or other negative publicity involving\nus, our user data practices, our advertising metrics or tools, content on our products, our interpretation, implementation, or enforcement of policies\nrelating to content on our products (including as a result of decisions or recommendations from the independent Oversight Board), developers with\napplications that are integrated with our products, or other companies in our industry;"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8abfca-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 19, "chroma:document": "applications that are integrated with our products, or other companies in our industry;\n\u2022reductions of advertising by marketers due to illegal, illicit, or otherwise objectionable content made available on our products by third parties,\nquestions about our user data practices or the security of our platform, concerns about brand safety or potential legal liability, or uncertainty regarding\ntheir own legal and compliance obligations;\n\u2022the effectiveness of our ad targeting or degree to which users consent to or opt out of the use of data for ads, including as a result of product changes\nand controls that we have implemented or may implement in the future in connection with the GDPR, ePrivacy Directive, CCPA, as amended by the\nCPRA, DMA, other laws, regulations, regulatory actions, or litigation, or otherwise, that impact our ability to use data for advertising purposes (for\nexample, in November 2023, in response to regulatory developments in Europe, we began offering our users a \"subscription for no ads\" alternative in\nthe EU, EEA, and Switzerland);\n\u2022the degree to which users cease or reduce the number of times they engage with our ads;\n\u2022changes in the way advertising on mobile devices or on personal computers is measured or priced;\n\u2022the success of technologies designed to block the display of ads or ad measurement tools;\n\u2022changes in the composition of our marketer base or our inability to maintain or grow our marketer base; and\n19"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ac024-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 20, "chroma:document": "Table of Contents\n\u2022the impact of macroeconomic and geopolitical conditions, whether in the advertising industry in general, or among specific types of marketers or\nwithin particular geographies, which in turn can have broader effects in other regions (for example, the war in Ukraine and service restrictions\nimposed by the Russian government have adversely affected our advertising business in Europe and other regions, and advertiser spending also can be\nsubject to adverse effects from the Israel-Hamas war).\nFrom time to time, certain of these factors have adversely affected our advertising revenue to varying degrees. The occurrence of any of these or other\nfactors in the future could result in a reduction in demand for our ads, which may reduce the prices we receive for our ads, or cause marketers to stop\nadvertising with us altogether, either of which would negatively affect our revenue and financial results.\nOur ad targeting and measurement tools incorporate data signals from user activity on websites and services that we do not control, as well as signals\ngenerated within our products, and changes to the regulatory environment, third-party mobile operating systems and browsers, and our own products have\nimpacted, and we expect will continue to impact, the availability of such signals, which will adversely affect our advertising revenue.\nOur ad targeting and measurement tools rely on data signals from user activity on websites and services that we do not control, as well as signals\ngenerated within our products, in order to deliver relevant and effective ads to our users, and any changes in our ability to use such signals will adversely affect\nour business. For example, legislative and regulatory developments, such as the GDPR, ePrivacy Directive, and CCPA, as amended by the CPRA, have\nimpacted, and we expect will continue to impact, our ability to use such signals in our ad products. In particular, we have seen increases in the number of users\nopting to control certain types of ad targeting in Europe following product changes implemented in connection with our GDPR and ePrivacy Directive\ncompliance, and we have introduced product changes that limit data signal use for certain users in California following adoption of the CCPA. Judicial and\nregulatory guidance, decisions, or enforcement actions, or new legislation in these or other jurisdictions, such as the DMA, may require us to make additional\nchanges to our products in the future that further reduce our ability to use these signals, which has occurred in the past. For example, in response to regulatory"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ac07e-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 20, "chroma:document": "developments in Europe, we announced plans to change the legal basis for behavioral advertising on Facebook and Instagram in the European Union, European\nEconomic Area, and Switzerland from \"legitimate interests\" to \"consent,\" and in November 2023 we began offering users in the region a \"subscription for no\nads\" alternative. We are continuing to engage with regulators on our new consent model, including regarding compliance with requirements under the GDPR,\nDMA, and EU consumer laws.\nIn addition, mobile operating system and browser providers, such as Apple and Google, have implemented product changes and/or announced future\nplans to limit the ability of websites and application developers to collect and use these signals to target and measure advertising. For example, in 2021, Apple\nmade certain changes to its products and data use policies in connection with changes to its iOS operating system that reduce our and other iOS developers'\nability to target and measure advertising, which has negatively impacted, and we expect will continue to negatively impact, the size of the budgets marketers\nare willing to commit to us and other advertising platforms. In addition, we have implemented, and may continue to implement, product changes that give users\nthe ability to limit our use of such data signals to improve ads and other experiences on our products and services, including changes implemented in\nconnection with the GDPR, ePrivacy Directive, DMA, and other regulatory frameworks.\nThese developments have limited our ability to target and measure the effectiveness of ads on our platform and negatively impacted our advertising\nrevenue. For example, our advertising revenue has been negatively impacted by marketer reaction to targeting and measurement challenges associated with iOS\nchanges beginning in 2021. If we are unable to mitigate these developments as they take further effect in the future, our targeting and measurement capabilities\nwill be materially and adversely affected, which would in turn significantly impact our advertising revenue.\n20"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ac0d8-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 21, "chroma:document": "Table of Contents\nOur user growth, engagement, and monetization on mobile devices depend upon effective operation with mobile operating systems, networks, technologies,\nproducts, and standards that we do not control.\nThe substantial majority of our revenue is generated from advertising on mobile devices. There is no guarantee that popular mobile devices will continue\nto feature our products, or that mobile device users will continue to use our products rather than competing products. We are dependent on the interoperability\nof our products with popular mobile operating systems, networks, technologies, products, and standards that we do not control, such as the Android and iOS\noperating systems and mobile browsers. Changes, bugs, or technical issues in such systems, or changes in our relationships with mobile operating system\npartners, handset manufacturers, browser developers, or mobile carriers, or in the content or application of their terms of service or policies (which they have\nmade in the past and continue to seek to implement) that degrade our products' functionality, reduce or eliminate our ability to update or distribute our products,\ngive preferential treatment to competitive products, limit our ability to deliver, target, or measure the effectiveness of ads, or charge fees related to the\ndistribution of our products or our delivery of ads have adversely affected, and could in the future adversely affect, the usage of our products and monetization\non mobile devices. For example, Apple previously released an update to its Safari browser that limits the use of third-party cookies, which reduces our ability\nto provide the most relevant ads to our users and impacts monetization, and also released changes to iOS that limit our ability to target and measure ads\neffectively, while expanding their own advertising business. In addition, in January 2024, Google began the process of phasing out third-party cookies in its\nChrome browser. We expect that any similar changes to Apple's, Google's, or other browser or mobile platforms will further limit our ability to target and\nmeasure the effectiveness of ads and impact monetization. Additionally, in order to deliver high quality mobile products, it is important that our products work\nwell with a range of mobile technologies, products, systems, networks, and standards that we do not control, and that we have good relationships with handset\nmanufacturers, mobile carriers, and browser developers. We may not be successful in maintaining or developing relationships with key participants in the\nmobile ecosystem or in developing products that operate effectively with these technologies, products, systems, networks, or standards. In the event that it is"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ac132-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 21, "chroma:document": "more difficult for our users to access and use our products on their mobile devices, or if our users choose not to access or use our products on their mobile\ndevices or use mobile products that do not offer access to our products, our user growth and user engagement could be harmed. From time to time, we may also\ntake actions regarding the distribution of our products or the operation of our business based on what we believe to be in our long-term best interests. Such\nactions may adversely affect our users and our relationships with the operators of mobile operating systems, handset manufacturers, mobile carriers, browser\ndevelopers, other business partners, or advertisers, and there is no assurance that these actions will result in the anticipated long-term benefits. In the event that\nour users are adversely affected by these actions or if our relationships with such third parties deteriorate, our user growth, engagement, and monetization could\nbe adversely affected and our business could be harmed. We have experienced challenges in operating with mobile operating systems, networks, technologies,\nproducts, and standards that we do not control, and any such occurrences in the future may negatively impact our user growth, engagement, and monetization\non mobile devices, which may in turn materially and adversely affect our business and financial results.\nOur new products and changes to existing products could fail to attract or retain users or generate revenue and profits, or otherwise adversely affect our\nbusiness.\nOur ability to retain, increase, and engage our user base and to increase our revenue depends heavily on our ability to continue to evolve our existing\nproducts and to create successful new products, both independently and in conjunction with developers or other third parties. We may introduce significant\nchanges to our existing products or acquire or introduce new and unproven products, including using technologies with which we have little or no prior\ndevelopment or operating experience. For example, we have relatively limited experience with consumer hardware products and virtual and augmented reality\ntechnology, which may adversely affect our ability to successfully develop and market these evolving products and technologies. We are also making\nsignificant investments in artificial intelligence (AI) initiatives across our business. For example, we recently launched new AI features on our products,\nincluding conversational AIs, stickers, and editing tools. We continue to incur substantial costs, and we may not be successful in generating profits, in\nconnection with these efforts.\nIn addition, we have invested, and expect to continue to invest, significant resources in growing our messaging products to support increasing usage of"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ac18c-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 21, "chroma:document": "such products. We have historically monetized messaging in only a limited fashion, and we may not be successful in our efforts to generate meaningful revenue\nor profits from messaging over the long term. We also recently commenced implementation of end-to-end encryption across our messaging services on\nFacebook and Instagram, which has been subject to governmental and regulatory scrutiny in multiple jurisdictions.\n21"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ac1dc-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 22, "chroma:document": "Table of Contents\nIf our new products or changes to existing products fail to engage users, marketers, or developers, or if our business plans are unsuccessful, we may fail\nto attract or retain users or to generate sufficient revenue, operating margin, or other value to justify our investments, and our business may be adversely\naffected.\nWe may not be successful in our artificial intelligence initiatives, which could adversely affect our business, reputation, or financial results.\nWe are making significant investments in AI initiatives, including generative AI, to, among other things, recommend relevant content across our\nproducts, enhance our advertising tools, develop new products, and develop new features for existing products. In particular, we expect our AI initiatives will\nrequire increased investment in infrastructure and headcount.\nThere are significant risks involved in developing and deploying AI and there can be no assurance that the usage of AI will enhance our products or\nservices or be beneficial to our business, including our efficiency or profitability. For example, our AI-related efforts, particularly those related to generative AI,\nsubject us to risks related to harmful or illegal content, accuracy, misinformation (including related to elections), bias, discrimination, toxicity, intellectual\nproperty infringement or misappropriation, defamation, data privacy, cybersecurity, and sanctions and export controls, among others. It is also uncertain how\nvarious laws related to online services, intermediary liability, and other issues will apply to content generated by AI. In addition, we are subject to the risks of\nnew or enhanced governmental or regulatory scrutiny, litigation, or other legal liability, ethical concerns, negative consumer perceptions as to automation and\nAI, activities that threaten people's safety or well-being on- or offline, or other complications that could adversely affect our business, reputation, or financial\nresults.\nAs a result of the complexity and rapid development of AI, it is also the subject of evolving review by various governmental and regulatory agencies in\njurisdictions around the world, which are applying, or are considering applying, platform moderation, intellectual property, cybersecurity, and data protection\nlaws to AI and/or are considering general legal frameworks on AI. We may not always be able to anticipate how courts and regulators will apply existing laws\nto AI, predict how new legal frameworks will develop to address AI, or otherwise respond to these frameworks as they are still rapidly evolving. We may also\nhave to expend resources to adjust our offerings in certain jurisdictions if the legal frameworks on AI are not consistent across jurisdictions."}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ac236-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 22, "chroma:document": "Further, we face significant competition from other companies that are developing their own AI features and technologies. Other companies may\ndevelop AI features and technologies that are similar or superior to our technologies or are more cost-effective to develop and deploy. Given the long history of\ndevelopment 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 with\nour ability to make, use, or sell our own AI features. Further, our ability to continue to develop and effectively deploy AI technologies is dependent on access to\nspecific third-party equipment and other physical infrastructure, such as processing hardware and network capacity, as to which we cannot control the\navailability or pricing, especially in a highly competitive environment.\nWe are also developing AI technology that we make available via open source, commercial, and non-commercial license agreements to third-parties that\ncan 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 utilize\nsuch AI technologies. As such, we cannot guarantee that third parties will not use such AI technologies for improper purposes, including through the\ndissemination of illegal, inaccurate, defamatory or harmful content, intellectual property infringement or misappropriation, furthering bias or discrimination,\ncybersecurity attacks, data privacy violations, other activities that threaten people's safety or well-being on- or offline, or to develop competing technologies.\nWhile we may mitigate certain risks associated with the improper use of our AI models through both technical measures and the inclusion of contractual\nrestrictions on third-party use in any agreement between us and any third party, we cannot guarantee that such measures will be effective. Such improper use by\nany third party could adversely affect our business, reputation, or financial results or subject us to legal liability.\nIt is not possible to predict all of the risks related to the use of AI and changes in laws, rules, directives, and regulations governing the use of AI may\nadversely affect our ability to develop and use AI or subject us to legal liability.\n22"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ac290-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 23, "chroma:document": "Table of Contents\nWe make product and investment decisions that may not prioritize short-term financial results and may not produce the long-term benefits that we expect.\nWe frequently make product and investment decisions that may not prioritize short-term financial results if we believe that the decisions are consistent\nwith our mission and benefit the aggregate user experience and will thereby improve our financial performance over the long term. For example, we have\nimplemented, and we will continue to implement, changes to our user data practices. Some of these changes reduce our ability to effectively target ads, which\nhas to some extent adversely affected, and will continue to adversely affect, our advertising business. For example, our Off-Facebook Activity tool enables\nusers to place limits on our storage and use of information about their interactions with advertisers' apps and websites, which reduces our ability to deliver the\nmost relevant and effective ads to our users. Similarly, from time to time we update our feed display and ranking algorithms or other product features to\nimprove the user experience, and these changes have had, and may in the future have, the effect of reducing time spent and some measures of user engagement\nwith our products, which could adversely affect our financial results. From time to time, we also change the size, frequency, or relative prominence of ads as\npart of our product and monetization strategies. In addition, we have made, and we expect to continue to make, other changes to our products which may\nadversely affect the distribution of content of publishers, marketers, and developers, and could reduce their incentive to invest in their efforts on our products.\nWe also may introduce new features or other changes to existing products, or introduce new stand-alone products, that attract users away from properties,\nformats, or use cases where we have more proven means of monetization, such as our feed products. In addition, as we focus on growing users and engagement\nacross our family of products, from time to time these efforts have reduced, and may in the future reduce, engagement with one or more products and services\nin favor of other products or services that we monetize less successfully or that are not growing as quickly. For example, we plan to continue to promote Reels,\nwhich we expect will continue to monetize at a lower rate than our feed and Stories products for the foreseeable future. These decisions may adversely affect\nour business and results of operations and may not produce the long-term benefits that we expect."}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ac2ea-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 23, "chroma:document": "We may not be successful in our metaverse strategy and investments, which could adversely affect our business, reputation, or financial results.\nWe believe the metaverse, an embodied internet where people have immersive experiences beyond two-dimensional screens, is the next evolution in\nsocial technology. In 2021, we announced a shift in our business and product strategy to focus on helping to bring the metaverse to life. We expect this will be a\ncomplex, evolving, and long-term initiative that will involve the development of new and emerging technologies, continued investment in infrastructure as well\nas privacy, safety, and security efforts, and collaboration with other companies, developers, partners, and other participants. However, the metaverse may not\ndevelop in accordance with our expectations, and market acceptance of features, products, or services we build for the metaverse is uncertain. We regularly\nevaluate our product roadmaps and make significant changes as our understanding of the technological challenges and market landscape and our product ideas\nand designs evolve. In addition, we have relatively limited experience with consumer hardware products and virtual and augmented reality technology, which\nmay enable other companies to compete more effectively than us. We may be unsuccessful in our research and product development efforts, including if we are\nunable to develop relationships with key participants in the metaverse or develop products that operate effectively with metaverse technologies, products,\nsystems, networks, or standards. Our metaverse efforts may also divert resources and management attention from other areas of our business. We expect to\ncontinue to make significant investments in virtual and augmented reality and other technologies to support these efforts, and our ability to support these efforts\nis dependent on generating sufficient profits from other areas of our business. In addition, as our metaverse efforts evolve, we may be subject to a variety of\nexisting or new laws and regulations in the United States and international jurisdictions, including in the areas of privacy, safety, competition, content\nregulation, consumer protection, and e-commerce, which may delay or impede the development of our products and services, increase our operating costs,\nrequire significant management time and attention, or otherwise harm our business. As a result of these or other factors, our metaverse strategy and investments\nmay not be successful in the foreseeable future, or at all, which could adversely affect our business, reputation, or financial results.\nIf we are not able to maintain and enhance our brands, our ability to maintain or expand our base of users, marketers, and developers may be impaired,"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ac34e-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 23, "chroma:document": "and our business and financial results may be harmed.\nWe believe that our brands have significantly contributed to the success of our business. We also believe that maintaining and enhancing our brands is\ncritical to maintaining and expanding our base of users, marketers, and developers. Many of our new users are referred by existing users. Maintaining and\nenhancing our brands will depend largely on our ability to continue to provide useful, reliable, trustworthy, and innovative products, which we may not do\nsuccessfully. We may introduce new products, terms of service, or policies that users do not like, which may negatively affect our brands.\n23"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ac3a8-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 24, "chroma:document": "Table of Contents\nAdditionally, the actions of our developers or advertisers may affect our brands if users do not have a positive experience using third-party applications\nintegrated with our products or interacting with parties that advertise through our products. We will also continue to experience media, legislative, or regulatory\nscrutiny of our actions or decisions regarding user privacy, data use, encryption, content, product design, algorithms, advertising, competition, generative AI,\nyounger users, and other issues, including actions or decisions in connection with elections or geopolitical events, which has adversely affected, and may in the\nfuture adversely affect, our reputation and brands. For example, beginning in September 2021, we became the subject of media, legislative, and regulatory\nscrutiny as a result of a former employee's allegations and release of internal company documents relating to, among other things, our algorithms, advertising\nand user metrics, and content enforcement practices, as well as misinformation and other undesirable activity on our platform, and user well-being. In addition,\nin March 2018, we announced developments regarding the misuse of certain data by a developer that shared such data with third parties in violation of our\nterms and policies. We also may fail to respond expeditiously or appropriately to the sharing of content on our services, or to practices by advertisers or\ndevelopers, that are illegal, illicit, or in violation of our policies, or fail to otherwise enforce our policies, address objectionable content or practices on our\nservices, or address other user concerns, which has occurred in the past and which could erode confidence in our brands.\nOur brands may also be negatively affected by the actions of users that are deemed to be hostile or inappropriate to other users, by the actions of users\nacting under false or inauthentic identities, by the use of our products or services to disseminate information that is deemed to be misleading (or intended to\nmanipulate opinions), by perceived or actual efforts by governments to obtain access to user information for security-related purposes or to censor certain\ncontent on our platform, by the use of our products or services for illicit or objectionable ends, including, for example, any such actions around geopolitical\nevents or elections in the United States and around the world, by decisions or recommendations regarding content on our platform from the independent\nOversight Board, by research or media reports concerning the perceived or actual impacts of our products or services on user well-being, by our decisions"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ac3f8-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 24, "chroma:document": "regarding whether to remove content or suspend participation on our platform by persons who violate our community standards or terms of service, or by any\nnegative sentiment associated with our management.\nMaintaining and enhancing our brands will require us to make substantial investments and these investments may not be successful. Certain of our\nactions, such as the foregoing matter regarding developer misuse of data and concerns around our handling of political speech and advertising, hate speech, and\nother content, as well as user well-being issues, have eroded confidence in our brands and may continue to do so in the future. If we fail to successfully\npromote and maintain our brands or if we incur excessive expenses in this effort, our business and financial results may be adversely affected.\nWe may not be able to continue to successfully maintain or grow usage of and engagement with applications that integrate with our products.\nWe have made and are continuing to make investments to enable developers to build, grow, and monetize applications that integrate with our products.\nSuch existing and prospective developers may not be successful in building, growing, or monetizing applications that create and maintain user engagement.\nAdditionally, developers may choose to build on other platforms, including platforms controlled by third parties, rather than building products that integrate\nwith our products. We are continuously seeking to balance the distribution objectives of our developers with our desire to provide an optimal user experience,\nand we may not be successful in achieving a balance that continues to attract and retain such developers. For example, from time to time, we have taken actions\nto reduce the volume of communications from these developers to users on our products with the objective of enhancing the user experience, and such actions\nhave reduced distribution from, user engagement with, and our monetization opportunities from, applications integrated with our products. In addition, as part\nof our efforts related to privacy, safety, and security, we conduct investigations and audits of platform applications from time to time, and we also have\nannounced several product changes that restrict developer access to certain user data. In some instances, these actions, as well as other actions to enforce our\npolicies applicable to developers, have adversely affected, or will adversely affect, our relationships with developers. If we are not successful in our efforts to\nmaintain or grow the number of developers that choose to build products that integrate with our products or if we are unable to continue to build and maintain\ngood relations with such developers, our user growth and user engagement and our financial results may be adversely affected.\n24"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ac484-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 25, "chroma:document": "Table of Contents\nRisks Related to Our Business Operations and Financial Results\nOur business is highly competitive. Competition presents an ongoing threat to the success of our business.\nWe compete with companies providing connection, sharing, discovery, and communication products and services to users online, as well as companies\nthat sell advertising to businesses looking to reach consumers and/or develop tools and systems for managing and optimizing advertising campaigns. We face\nsignificant competition in every aspect of our business, including, but not limited to, companies that facilitate the ability of users to create, share, communicate,\nand discover content and information online or enable marketers to reach their existing or prospective audiences. We compete to attract, engage, and retain\npeople who use our products, to attract and retain businesses that use our free or paid business and advertising services, and to attract and retain developers who\nbuild compelling applications that integrate with our products. We also compete with companies that develop and deliver consumer hardware and virtual and\naugmented reality products and services. We also expect to face additional competition as we introduce or acquire new products, as our existing products\nevolve, or as other companies introduce new products and services, including as part of efforts to develop the metaverse or innovate through the development\nand application of new technologies such as AI.\nSome of our current and potential competitors may have greater resources, experience, or stronger competitive positions in certain product segments,\ngeographic regions, or user demographics than we do. For example, some of our competitors may be domiciled in different countries and subject to political,\nlegal, and regulatory regimes that enable them to compete more effectively than us. These factors may allow our competitors to respond more effectively than\nus to new or emerging technologies and changes in market conditions. We believe that some users, particularly younger users, are aware of and actively\nengaging with other products and services similar to, or as a substitute for, our products and services, and we believe that some users have reduced their use of\nand engagement with our products and services in favor of these other products and services. In addition, from time to time we make updates to our products\nand services to improve the user experience (including to help provide users with safe, positive, age-appropriate experiences), and these changes have had, and\nmay in the future have, the effect of reducing time spent and some measures of user engagement with our products and services. In the event that users"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ac4de-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 25, "chroma:document": "increasingly engage with other products and services, we may experience a decline in use and engagement in key user demographics or more broadly, in which\ncase our business would likely be harmed.\nOur competitors may develop products, features, or services that are similar to ours or that achieve greater acceptance, may undertake more far-reaching\nand successful product development efforts or marketing campaigns, or may adopt more aggressive pricing policies. Some competitors may gain a competitive\nadvantage against us in areas where we operate, including: by making acquisitions; by limiting our ability to deliver, target, or measure the effectiveness of ads;\nby imposing fees or other charges related to our applications or our delivery of ads; by making access to our products more difficult or impossible; by making it\nmore difficult to communicate with our users; or by integrating competing platforms, applications, or features into products they control such as mobile device\noperating systems, search engines, browsers, or e-commerce platforms. For example, each of Apple and Google have integrated competitive products with iOS\nand Android, respectively. In addition, Apple has released changes to iOS that limit our ability, and the ability of others in the digital advertising industry, to\ntarget and measure ads effectively. As a result, our competitors may, and in some cases will, acquire and engage users or generate advertising or other revenue\nat the expense of our own efforts, which would negatively affect our business and financial results. In addition, from time to time, we may take actions in\nresponse to competitive threats, but we cannot assure you that these actions will be successful or that they will not negatively affect our business and financial\nresults.\nWe believe that our ability to compete effectively depends upon many factors both within and beyond our control, including:\n\u2022the popularity, usefulness, ease of use, performance, and reliability of our products compared to our competitors' products;\n\u2022the size and composition of our user base;\n\u2022the engagement of users with our products and competing products;\n\u2022our ability to attract and retain businesses who use our free or paid business and advertising services;\n\u2022the timing and market acceptance of products, including developments and enhancements to our or our competitors' products;\n25"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ac52e-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 26, "chroma:document": "Table of Contents\n\u2022our safety and security efforts and our ability to protect user data and to provide users with control over their data;\n\u2022our ability to distribute our products to new and existing users;\n\u2022our ability to monetize our products;\n\u2022the frequency, size, format, quality, and relative prominence of the ads displayed by us or our competitors;\n\u2022customer service and support efforts;\n\u2022marketing and selling efforts, including our ability to measure the effectiveness of our ads and to provide marketers with a compelling return on their\ninvestments;\n\u2022our ability to establish and maintain developers' interest in building applications that integrate with our products;\n\u2022our ability to establish and maintain publisher interest in integrating their content with our products;\n\u2022changes mandated by legislation, regulatory authorities, or litigation, some of which may have a disproportionate effect on us;\n\u2022acquisitions or consolidation within our industry, which may result in more formidable competitors;\n\u2022our ability to attract, retain, and motivate talented employees, particularly software engineers, designers, and product managers;\n\u2022our ability to cost-effectively manage our operations; and\n\u2022our reputation and brand strength relative to those of our competitors.\nIf we are not able to compete effectively, our user base, level of user engagement, and ability to deliver ad impressions may decrease, we may become\nless attractive to developers and marketers, and our revenue and results of operations may be materially and adversely affected.\nOur financial results will fluctuate from quarter to quarter and are difficult to predict.\nOur quarterly financial results have fluctuated in the past and will fluctuate in the future. Additionally, we have a limited operating history with the\ncurrent scale of our business, which makes it difficult to forecast our future results. As a result, you should not rely upon our past quarterly financial results as\nindicators of future performance. You should take into account the risks and uncertainties frequently encountered by companies in rapidly evolving markets.\nOur financial results in any given quarter can be influenced by numerous factors, many of which we are unable to predict or are outside of our control,\nincluding:\n\u2022our ability to maintain and grow our user base and user engagement, particularly for our products that deliver ad impressions;\n\u2022our ability to attract and retain marketers in a particular period;\n\u2022our ability to recognize revenue or collect payments from marketers or advertising agencies or resellers in a particular period;"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ac592-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 26, "chroma:document": "\u2022fluctuations in spending by our marketers due to seasonality, such as historically strong spending in the fourth quarter of each year, episodic regional\nor global events, or other factors;\n\u2022the frequency, prominence, size, format, and quality of ads shown to users;\n\u2022the success of technologies designed to block the display of ads;\n26"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ac600-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 27, "chroma:document": "Table of Contents\n\u2022changes to the content or application of third-party policies that limit our ability to deliver, target, or measure the effectiveness of advertising,\nincluding changes by mobile operating system and browser providers such as Apple and Google;\n\u2022the pricing of our ads and other products;\n\u2022the diversification and growth of revenue sources beyond advertising on Facebook and Instagram;\n\u2022our ability to generate revenue from Payments, or the sale of our consumer hardware products or other products we may introduce in the future;\n\u2022changes to existing products or services or the development and introduction of new products or services by us or our competitors;\n\u2022user behavior or product changes that may reduce traffic to features or products that we successfully monetize;\n\u2022increases in marketing, sales, and other operating expenses that we will incur to grow and expand our business and to remain competitive, including\ncosts related to our data centers and technical infrastructure;\n\u2022costs related to our privacy, safety, security, and content review efforts, including as a result of implementing changes to our practices, whether\nvoluntarily, in connection with laws, regulations, regulatory actions, or decisions or recommendations from the independent Oversight Board, or\notherwise;\n\u2022costs and expenses related to the development, manufacturing, and delivery of our consumer hardware products;\n\u2022our ability to maintain gross margins and operating margins;\n\u2022costs related to acquisitions, including costs associated with amortization and additional investments to develop the acquired technologies;\n\u2022charges associated with impairment or abandonment of any assets on our balance sheet, including as a result of changes to our real property lease\narrangements and data center assets;\n\u2022our ability to obtain equipment, components, and labor for our data centers and other technical infrastructure in a timely and cost-effective manner;\n\u2022system failures or outages or government blocking that prevent us from serving ads for any period of time;\n\u2022breaches of security or privacy, and the costs associated with any such breaches and remediation;\n\u2022changes in the manner in which we distribute our products or inaccessibility of our products due to third-party actions;\n\u2022fees paid to third parties for content or the distribution of our products;\n\u2022refunds or other concessions provided to advertisers;\n\u2022share-based compensation expense, including acquisition-related expense;\n\u2022adverse litigation judgments, settlements, or other litigation-related costs;"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ac65a-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 27, "chroma:document": "\u2022adverse litigation judgments, settlements, or other litigation-related costs;\n\u2022changes in the legislative or regulatory environment, including with respect to privacy, data protection, antitrust, content, or AI, or actions by\ngovernments or regulators, including fines, orders, or consent decrees;\n\u2022the overall tax rate for our business, which is affected by the mix of income we earn in the U.S. and in jurisdictions with different tax rates, the effects\nof share-based compensation, the effects of integrating intellectual property from\n27"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ac6b4-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 28, "chroma:document": "Table of Contents\nacquisitions, the effects of changes in our business or structure, and the effects of discrete items such as legal and tax settlements and tax elections;\n\u2022the impact of changes in tax laws or judicial or regulatory interpretations of tax laws, which are recorded in the period such laws are enacted or\ninterpretations are issued, and may significantly affect the effective tax rate of that period;\n\u2022tax obligations that may arise from resolutions of tax examinations, including the examination we are currently under by the Internal Revenue Service\n(IRS), that materially differ from the amounts we have anticipated;\n\u2022fluctuations in currency exchange rates and changes in the proportion of our revenue and expenses denominated in foreign currencies;\n\u2022trading activity in our share repurchase program;\n\u2022fluctuations in the market values of our investments in marketable securities, in the valuation of our non-marketable equity securities, and in interest\nrates;\n\u2022the incurrence of indebtedness or our ability to refinance existing indebtedness on acceptable terms;\n\u2022changes in U.S. generally accepted accounting principles; and\n\u2022changes in regional or global business, macroeconomic, or geopolitical conditions, which may impact the other factors described above.\nUnfavorable media coverage negatively affects our business.\nWe receive a high degree of media coverage around the world. Our reputation has been, and could in the future be, adversely affected by unfavorable\npublicity regarding, for example, our privacy practices, advertising policies, product decisions, product quality, litigation or regulatory activity, government\nsurveillance, the actions of our advertisers, the actions of our developers whose products are integrated with our products, the use of our products or services\nfor illicit or objectionable ends, the substance or enforcement of our community standards, terms of service, or other policies, the actions of our users, the\nquality and integrity of content shared on our platform, the perceived or actual impacts of our products or services on user well-being, our management, or the\nactions of other companies that provide similar services to ours. For example, we have been the subject of significant media coverage involving concerns\naround our handling of political speech and advertising, hate speech, and other content, as well as user well-being issues, and we continue to receive negative\npublicity related to these topics. Beginning in September 2021, we became the subject of significant media coverage as a result of allegations and the release of"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ac70e-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 28, "chroma:document": "internal company documents by a former employee. In addition, we have been, and may in the future be, subject to negative publicity in connection with our\nhandling of misinformation and other illicit or objectionable use of our products or services, including in connection with geopolitical events and elections in\nthe United States and around the world. Any such negative publicity could have an adverse effect on the size, engagement, and loyalty of our user base and\nmarketer demand for advertising on our products, which could result in decreased revenue and adversely affect our business and financial results, and we have\nexperienced such adverse effects to varying degrees from time to time.\nWe are subject to the risk of catastrophic events and crises, which may have a significant adverse impact on our business and operations.\nWe are subject to the risk of public health crises such as pandemics, earthquakes, adverse weather conditions, other natural disasters, terrorism,\ngeopolitical conflict, other physical security threats, power loss, cyber-attacks, and other catastrophic events and crises. For example, the COVID-19 pandemic\npreviously significantly impacted our business and results of operations. In particular, the pandemic resulted in authorities implementing numerous\npreventative measures from time to time to contain or mitigate the outbreak of the virus, such as travel bans and restrictions, limitations on business activity,\nquarantines, and shelter-in-place orders, which caused business slowdowns or shutdowns in certain affected countries and regions. These developments led to\nvolatility in the demand for and pricing of our advertising services at various points throughout the pandemic, and we may experience similar effects in the\nfuture as a result of the pandemic or other catastrophic events. Such events also expose our business, operations, and workforce to a variety of other risks,\nincluding:\n28"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ac768-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 29, "chroma:document": "Table of Contents\n\u2022volatility in the size of our user base and user engagement;\n\u2022delays in product development or releases, or reductions in manufacturing production and sales of consumer hardware, as a result of inventory\nshortages, supply chain or labor shortages;\n\u2022significant volatility and disruption of global financial markets, which could cause fluctuations in currency exchange rates or negatively impact our\nability to access capital in the future;\n\u2022illnesses to key employees, or a significant portion of our workforce, which may result in inefficiencies, delays, and disruptions in our business; and\n\u2022increased volatility and uncertainty in the financial projections we use as the basis for estimates used in our financial statements.\nAny of these developments may adversely affect our business, harm our reputation, or result in legal or regulatory actions against us.\nWe incur significant expenses in operating our business, and some of our investments, particularly our investments in Reality Labs, have the effect of\nreducing our operating margin and profitability. If our investments are not successful longer-term, our business and financial performance will be\nharmed.\nWe incur significant expenses in operating our business, and we expect our expenses to continue to increase in the future as we broaden our user base, as\nusers increase the amount and types of content they consume and the data they share with us, for example with respect to video, as we develop and implement\nnew products, as we market new and existing products and promote our brands, as we continue to expand our technical infrastructure, as we continue to invest\nin new and unproven technologies, including AI and machine learning, and as we continue our efforts to focus on privacy, safety, security, and content review.\nWe have recently undertaken cost reduction measures in light of a more challenging operating environment, which may adversely affect these or other business\ninitiatives, and some of these measures have involved, and may in the future involve, up-front charges and outlays of cash to reduce certain longer-term\nexpenses. In addition, from time to time we are subject to settlements, judgments, fines, or other monetary penalties in connection with legal and regulatory\ndevelopments that may be material to our business. We are also continuing to increase our investments in new platforms and technologies, including as part of\nour efforts related to building the metaverse. Some of these investments, particularly our significant investments in Reality Labs, have generated only limited"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ac7c2-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 29, "chroma:document": "revenue and reduced our operating margin and profitability, and we expect the adverse financial impact of such investments to continue for the foreseeable\nfuture. For example, our investments in Reality Labs reduced our 2023 overall operating profit by approximately $16.12 billion, and we expect our Reality\nLabs investments and operating losses to increase meaningfully in 2024. If our investments are not successful longer-term, our business and financial\nperformance will be harmed.\nOur business is dependent on our ability to maintain and scale our technical infrastructure, and any significant disruption in our products and services\ncould damage our reputation, result in a potential loss of users and engagement, and adversely affect our financial results.\nOur reputation and ability to attract, retain, and serve our users is dependent upon the reliable performance of our products and services and our\nunderlying technical infrastructure. We have experienced, and may in the future experience, interruptions in the availability or performance of our products and\nservices from time to time. Our systems may not be adequately designed or may not operate with the reliability and redundancy necessary to avoid\nperformance delays or outages that could be harmful to our business. If our products or services are unavailable when users attempt to access them, or if they\ndo not load as quickly as expected, users may not use our products or services as often in the future, or at all, and our ability to serve ads may be disrupted, any\nof which could adversely affect our business and financial performance. We have experienced such issues to varying degrees from time to time. In addition, as\nthe amount and types of information shared on our products continue to grow and evolve, as the usage patterns of our global community continue to evolve,\nand as our internal operational demands continue to grow, especially with the deployment of AI technologies, we will need an increasing amount of technical\ninfrastructure, including network capacity and computing power, to continue to satisfy our needs. It is possible that we may fail to continue to effectively scale\nand grow our technical infrastructure to accommodate these increased demands, which may adversely affect our user engagement and advertising revenue. In\naddition, our business may be subject to interruptions, delays, or failures resulting from earthquakes, adverse weather conditions, other natural\n29"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ac812-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 30, "chroma:document": "Table of Contents\ndisasters, power loss, terrorism, geopolitical conflict, other physical security threats, cyber-attacks, or other catastrophic events and crises. Global climate\nchange could result in certain types of natural disasters occurring more frequently or with more intense effects. Any such events may result in users being\nsubject to service disruptions or outages and we may not be able to recover our technical infrastructure and user data in a timely manner to restart or provide\nour services, which may adversely affect our financial results. We also have been, and may in the future be, subject to increased energy and/or other costs to\nmaintain the availability or performance of our products and services in connection with any such events.\nA substantial portion of our technical infrastructure is provided by third parties. Any disruption or failure in the services we receive from these providers\ncould harm our ability to handle existing or increased traffic and could significantly harm our business. Any financial or other difficulties these providers face\nmay adversely affect our business, and we exercise little control over these providers, which increases our vulnerability to problems with the services they\nprovide. We have experienced, and expect to continue to experience, various challenges with the supply chain related to supporting our technical infrastructure.\nAs a result, we have adjusted, and may continue to adjust in the future, our procurement practices to adapt to the evolving landscape. We may not be able to\nsecure sufficient components, equipment, or services from third parties to satisfy our needs, or we may be required to procure such components, equipment, or\nservices on unfavorable terms.\nAny of these developments may result in interruptions in the availability or performance of our products or services, require unfavorable changes to\nexisting products or services, delay the introduction of future products or services, or otherwise adversely affect our business and financial results.\nWe have experienced, and could experience in the future, difficulties in building and operating key portions of our technical infrastructure.\nWe have designed and built our own data centers and key portions of our technical infrastructure through which we serve our products, and we plan to\ncontinue to significantly expand the size of our infrastructure primarily through data centers, subsea and terrestrial fiber optic cable systems, and other projects.\nThe infrastructure expansion we are undertaking is complex and involves projects in multiple locations around the world, including in developing regions that\nexpose us to increased risks relating to anti-corruption compliance, trade compliance, and political challenges, among others. We have changed, suspended, and"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ac876-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 30, "chroma:document": "terminated certain of these projects as a result of various factors, and may continue to do so in the future. Additional unanticipated delays or disruptions in the\ncompletion of these projects, including due to the availability of components, power, or network capacity, or any shortage of labor necessary in building\nportions of such projects, challenges in obtaining required government or regulatory approvals, or other geopolitical challenges or actions by governments,\nwhether as a result of trade disputes or otherwise, may lead to increased project costs, operational inefficiencies, interruptions in the delivery or degradation of\nthe quality or reliability of our products and services, or impairment of assets on our balance sheet. For example, like others in our industry, we rely on certain\nthird-party equipment and components for our technical infrastructure that are manufactured by a small number of third parties, often with significant\noperations in a single region such as Asia. Any of the foregoing delays or disruptions, including actions by governments or geopolitical events such as\ninternational conflicts, could result in tariffs, sanctions, export controls, and other measures that restrict international trade, could reduce or eliminate the ability\nof our suppliers, manufacturers, or other third-party providers to continue their operations to manufacture, or limit or eliminate our ability to purchase, key\ncomponents of our technical infrastructure.\nIn addition, there may be issues related to this infrastructure that are not identified during the testing phases of design and implementation, which may\nonly become evident after we have started to fully utilize the underlying equipment, that could further degrade the user experience or increase our costs.\nFurther, much of our technical infrastructure is located outside the United States, and action by a foreign government, or our response to such government\naction, has resulted, and may result in the future, in the impairment of a portion of our technical infrastructure, which may interrupt the delivery or degrade the\nquality or reliability of our products and lead to a negative user experience or increase our costs. Any of these events could adversely affect our business,\nreputation, or financial results.\nReal or perceived inaccuracies in our community and other metrics may harm our reputation and negatively affect our business.\nThe numbers for our key metrics, which include our Family metrics (DAP, MAP, and average revenue per person (ARPP)) and Facebook metrics\n(DAUs, MAUs, and average revenue per user (ARPU)), are calculated using internal company data based on the activity of user accounts. While these numbers"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ac8d0-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 30, "chroma:document": "are based on what we believe to be reasonable estimates of our user base for the applicable period of measurement, there are inherent challenges in measuring\nusage of our products across large online and mobile populations around the world. The methodologies used to measure these metrics\n30"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ac934-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 31, "chroma:document": "Table of Contents\nrequire significant judgment and are also susceptible to algorithm or other technical errors. In addition, we are continually seeking to improve our estimates of\nour user base, and such estimates may change due to improvements or changes in our methodology. We regularly review our processes for calculating these\nmetrics, and from time to time we discover inaccuracies in our metrics or make adjustments to improve their accuracy, which can result in adjustments to our\nhistorical metrics. Our ability to recalculate our historical metrics may be impacted by data limitations or other factors that require us to apply different\nmethodologies for such adjustments. We generally do not intend to update previously disclosed Family metrics for any such inaccuracies or adjustments that\nare within the error margins disclosed below.\nIn addition, our Family metrics and Facebook metrics estimates will differ from estimates published by third parties due to differences in methodology\nor other factors such as data limitations or other challenges in measuring large online and mobile populations. For example, our Family metrics estimates in\nsome instances exceed estimates of addressable online and mobile populations that are based on data published by third parties.\nMany people in our community have user accounts on more than one of our products, and some people have multiple user accounts within an individual\nproduct. 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 not\nreflect the actual size of our community. Rather, our Family metrics represent our estimates of the number of unique people using at least one of Facebook,\nInstagram, Messenger, and WhatsApp. We do not require people to use a common identifier or link their accounts to use multiple products in our Family, and\ntherefore must seek to attribute multiple user accounts within and across products to individual people. To calculate these metrics, we rely upon complex\ntechniques, algorithms and machine learning models that seek to count the individual people behind user accounts, including by matching multiple user\naccounts within an individual product and across multiple products when we believe they are attributable to a single person, and counting such group of\naccounts as one person. These techniques and models require significant judgment, are subject to data and other limitations discussed below, and inherently are\nsubject to statistical variances and uncertainties. We estimate the potential error in our Family metrics primarily based on user survey data, which itself is\nsubject to error as well. While we expect the error margin for our Family metrics to vary from period to period, we estimate that such margin generally will be"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ac98e-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 31, "chroma:document": "approximately 3% of our worldwide MAP. At our scale, it is very difficult to attribute multiple user accounts within and across products to individual people,\nand it is possible that the actual numbers of unique people using our products may vary significantly from our estimates, potentially beyond our estimated error\nmargins. As a result, it is also possible that our Family metrics may indicate changes or trends in user numbers that do not match actual changes or trends.\nTo calculate our estimates of Family DAP and MAP, we currently use a series of machine learning models that are developed based on internal reviews\nof limited samples of user accounts and calibrated against user survey data. We apply significant judgment in designing these models and calculating these\nestimates. For example, to match user accounts within individual products and across multiple products, we use data signals such as similar device information,\nIP addresses, and user names. We also calibrate our models against data from periodic user surveys of varying sizes and frequency across our products, which\nare inherently subject to error. The timing and results of such user surveys have in the past contributed, and may in the future contribute, to changes in our\nreported Family metrics from period to period. In addition, our data limitations may affect our understanding of certain details of our business and increase the\nrisk of error for our Family metrics estimates. Our techniques and models rely on a variety of data signals from different products, and we rely on more limited\ndata signals for some products compared to others. For example, as a result of limited visibility into encrypted products, we have fewer data signals from\nWhatsApp user accounts and primarily rely on phone numbers and device information to match WhatsApp user accounts with accounts on our other products.\nAny loss of access to data signals we use in our process for calculating Family metrics, whether as a result of our own product decisions, actions by third-party\nbrowser or mobile platforms, regulatory or legislative requirements, or other factors, also may impact the stability or accuracy of our reported Family metrics,\nas well as our ability to report these metrics at all. Our estimates of Family metrics also may change as our methodologies evolve, including through the\napplication of new data signals or technologies, product changes, or other improvements in our user surveys, algorithms, or machine learning that may improve\nour ability to match accounts within and across our products or otherwise evaluate the broad population of our users. In addition, such evolution may allow us\nto identify previously undetected violating accounts (as defined below)."}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8acac4-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 31, "chroma:document": "to identify previously undetected violating accounts (as defined below).\nWe regularly evaluate our Family metrics to estimate the percentage of our MAP consisting solely of \"violating\" accounts. We define \"violating\"\naccounts 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 of\n2023, we estimated that approximately 3% of our worldwide MAP consisted solely of violating accounts. Such estimation is based on an internal review of a\nlimited sample of accounts, and we apply significant judgment in making this determination. For example, we look for account information and behaviors\nassociated with Facebook and Instagram accounts that appear to be inauthentic to the reviewers, but we have\n31"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8acb6e-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 32, "chroma:document": "Table of Contents\nlimited visibility into WhatsApp user activity due to encryption. In addition, if we believe an individual person has one or more violating accounts, we do not\ninclude such person in our violating accounts estimation as long as we believe they have one account that does not constitute a violating account. From time to\ntime, we disable certain user accounts, make product changes, or take other actions to reduce the number of violating accounts among our users, which may\nalso reduce our DAP and MAP estimates in a particular period. Violating accounts are very difficult to measure at our scale, and it is possible that the actual\nnumber of violating accounts may vary significantly from our estimates.\nWe also regularly evaluate our Facebook metrics to estimate the number of \"duplicate\" and \"false\" accounts among our MAUs. A duplicate account is\none that a user maintains in addition to his or her principal account. We divide \"false\" accounts into two categories: (1) user-misclassified accounts, where users\nhave created personal profiles for a business, organization, or non-human entity such as a pet (such entities are permitted on Facebook using a Page rather than\na personal profile under our terms of service); and (2) violating accounts, which represent user profiles that we believe are intended to be used for purposes that\nviolate our terms of service, such as bots and spam. The estimates of duplicate and false accounts are based on an internal review of a limited sample of\naccounts, and we apply significant judgment in making this determination. For example, to identify duplicate accounts we use data signals such as identical IP\naddresses and similar user names, and to identify false accounts we look for names that appear to be fake or other behavior that appears inauthentic to the\nreviewers. Any loss of access to data signals we use in this process, whether as a result of our own product decisions, actions by third-party browser or mobile\nplatforms, regulatory or legislative requirements, or other factors, also may impact the stability or accuracy of our estimates of duplicate and false accounts.\nOur estimates also may change as our methodologies evolve, including through the application of new data signals or technologies or product changes that may\nallow us to identify previously undetected duplicate or false accounts and may improve our ability to evaluate a broader population of our users. Duplicate and\nfalse accounts are very difficult to measure at our scale, and it is possible that the actual number of duplicate and false accounts may vary significantly from our\nestimates."}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8acbd2-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 32, "chroma:document": "estimates.\nIn the fourth quarter of 2023, we estimated that duplicate accounts may have represented approximately 10% of our worldwide MAUs. We believe the\npercentage of duplicate accounts is meaningfully higher in developing markets such as the Philippines and Vietnam, as compared to more developed markets.\nIn the fourth quarter of 2023, we estimated that false accounts may have represented approximately 4% of our worldwide MAUs. Our estimation of false\naccounts can vary as a result of episodic spikes in the creation of such accounts, which we have seen originate more frequently in specific countries such as\nIndonesia, Vietnam, and Nigeria. From time to time, we disable certain user accounts, make product changes, or take other actions to reduce the number of\nduplicate or false accounts among our users, which may also reduce our DAU and MAU estimates in a particular period.\nOther data limitations also may affect our understanding of certain details of our business. For example, while user-provided data indicates a decline in\nusage among younger users, this age data may be unreliable because a disproportionate number of our younger users register with an inaccurate age.\nAccordingly, our understanding of usage by age group may not be complete.\nIn addition, our data regarding the geographic location of our users is estimated based on a number of factors, such as the user's IP address and self-\ndisclosed location. These factors may not always accurately reflect the user's actual location. For example, a user may appear to be accessing Facebook from\nthe location of the proxy server that the user connects to rather than from the user's actual location. The methodologies used to measure our metrics are also\nsusceptible to algorithm or other technical errors, and our estimates for revenue by user location and revenue by user device are also affected by these factors.\nIn addition, from time to time we provide, or rely on, certain other metrics and estimates, including those relating to the reach and effectiveness of our\nads. Many of our metrics involve the use of estimations and judgments, and our metrics and estimates are subject to software bugs, inconsistencies in our\nsystems, and human error. Such metrics and estimates also change from time to time due to improvements or changes in our terminology or methodology,\nincluding as a result of loss of access to data signals we use in calculating such metrics and estimates. We have been, and may in the future be, subject to"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8acc2c-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 32, "chroma:document": "litigation as well as marketer, regulatory, and other inquiries regarding the accuracy of such metrics and estimates. Where marketers, developers, or investors\ndo not perceive our metrics or estimates to be accurate, or where we discover material inaccuracies in our metrics or estimates, we may be subject to liability,\nour reputation may be harmed, and marketers and developers may be less willing to allocate their budgets or resources to our products that deliver ad\nimpressions, which could negatively affect our business and financial results.\n32"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8accc2-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 33, "chroma:document": "Table of Contents\nWe cannot assure you that we will effectively manage our scale.\nOur employee headcount and the scale and complexity of our business have increased significantly over time. The scale of our business and breadth of\nour products create significant challenges for our management, operational, and financial resources, including managing multiple relationships with users,\nmarketers, developers, and other third parties, and maintaining information technology systems and internal controls and procedures that support the scale and\ncomplexity of our business. In addition, some members of our management do not have significant experience managing a large global business operation, so\nour management may not be able to manage our scale effectively. To effectively manage our scale, we must maintain, and continue to adapt, our operational,\nfinancial, and management processes and systems, manage our headcount and facilities, and effectively train and manage our personnel. Many of our personnel\nwork remotely, which may lead to challenges in productivity and collaboration. In addition, from time to time, we implement organizational changes to pursue\ngreater efficiency and realign our business and strategic priorities. For example, in 2022 and 2023, we announced several initiatives, including restructurings,\nemployee layoffs, and measures to scale down our office facilities, but we cannot guarantee that they will achieve our intended results. These efforts also\nsubject us to risks such as greater than anticipated costs, adverse effects on employee retention, and increased difficulty managing the scale and complexity of\nour business. For example, we could face delays or challenges with product development, other business and strategic initiatives, or legal and regulatory\ncompliance, as well as other disruptions to our operations. As our organization continues to evolve, and we are required to implement and adapt complex\norganizational management structures, we may find it difficult to maintain the benefits of our corporate culture, including our ability to quickly develop and\nlaunch new and innovative products. Any of these developments could negatively affect our business, reputation, or financial results.\nWe have significant international operations, which subject us to increased business, economic, and legal risks that could affect our financial results.\nWe have significant international operations. We currently make Facebook available in more than 100 different languages, and we have offices or data\ncenters in approximately 40 different countries. We may enter new international regions where we have limited or no experience in marketing, selling, and\ndeploying our products. Our products are generally available globally, but some or all of our products or functionality may not be available in certain regions"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8acd1c-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 33, "chroma:document": "due to legal and regulatory complexities. For example, several of our products are not generally available in China. We also outsource certain operational\nfunctions to third parties globally. If we fail to deploy, manage, or oversee our international operations successfully, our business may suffer. In addition, we are\nsubject to a variety of risks inherent in doing business internationally, including:\n\u2022political, social, or economic instability;\n\u2022risks related to legal, regulatory, and other government scrutiny applicable to U.S. companies with sales and operations in foreign jurisdictions,\nincluding with respect to privacy, tax, law enforcement, content, trade compliance, supply chain, competition, consumer protection, intellectual\nproperty, environmental, health and safety, licensing, and infrastructure matters;\n\u2022potential damage to our brand and reputation due to compliance with local laws, including potential censorship or requirements to provide user\ninformation to local authorities;\n\u2022enhanced difficulty in reviewing content on our platform and enforcing our community standards across different languages and countries;\n\u2022fluctuations in currency exchange rates and compliance with currency controls;\n\u2022foreign exchange controls and tax and other regulations and orders that might prevent us from repatriating cash earned in countries outside the United\nStates or otherwise limit our ability to move cash freely, and impede our ability to invest such cash efficiently;\n\u2022higher levels of credit risk and payment fraud;\n\u2022enhanced difficulties of integrating any foreign acquisitions;\n\u2022burdens of complying with a variety of foreign laws, including laws related to taxation, content removal, content\n33"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8acd76-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 34, "chroma:document": "Table of Contents\nmoderation, data localization, data protection, competition, e-commerce and payments, and regulatory oversight;\n\u2022reduced protection for intellectual property rights in some countries;\n\u2022difficulties in staffing, managing, and overseeing global operations and the increased travel, infrastructure, and legal compliance costs associated with\nmultiple international locations, including difficulties arising from personnel working remotely;\n\u2022compliance with statutory equity requirements and management of tax consequences; and\n\u2022geopolitical events affecting us, our marketers or our industry, including trade disputes, armed conflicts, and pandemics.\nIn addition, we must manage the potential conflicts between locally accepted business practices in any given jurisdiction and our obligations to comply\nwith laws and regulations, including anti-corruption laws or regulations applicable to us, such as the U.S. Foreign Corrupt Practices Act and the U.K. Bribery\nAct 2010. We also must manage our obligations to comply with laws and regulations related to import and export controls, trade restrictions, and sanctions,\nincluding regulations established by the U.S. Office of Foreign Assets Control. Government agencies and authorities have a broad range of civil and criminal\npenalties they may seek to impose against companies for violations of anti-corruption laws or regulations, import and export controls, trade restrictions,\nsanctions, and other laws, rules, and regulations.\nIf we are unable to expand internationally and manage the complexity of our global operations successfully, our financial results could be adversely\naffected. We also may be required to or elect to cease or modify our operations or the offering of our products and services in certain regions, including as a\nresult of the risks described above, which could adversely affect our business, user growth and engagement, and financial results.\nWe face design, manufacturing, and supply chain risks with respect to our consumer hardware products that, if not properly managed, could adversely\nimpact our financial results.\nWe face a number of risks related to design, manufacturing, and supply chain management with respect to our consumer hardware products. For\nexample, the consumer hardware products we sell from time to time have had, and in the future may have, quality issues resulting from the design or\nmanufacture of the products, or from the software used in the products. Sometimes, these issues may be caused by components we purchase from other\nmanufacturers or suppliers. Our brand and financial results could be adversely affected by any such quality issues, other failures to meet our customers'"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8acdda-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 34, "chroma:document": "expectations, or findings of our consumer hardware products to be defective.\nWe rely on third parties to manufacture and manage the logistics of transporting and distributing our consumer hardware products, which subjects us to a\nnumber of risks. The manufacturing of our consumer hardware products depends on a small number of third parties, often with significant operations in a\nsingle region such as Asia. We have experienced, and may in the future experience, supply or labor shortages or other disruptions in logistics and the supply\nchain, which could result in shipping delays and negatively impact our operations, product development, and sales. We could be negatively affected if we are\nnot able to engage third parties with the necessary capabilities or capacity on reasonable terms, or if those we engage with fail to meet their obligations\n(whether due to financial difficulties, manufacturing or supply constraints, or other reasons), or make adverse changes in the pricing or other material terms of\nsuch arrangements with them. The manufacturing, distribution, and sale of our consumer hardware products also may be negatively impacted by\nmacroeconomic conditions, geopolitical challenges, trade disputes, or other actions by governments (including international conflicts that could result in tariffs,\nsanctions, export controls, and other measures that restrict international trade) that subject us to supply shortages, increased costs, or supply chain or logistics\ndisruptions.\nWe also require the suppliers and business partners of our consumer hardware products to comply with laws and certain company policies regarding\nsourcing practices and standards on labor, trade compliance, health and safety, the environment, and business ethics, but we do not control them or their\npractices and standards. If any of them violates laws, fails to implement changes in accordance with newly enacted laws, or implements practices or standards\nregarded as unethical, corrupt, or non-compliant, we could experience supply chain disruptions, government action or fines, canceled orders, or damage to our\nreputation.\n34"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ace34-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 35, "chroma:document": "Table of Contents\nWe face inventory risk with respect to our consumer hardware products.\nWe are exposed to inventory risks with respect to our consumer hardware products as a result of rapid changes in product cycles and pricing, unsafe or\ndefective merchandise, supply chain disruptions, changes in consumer demand and consumer spending patterns, changes in consumer tastes with respect to our\nconsumer hardware products, and other factors. The demand for our products can also change significantly between the time inventory or components are\nordered and the date of sale. While we endeavor to accurately predict these trends and avoid overstocking or understocking consumer hardware products we\nmay sell, from time to time we have experienced difficulties in accurately predicting and meeting the consumer demand for our products. In addition, when we\nbegin selling or manufacturing a new consumer hardware product or enter new international regions, it may be difficult to establish vendor relationships,\ndetermine appropriate product or component selection, and accurately forecast demand. The acquisition of certain types of inventory or components may\nrequire significant lead-time and prepayment and they may not be returnable. Any one of the foregoing factors may adversely affect our operating results.\nWe plan to continue to make acquisitions and pursue other strategic transactions, which could impact our financial condition or results of operations and\nmay adversely affect the price of our common stock.\nAs part of our business strategy, we have made and intend to continue to make acquisitions to add specialized employees and complementary\ncompanies, products, or technologies, and from time to time may enter into other strategic transactions such as investments and joint ventures. We may not be\nable to find suitable acquisition candidates, and we may not be able to complete acquisitions or other strategic transactions on favorable terms, or at all,\nincluding as a result of regulatory challenges. For example, we completed our divestiture of Giphy in 2023 following the United Kingdom Competition and\nMarkets Authority's order directing us to divest Giphy post-acquisition. In addition, although we were able to successfully complete the acquisition after\nprevailing in federal court, the FTC sought to enjoin our proposed acquisition of Within Unlimited. In some cases, the costs of such acquisitions or other\nstrategic transactions may be substantial, and there is no assurance that we will realize expected synergies and potential monetization opportunities for our\nacquisitions or a favorable return on investment for our strategic investments.\nWe may pay substantial amounts of cash or incur debt to pay for acquisitions or other strategic transactions, which has occurred in the past and could"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ace98-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 35, "chroma:document": "adversely affect our liquidity. The incurrence of indebtedness also results in increased fixed obligations and increased interest expense, and could also include\ncovenants or other restrictions that would impede our ability to manage our operations. We may also issue equity securities to pay for acquisitions and we\nregularly grant restricted stock units to retain the employees of acquired companies, which could increase our expenses, adversely affect our financial results,\nand result in dilution to our stockholders. In addition, any acquisitions or other strategic transactions we announce could be viewed negatively by users,\nmarketers, developers, or investors, which may adversely affect our business or the price of our Class A common stock.\nWe may also discover liabilities, deficiencies, or other claims associated with the companies or assets we acquire that were not identified in advance,\nwhich may result in significant unanticipated costs. The effectiveness of our due diligence review and our ability to evaluate the results of such due diligence\nare dependent upon the accuracy and completeness of statements and disclosures made or actions taken by the companies we acquire or their representatives, as\nwell as the limited amount of time in which acquisitions are executed. In addition, we may fail to accurately forecast the financial impact of an acquisition or\nother strategic transaction, including tax and accounting charges. Acquisitions or other strategic transactions may also result in our recording of significant\nadditional expenses to our results of operations and recording of substantial finite-lived intangible assets on our balance sheet upon closing. Any of these\nfactors may adversely affect our financial condition or results of operations.\nWe may not be able to successfully integrate our acquisitions, and we incur significant costs to integrate and support the companies we acquire.\nThe integration of acquisitions requires significant time and resources, particularly with respect to companies that have significant operations or that\ndevelop products where we do not have prior experience, and we may not manage these processes successfully. We have made, and may in the future make,\nsubstantial investments of resources to support our acquisitions, which can result in significant ongoing operating expenses and the diversion of resources and\nmanagement attention from other areas of our business. We cannot assure you that these investments will be successful. If we fail to successfully integrate the\ncompanies we acquire, we may not realize the benefits expected from the transaction and our business may be harmed.\n35"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8acefc-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 36, "chroma:document": "Table of Contents\nWe are involved in numerous class action lawsuits and other litigation matters that are expensive and time consuming, and, if resolved adversely, could\nharm our business, financial condition, or results of operations.\nWe are involved in numerous lawsuits, including stockholder derivative lawsuits and putative class action lawsuits, many of which claim statutory\ndamages and/or seek significant changes to our business operations, and we anticipate that we will continue to be a target for numerous lawsuits in the future.\nBecause of the scale of our user, advertiser, and developer base, the plaintiffs in class action cases filed against us typically claim enormous monetary damages\neven if the alleged per-user or entity harm is small or non-existent. In addition, we have faced, currently face, and will continue to face additional class action\nand other lawsuits based on claims related to advertising, antitrust, privacy, security, biometrics, content, algorithms, copyright, user well-being, employment,\ncontingent workers, activities on our platform, consumer protection, or product performance or other claims related to the use of consumer hardware and\nsoftware, including virtual reality technology and products, which are new and unproven. For example, we are currently the subject of multiple putative class\naction suits in connection with our platform and user data practices and the misuse of certain data by a developer that shared such data with third parties in\nviolation of our terms and policies; the disclosure of our earnings results for the second quarter of 2018; our acquisitions of Instagram and WhatsApp, as well\nas other alleged anticompetitive conduct; a former employee's allegations and release of internal company documents beginning in September 2021; the\ndisclosure of our earnings results for the fourth quarter of 2021; and allegations that we inflated our estimates of the potential audience size for advertisements,\nresulting in artificially increased demand and higher prices. We are also the subject of multiple lawsuits related to our alleged use of facial recognition\ntechnology, our alleged recommendation of and/or failure to remove harmful content, information from third-party websites or apps via our business tools, our\nalleged use of copyright-protected content to train our AI models, and allegations that Facebook and Instagram cause \"social media addiction\" in users and\nallegations of violations of the Children's Online Privacy Protection Act (COPPA). The results of any such lawsuits and claims cannot be predicted with"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8acf56-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 36, "chroma:document": "certainty, and any negative outcome from any such lawsuits could result in payments of substantial monetary damages or fines, or undesirable changes to our\nproducts or business practices, and accordingly our business, financial condition, or results of operations could be materially and adversely affected.\nThere can be no assurances that a favorable final outcome will be obtained in all our cases, and defending any lawsuit is costly and can impose a\nsignificant burden on management and employees. Any litigation to which we are a party may result in an onerous or unfavorable judgment that may not be\nreversed upon appeal or in payments of substantial monetary damages or fines, or we may decide to settle lawsuits on similarly unfavorable terms, which has\noccurred in the past and which could adversely affect our business, financial conditions, or results of operations.\nWe may have exposure to greater than anticipated tax liabilities.\nOur tax obligations, including income and non-income taxes, are based in part on our corporate operating structure and intercompany arrangements,\nincluding the manner in which we operate our business, develop, value, manage, protect, and use our intellectual property, and the valuations of our\nintercompany transactions. The tax laws applicable to our business, including the laws of the United States and other jurisdictions, are subject to interpretation\nand certain jurisdictions are aggressively interpreting their laws in new ways in an effort to raise additional tax revenue from companies such as Meta. We are\nsubject to regular review and audit by U.S. federal, state, and foreign tax authorities. Tax authorities may disagree with certain positions we have taken,\nincluding our methodologies for valuing developed technology or intercompany arrangements, and any adverse outcome of such a review or audit could\nincrease our worldwide effective tax rate, increase the amount of non-income taxes imposed on our business, and harm our financial position, results of\noperations, and cash flows. For example, in 2016 and 2018, the IRS issued formal assessments relating to transfer pricing with our foreign subsidiaries in\nconjunction with the examination of the 2010 through 2013 tax years. Although we disagree with the IRS's position and are litigating this issue, the ultimate\nresolution is uncertain and, if resolved in a manner unfavorable to us, may adversely affect our financial results.\nThe determination of our worldwide provision for income taxes and other tax liabilities requires significant judgment by management, and there are\nmany transactions where the ultimate tax determination is uncertain. Our provision for income taxes is determined by the manner in which we operate our"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8acfb0-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 36, "chroma:document": "business, and any changes to such operations or laws applicable to such operations may affect our effective tax rate. Although we believe that our provision for\nincome taxes and estimates of our non-income tax liabilities are reasonable, the ultimate settlement may differ from the amounts recorded in our financial\nstatements and may materially affect our financial results in the period or periods for which such determination is made.\n36"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ad00a-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 37, "chroma:document": "Table of Contents\nOur future income tax rates could be volatile and difficult to predict due to changes in jurisdictional profit split, changes in the amount and recognition\nof deferred tax assets and liabilities, or by changes in tax laws, regulations, or accounting principles.\nChanges in tax laws or tax rulings could materially affect our financial position, results of operations, and cash flows.\nThe tax regimes we are subject to or operate under, including income and non-income taxes, are unsettled and may be subject to significant change.\nChanges in tax laws or tax rulings, or changes in interpretations of existing laws, could materially affect our financial position, results of operations, and cash\nflows. For example, the 2017 Tax Cuts and Jobs Act (Tax Act) enacted in December 2017 had a significant impact on our tax obligations and effective tax rate\nfor the fourth quarter of 2017. The issuance of additional regulatory or accounting guidance related to the Tax Act, or other executive or Congressional actions\nin the United States or globally could materially increase our tax obligations and significantly impact our effective tax rate in the period such guidance is issued\nor such actions take effect, and in future periods. In addition, many countries have recently proposed or recommended changes to existing tax laws or have\nenacted new laws that could significantly increase our tax obligations in many countries where we do business or require us to change the manner in which we\noperate our business.\nOver the last several years, the Organization for Economic Cooperation and Development has been working on a Base Erosion and Profit Shifting\nProject that, if implemented, would change various aspects of the existing framework under which our tax obligations are determined in many of the countries\nin which we do business. As of July 2023, nearly 140 countries have approved a framework that imposes a minimum tax rate of 15%, among other provisions.\nAs this framework is subject to further negotiation and implementation by each member country, the timing and ultimate impact of any such changes on our tax\nobligations are uncertain. Similarly, the European Commission and several countries have issued proposals that would apply to various aspects of the current\ntax framework under which we are taxed. These proposals include changes to the existing framework to calculate income tax, as well as proposals to change or\nimpose new types of non-income taxes, including taxes based on a percentage of revenue. For example, several jurisdictions have proposed or enacted taxes"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ad064-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 37, "chroma:document": "applicable to digital services, which include business activities on digital advertising and online marketplaces, and which apply to our business.\nThe European Commission has conducted investigations in multiple countries focusing on whether local country tax rulings or tax legislation provides\npreferential tax treatment that violates European Union state aid rules and concluded that certain member states, including Ireland, have provided illegal state\naid in certain cases. These investigations may result in changes to the tax treatment of our foreign operations.\nDue to the large and expanding scale of our international business activities, many of these types of changes to the taxation of our activities described\nabove could increase our worldwide effective tax rate, increase the amount of non-income taxes imposed on our business, and harm our financial position,\nresults of operations, and cash flows. Such changes may also apply retroactively to our historical operations and result in taxes greater than the amounts\nestimated and recorded in our financial statements.\nGiven our levels of share-based compensation, our tax rate has in the past varied, and may in the future vary, significantly depending on our stock price.\nThe tax effects of the accounting for share-based compensation have in the past impacted, and may in the future impact, our effective tax rate,\nsometimes significantly, from period to period. In periods in which our stock price varies from the grant price of the share-based compensation vesting in that\nperiod, we will recognize excess tax benefits or shortfalls that will impact our effective tax rate. For example, in 2023, excess tax benefits recognized from\nshare-based compensation decreased our provision for income taxes by $708 million and our effective income tax rate by one percentage point as compared to\nthe tax rate without such benefits. In future periods in which our stock price varies in comparison to the grant price of the share-based compensation vesting in\nthat period, our effective tax rate may be inversely impacted. The amount and value of share-based compensation issued relative to our earnings in a particular\nperiod will also affect the magnitude of the impact of share-based compensation on our effective tax rate. These tax effects are dependent on our stock price,\nwhich we do not control, and a decline in our stock price could significantly increase our effective tax rate and adversely affect our financial results.\n37"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ad0be-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 38, "chroma:document": "Table of Contents\nIf our goodwill or intangible assets become impaired, we may be required to record a significant charge to earnings.\nWe review our intangible assets for impairment when events or changes in circumstances indicate the carrying value may not be recoverable, such as a\ndecline in stock price and market capitalization. We test goodwill for impairment at the reporting unit level at least annually. If such goodwill or intangible\nassets are deemed to be impaired, an impairment loss equal to the amount by which the carrying amount exceeds the fair value of the assets would be\nrecognized. We may be required to record a significant charge in our financial statements during the period in which any impairment of our goodwill or\nintangible assets is determined, which would negatively affect our results of operations.\nThe loss of one or more of our key personnel, or our failure to attract and retain other highly qualified personnel in the future, could harm our business.\nWe currently depend on the continued services and performance of our key personnel, including Mark Zuckerberg. Mr. Zuckerberg and certain other\nmembers of management participate in various high-risk activities, such as combat sports, extreme sports, and recreational aviation, which carry the risk of\nserious injury and death. If Mr. Zuckerberg were to become unavailable for any reason, there could be a material adverse impact on our operations. The loss of\nother key personnel, including members of management as well as key engineering, product development, marketing, and sales personnel, could also disrupt\nour operations and have an adverse effect on our business.\nIn addition, we cannot guarantee we will continue to attract and retain the personnel we need to maintain our competitive position. In particular, we\nexpect to continue to face significant challenges in hiring specialized technical personnel, particularly senior engineering talent, whether as a result of\ncompetition with other companies or other factors. As we continue to mature, the incentives to attract, retain, and motivate employees provided by our equity\nawards or by future arrangements may not be as effective as in the past, and if we issue significant equity to attract additional employees or to retain our\nexisting employees, we would incur substantial additional share-based compensation expense and the ownership of our existing stockholders would be further\ndiluted. Our ability to attract, retain, and motivate employees may also be adversely affected by stock price volatility. In addition, restrictive immigration\npolicies or legal or regulatory developments relating to immigration may negatively affect our efforts to attract and hire new personnel as well as retain our"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ad122-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 38, "chroma:document": "existing personnel. If we do not succeed in attracting, hiring, and integrating excellent personnel, or retaining and motivating existing personnel, we may be\nunable to grow effectively.\nOur CEO has control over key decision making as a result of his control of a majority of the voting power of our outstanding capital stock.\nMark Zuckerberg, our founder, Board Chair, and CEO, is able to exercise voting rights with respect to a majority of the voting power of our outstanding\ncapital stock and therefore has the ability to control the outcome of all matters submitted to our stockholders for approval, including the election of directors\nand any merger, consolidation, or sale of all or substantially all of our assets. This concentrated control could delay, defer, or prevent a change of control,\nmerger, consolidation, or sale of all or substantially all of our assets that our other stockholders support, or conversely this concentrated control could result in\nthe consummation of such a transaction that our other stockholders do not support. This concentrated control could also discourage a potential investor from\nacquiring our Class A common stock, which has limited voting power relative to the Class B common stock, and might harm the trading price of our Class A\ncommon stock. In addition, Mr. Zuckerberg has the ability to control the management and major strategic investments of our company as a result of his\nposition as our CEO and his ability to control the election or, in some cases, the replacement of our directors. In the event of his death, the shares of our capital\nstock that Mr. Zuckerberg owns will be transferred to the persons or entities that he has designated. As a board member and officer, Mr. Zuckerberg owes a\nfiduciary duty to our stockholders and must act in good faith in a manner he reasonably believes to be in the best interests of our stockholders. As a\nstockholder, even a controlling stockholder, Mr. Zuckerberg is entitled to vote his shares in his own interests, which may not always be in the interests of our\nstockholders generally.\nWe cannot guarantee that our share repurchase program will be fully consummated or that it will enhance long-term stockholder value. Share repurchases\nand dividend payments could also increase the volatility of the trading price of our stock and will diminish our cash reserves.\nAlthough our board of directors has authorized a share repurchase program that does not have an expiration date, the program does not obligate us to"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ad17c-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 38, "chroma:document": "repurchase any specific dollar amount or to acquire any specific number of shares of our Class A common stock. The specific timing and amount of any share\nrepurchases, and the specific timing and amount of any\n38"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ad1d6-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 39, "chroma:document": "Table of Contents\ndividend payments, will depend on prevailing share prices, general economic and market conditions, company performance, and other considerations. We\ncannot guarantee that the repurchase program will be fully consummated or that it will enhance long-term stockholder value. The repurchase program and\ndividend payments could affect the trading price of our stock and increase volatility, and any announcement of a termination of this repurchase program or\ndividend payments may result in a decrease in the trading price of our stock. In addition, this repurchase program and dividend payments will diminish our\ncash reserves.\nThere can be no assurance that we will continue to declare cash dividends.\nOn February 1, 2024, we announced the initiation of our first-ever quarterly cash dividend. The payment of any cash dividends in the future is subject to\ncontinued capital availability, market conditions, applicable laws and agreements, and our board of directors continuing to determine that the declaration of\ndividends are in the best interests of our stockholders. The declaration and payment of any dividend may be discontinued or reduced at any time, and there can\nbe no assurance that we will declare cash dividends in the future in any particular amounts, or at all.\nRisks Related to Government Regulation and Enforcement\nActions by governments that restrict access to Facebook or our other products in their countries, censor or moderate content on our products in their\ncountries, or otherwise impair our ability to sell advertising in their countries, could substantially harm our business and financial results.\nGovernments from time to time seek to censor or moderate content available on Facebook or our other products in their country, restrict access to our\nproducts from their country partially or entirely, or impose other restrictions that may affect the accessibility of our products in their country for an extended\nperiod of time or indefinitely. For example, user access to Facebook and certain of our other products has been or is currently restricted in whole or in part in\nChina, Iran, and North Korea. In addition, government authorities in other countries may seek to restrict user access to our products if they consider us to be in\nviolation of their laws or a threat to public safety or for other reasons, and certain of our products have been restricted by governments in other countries from\ntime to time. For example, in 2020, Hong Kong adopted a National Security Law that provides authorities with the ability to obtain information, remove and"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ad230-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 39, "chroma:document": "block access to content, and suspend user services, and if we are found to be in violation of this law then the use of our products may be restricted. Hong Kong\nis also expected to pass additional national security legislation in 2024. In addition, if we are required to or elect to make changes to our marketing and sales or\nother operations in Hong Kong as a result of the National Security Law or other legislation, our revenue and business in the region will be adversely affected.\nIn addition, in connection with the war in Ukraine in the first quarter of 2022, access to Facebook and Instagram was restricted in Russia and the services were\nthen prohibited by the Russian government, which has adversely affected, and will likely continue to adversely affect, our revenue and business in the region.\nIt is also possible that government authorities could take action that impairs our ability to sell advertising, including in countries where access to our\nconsumer-facing products may be blocked or restricted. For example, we generate meaningful revenue from a small number of resellers serving advertisers\nbased in China, and it is possible that the Chinese government could take action that reduces or eliminates our China-based advertising revenue, whether as a\nresult of the trade dispute with the United States, in response to content issues or information requests in Hong Kong or elsewhere, or for other reasons, or take\nother action against us, such as imposing taxes or other penalties, which could adversely affect our financial results.\nSimilarly, if we are found to be out of compliance with certain legal requirements for companies in Turkey, the Turkish government could take action to\nreduce or eliminate our Turkey-based advertising revenue or otherwise adversely impact access to our products. In the event that content shown on Facebook or\nour other products is subject to censorship, access to our products is restricted, in whole or in part, in one or more countries, we are required to or elect to make\nchanges to our operations, or other restrictions are imposed on our products, or our competitors are able to successfully penetrate new geographic markets or\ncapture a greater share of existing geographic markets that we cannot access or where we face other restrictions, our ability to retain or increase our user base,\nuser engagement, or the level of advertising by marketers may be adversely affected, we may not be able to maintain or grow our revenue as anticipated, and\nour financial results could be adversely affected.\n39"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ad28a-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 40, "chroma:document": "Table of Contents\nOur business is subject to complex and evolving U.S. and foreign laws and regulations regarding privacy, data use and data protection, content,\ncompetition, safety and consumer protection, e-commerce, and other matters. Many of these laws and regulations are subject to change and uncertain\ninterpretation, and could result in claims, changes to our products and business practices, monetary penalties, increased cost of operations, or declines in\nuser growth or engagement, or otherwise harm our business.\nWe are subject to a variety of laws and regulations in the United States and abroad that involve matters central to our business, including privacy, data\nuse, data protection and personal information, the provision of our services to younger users, biometrics, encryption, rights of publicity, content, integrity,\nintellectual property, advertising, marketing, distribution, data security, data retention and deletion, data localization and storage, data disclosure, AI and\nmachine learning, electronic contracts and other communications, competition, protection of minors, consumer protection, civil rights, accessibility,\ntelecommunications, product liability, e-commerce, taxation, economic or other trade controls including sanctions, anti-corruption and political law\ncompliance, securities law compliance, and online payment services. The introduction of new products, expansion of our activities in certain jurisdictions, or\nother actions that we may take may subject us to additional laws, regulations, or other government scrutiny. In addition, foreign data protection, privacy,\ncontent, competition, consumer protection, and other laws and regulations can impose different obligations or be more restrictive than those in the United\nStates, and create the potential for significant fines to be imposed.\nThese U.S. federal and state, EU, and other international laws and regulations, which in some cases can be enforced by private parties in addition to\ngovernment entities, are constantly evolving and can be subject to significant change. As a result, the application, interpretation, and enforcement of these laws\nand regulations are often uncertain, particularly in the new and rapidly evolving industry in which we operate, and may be interpreted and applied\ninconsistently from jurisdiction to jurisdiction and inconsistently with our current policies and practices. For example, regulatory or legislative actions or\nlitigation 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 in\nvarious ways, including for advertising, could adversely affect user growth and engagement. Such actions could affect the manner in which we provide our"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ad2e4-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 40, "chroma:document": "services or adversely affect our financial results, including by imposing significant fines that increasingly may be calculated based on global revenue.\nWe are also subject to evolving laws and regulations that dictate whether, how, and under what circumstances we can transfer, process or receive certain\ndata that is critical to our operations, including data shared between countries or regions in which we operate and data shared among our products and services.\nFor example, in 2016, the European Union and United States agreed to a transfer framework for data transferred from the European Union to the United States,\ncalled the 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\nbases upon which Meta relies to transfer such data, such as Standard Contractual Clauses (SCCs), have been subjected to regulatory and judicial scrutiny. For\nexample, the CJEU considered the validity of SCCs as a basis to transfer user data from the European Union to the United States following a challenge brought\nby the Irish Data Protection Commission (IDPC). Although the CJEU upheld the validity of SCCs in July 2020, on May 12, 2023, the IDPC issued a Final\nDecision concluding that Meta Platforms Ireland's reliance on SCCs in respect of certain transfers of European Economic Area (EEA) Facebook user data was\nnot in compliance with the GDPR. The IDPC issued an administrative fine of EUR \u20ac1.2 billion as well as corrective orders requiring Meta Platforms Ireland to\nsuspend the relevant transfers and to bring its processing operations into compliance with Chapter V GDPR by ceasing the unlawful processing, including\nstorage, of such data in the United States. We are appealing this decision and the corrective orders are currently subject to an interim stay from the Irish High\nCourt.\nOn March 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\nFramework (EU-U.S. DPF). On October 7, 2022, President Biden signed the Executive Order on Enhancing Safeguards for United States Signals Intelligence\nActivities (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"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ad334-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 40, "chroma:document": "Attorney General as a \"qualifying state\" under Section 3(f) of the E.O. On July 10, 2023, the European Commission adopted an adequacy decision in relation\nto the United States. The adequacy decision concludes that the United States ensures an adequate level of protection for personal data transferred from the\nEuropean Union to organizations in the United States that are included in the \"Data Privacy Framework List,\" maintained and made publicly available by the\nUnited States Department of Commerce pursuant to the EU-U.S. DPF. The implementation of the EU-U.S. DPF and the adequacy decision are important and\nwelcome milestones, and we are implementing steps to comply with the above corrective orders following engagement with the IDPC. If we are required to\ntake additional steps to comply with the corrective orders, this could increase the cost and complexity of delivering our products and services in Europe.\nFurthermore, the EU-U.S. DPF replaces two prior adequacy frameworks which were invalidated by the CJEU. A further invalidation of the EU-U.S. DPF by\nthe CJEU could create\n40"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ad3c0-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 41, "chroma:document": "Table of Contents\nconsiderable uncertainty and lead to us being unable to offer a number of our most significant products and services, including Facebook and Instagram, in\nEurope, which would materially and adversely affect our business, financial condition, and results of operations.\nWe have been subject to other significant legislative and regulatory developments, which together with proposed or new legislation and regulations\ncould significantly affect our business in the future. For example, we have implemented a number of product changes and controls as a result of requirements\nunder the European General Data Protection Regulation (GDPR), and may implement additional changes in the future. The GDPR also requires submission of\npersonal data breach notifications to our lead European Union privacy regulator, the IDPC, and includes significant penalties for non-compliance with the\nnotification obligation as well as other requirements of the regulation. The interpretation of the GDPR is still evolving, including through decisions of the\nCJEU, and draft decisions in investigations by the IDPC are subject to review by other European privacy regulators as part of the GDPR's consistency\nmechanism, which may lead to significant changes in the final outcome of such investigations. As a result, the interpretation and enforcement of the GDPR, as\nwell as the imposition and amount of penalties for non-compliance, are subject to significant uncertainty, and as it evolves, could potentially have a negative\nimpact on our business and/or our operations. In addition, Brazil, the United Kingdom, and other countries have enacted similar data protection regulations\nimposing data privacy-related requirements on products and services offered to users in their respective jurisdictions. The California Consumer Privacy Act\n(CCPA), as amended by the California Privacy Rights Act (CPRA), also establishes certain transparency rules and creates certain data privacy rights for users,\nincluding limitations on our use of certain sensitive personal information and more ability for users to control the purposes for which their data is shared with\nthird parties. Other states have proposed or enacted similar comprehensive privacy laws that afford users with similar data privacy rights and controls. These\nlaws and regulations are evolving and subject to interpretation, and resulting limitations on our advertising services, or reductions of advertising by marketers,\nhave to some extent adversely affected, and will continue to adversely affect, our advertising business. Some states have also proposed or enacted laws\nspecifically focused on the privacy rights and controls for users under 18 years old and their parents or guardians. Like comprehensive privacy laws, these laws"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ad410-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 41, "chroma:document": "are evolving and subject to interpretation, and may restrict our ability to offer certain products and services provided to all or certain cohorts of users in those\nstates, adversely affecting our advertising business. In Europe, regulators continue to enforce guidance concerning the ePrivacy Directive's requirements\nregarding the use of cookies and similar technologies, and may impose specific measures in the future which could directly impact our use of such\ntechnologies. In addition, the ePrivacy Directive and national implementation laws impose additional limitations on the use of data across messaging products\nand include significant penalties for non-compliance. Changes to our products or business practices as a result of these or similar developments have adversely\naffected, and may in the future adversely affect, our advertising business. For example, in response to regulatory developments in Europe, we announced plans\nto change the legal basis for behavioral advertising on Facebook and Instagram in the EU, EEA, and Switzerland from \"legitimate interests\" to \"consent,\" and\nin November 2023 we began offering users in the region a \"subscription for no ads\" alternative. We are continuing to engage with regulators on our new\nconsent model, including regarding compliance with requirements under the GDPR, DMA, and EU consumer laws. These or any similar developments in the\nfuture may negatively impact our user growth and engagement, revenue, and financial results.\nSimilarly, there are a number of legislative proposals or recently enacted laws in the European Union, the United States, at both the federal and state\nlevel, as well as other jurisdictions that could impose new obligations or limitations in areas affecting our business. For example, the DMA in the European\nUnion imposes restrictions and requirements on companies like ours, including in areas such as the combination of data across services, mergers and\nacquisitions, and product design. The DMA also includes significant penalties for non-compliance, and its key requirements will be enforceable against\ndesignated gatekeeper companies beginning in March 2024. The DMA has caused, and may in the future cause, us to incur significant compliance costs and\nmake changes to our products or business practices. The requirements under the DMA will likely be subject to further interpretation and regulatory\nengagement. Pending or future proposals to modify competition laws in the United States and other jurisdictions could have similar effects. Further, the Digital\nServices Act (DSA) in the European Union, which started to apply to our business as of August 2023, imposes certain restrictions and requirements for our"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ad474-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 41, "chroma:document": "products and services and subjects us to increased compliance costs. The DSA also includes significant penalties for non-compliance. In addition, some\ncountries, such as India and Turkey, are considering or have passed legislation implementing data protection requirements, new competition requirements, or\nrequiring local storage and processing of data or similar requirements that could require substantial changes to our products, increase the cost and complexity\nof delivering our services, cause us to cease the offering of our products and services in certain countries, and/or result in fines or other penalties. New\nlegislation or regulatory decisions that restrict our ability to collect and use information about minors may also result in limitations on our advertising services\nor our ability to offer products and services to minors in certain jurisdictions.\n41"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ad4ce-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 42, "chroma:document": "Table of Contents\nThese laws and regulations, as well as any associated claims, inquiries, or investigations or any government actions, have led to, and may in the future\nlead to, unfavorable outcomes including increased compliance costs, loss of revenue, delays or impediments in the development of new products, negative\npublicity and reputational harm, increased operating costs, diversion of management time and attention, and remedies that harm our business, including fines or\ndemands or orders that we modify or cease existing business practices.\nWe have been subject to regulatory and other government investigations, enforcement actions, and settlements, and we expect to continue to be subject to\nsuch proceedings and other inquiries in the future, which could cause us to incur substantial costs or require us to change our business practices in a\nmanner materially adverse to our business.\nWe receive formal and informal inquiries from government authorities and regulators regarding our compliance with laws and regulations, many of\nwhich are evolving and subject to interpretation. We are and expect to continue to be the subject of investigations, inquiries, data requests, requests for\ninformation, actions, and audits in the United States, Europe, and around the world, particularly in the areas of privacy, data use and data protection, including\nwith respect to processing of sensitive data, data from third parties, data for advertising purposes, data security, minors, safety, law enforcement, consumer\nprotection, civil rights, content moderation, use of our platform for illegal, illicit, or otherwise objectionable activity, competition, AI, and machine learning. In\naddition, we are currently, and may in the future be, subject to regulatory orders or consent decrees. For example, data protection, competition, and consumer\nprotection authorities in the European Union, United States, and other jurisdictions have initiated actions, investigations, or administrative orders seeking to\nrestrict the ways in which we collect and use information, or impose sanctions, and other authorities may do the same. In addition, we have been and continue\nto be the subject of litigation and investigations related to the ways in which we collect and use information, including where advertisers are subject to\nadditional regulation such as housing, employment, credit, and financial services. In addition, beginning in March 2018, we became subject to FTC, state\nattorneys general, and other government inquiries in the United States, Europe, and other jurisdictions in connection with our platform and user data practices"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ad51e-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 42, "chroma:document": "as well as the misuse of certain data by a developer that shared such data with third parties in violation of our terms and policies. In July 2019, we entered into\na settlement and modified consent order to resolve the FTC inquiry, which took effect in April 2020 and, among other things, required us to significantly\nenhance our practices and processes for privacy compliance and oversight. The state attorneys general inquiry and certain government inquiries in other\njurisdictions remain ongoing. The FTC also continues to monitor us and our compliance with the modified consent order and initiated an administrative\nproceeding against us, which we are challenging, that alleges deficient compliance and violations of the Children's Online Privacy Protection Act (COPPA), the\nCOPPA Rule, and Section 5 of the Federal Trade Commission Act and seeks changes to our business. If we are unsuccessful in our challenge to the FTC's\naction and the agency imposes its proposed order in its current form, we would be subject to significant limitations, including on our ability to launch new and\nmodified products or use data of users under 18 years old. We also notify the IDPC, our lead European Union privacy regulator under the GDPR, and other\nregulators of certain other personal data breaches and privacy issues, and are subject to inquiries and investigations by the IDPC and other regulators regarding\nvarious aspects of our regulatory compliance. We have been, and may in the future be, subject to penalties, fines, and requirements to change our business\npractices as a result of such inquiries and investigations. In addition, we are subject to a lawsuit by the state of Texas in connection with the \"tag suggestions\"\nfeature and other uses of facial recognition technology.\nWe are also subject to various litigation and formal and informal inquiries and investigations by competition authorities in the United States, Europe, and\nother jurisdictions, which relate to many aspects of our business, including with respect to users and advertisers. Such inquiries, investigations, and lawsuits\nconcern, among other things, our business practices in the areas of social networking or social media services, messaging services, digital advertising, and/or\nmobile or online applications, as well as our acquisitions. For example, beginning in 2019, we became the subject of antitrust inquiries and investigations by\nthe FTC and the U.S. Department of Justice. Beginning in 2020, we became subject to a lawsuit by the FTC alleging that we violated antitrust laws, including"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ad5b4-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 42, "chroma:document": "by acquiring Instagram in 2012 and WhatsApp in 2014. The complaint seeks a permanent injunction against our company's alleged violations of the antitrust\nlaws, and other equitable relief, including divestiture or reconstruction of Instagram and WhatsApp. In addition, in December 2022, the European Commission\nissued a Statement of Objections alleging that we tie Facebook Marketplace to Facebook and use data in a manner that infringes European Union competition\nrules. We are also subject to other government inquiries and investigations relating to our business activities and disclosure practices. For example, beginning\nin September 2021, we became subject to government investigations and requests relating to allegations and the release of internal company documents by a\nformer employee.\n42"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ad618-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 43, "chroma:document": "Table of Contents\nOrders issued by, or inquiries or enforcement actions initiated by, government or regulatory authorities could cause us to incur substantial costs, expose\nus to civil and criminal liability (including liability for our personnel) or penalties (including substantial monetary remedies), interrupt or require us to change\nour business practices in a manner materially adverse to our business (including changes to our products or user data practices), result in negative publicity and\nreputational harm, divert resources and the time and attention of management from our business, or subject us to other structural or behavioral remedies that\nadversely affect our business, and we have experienced some of these adverse effects to varying degrees from time to time.\nCompliance with our FTC consent order, the GDPR, the CCPA, as amended by the CPRA, the ePrivacy Directive, the DMA, the DSA, and other regulatory\nand legislative privacy requirements require significant operational resources and modifications to our business practices, and any compliance failures\nmay have a material adverse effect on our business, reputation, and financial results.\nWe are engaged in ongoing privacy compliance and oversight efforts, including in connection with our modified consent order with the FTC,\nrequirements of the GDPR, and other current and anticipated regulatory and legislative requirements around the world, such as the CCPA, as amended by the\nCPRA, ePrivacy Directive, DMA, DSA, the Korean Personal Information Protection Act, and the Indian Digital Personal Data Protection Act. In particular, we\nare maintaining a comprehensive privacy program in connection with the FTC consent order that includes substantial management and board of directors\noversight, stringent operational requirements and reporting obligations, prohibitions against making misrepresentations relating to user data, a process to\nregularly certify our compliance with the privacy program to the FTC, and regular assessments of our privacy program by an independent third-party assessor,\nwhich has been and will continue to be challenging and costly to maintain and enhance. These compliance and oversight efforts are increasing demand on our\nsystems and resources, and require significant new and ongoing investments, including investments in compliance processes, personnel, and technical\ninfrastructure. We continually reallocate resources internally to assist with these efforts, and this has had, and will continue to have, an adverse impact on our\nother business initiatives. In addition, these efforts require substantial modifications to our business practices and make some practices such as product and ads"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ad672-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 43, "chroma:document": "development more difficult, time-consuming, and costly. As a result, we believe our ability to develop and launch new features, products, and services in a\ntimely manner has been and will continue to be adversely affected. Further, our privacy compliance and oversight efforts have required, and we expect will\ncontinue to require, significant time and attention from our management and board of directors. The requirements of the FTC consent order and other privacy-\nrelated laws and regulations are complex and apply broadly to our business, and from time to time we notify relevant authorities of instances where we are not\nin full compliance with these requirements or otherwise discover privacy issues, and we expect to continue to do so as any such issues arise in the future. In\naddition, regulatory and legislative privacy requirements are constantly evolving and can be subject to significant change and uncertain interpretation. For\nexample, we are subject to restrictions and requirements under the DMA, including in areas such as the combination of data across services and product design,\nwhich will likely be subject to further interpretation and regulatory engagement.\nThe FTC initiated an administrative proceeding against us alleging, among other things, deficient compliance with the FTC consent order and seeking\nsubstantial modifications to the requirements of the consent order, including a prohibition on our use of minors' data for any commercial purposes, changes to\nthe composition of our board of directors, and significant limitations on our ability to modify and launch new products. We are challenging the FTC's\nadministrative proceeding. If the challenge is unsuccessful and the FTC is able to impose the proposed order in its current form, it would limit our ability to\nprovide certain features and services, engage in certain business practices, require us to further increase the time, resources, and costs we spend on compliance\nand oversight efforts, and would adversely affect our business and financial results.\nIf we are unable to successfully implement and comply with the mandates of the FTC consent order (including any future modifications to the order),\nGDPR, U.S. state privacy laws, including the CCPA, ePrivacy Directive, DMA, DSA, or other regulatory or legislative requirements, or if any relevant\nauthority believes that we are in violation of the consent order or other applicable requirements, we may be subject to regulatory or governmental investigations\nor lawsuits, which may result in significant monetary fines, judgments, penalties, or other remedies, and we may also be required to make additional changes to"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ad6c2-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 43, "chroma:document": "our business practices. Any of these events could have a material adverse effect on our business, reputation, and financial results.\n43"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ad744-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 44, "chroma:document": "Table of Contents\nWe may incur liability as a result of information retrieved from or transmitted over the internet or published using our products or as a result of claims\nrelated to our products, and legislation regulating content on our platform may require us to change our products or business practices and may adversely\naffect our business and financial results.\nWe have faced, currently face, and will continue to face claims and government inquiries relating to information or content that is published or made\navailable on our products, including claims, inquiries, and investigations relating to our policies, algorithms, and enforcement actions with respect to such\ninformation or content. In particular, the nature of our business exposes us to claims related to defamation, dissemination of misinformation or news hoaxes,\ndeceptive and fraudulent advertising, discrimination, harassment, intellectual property rights, rights of publicity and privacy, personal injury torts, laws\nregulating hate speech or other types of content, on- or offline safety and well-being (such as acts of violence, terrorism, improper promotion or distribution of\npharmaceuticals and illicit drugs, human exploitation, child exploitation, illegal gaming, and other fraudulent or otherwise illegal activity), products liability,\nconsumer protection, and breach of contract, among others. For example, we have recently seen an increase in claims brought by younger users related to well-\nbeing issues based on allegedly harmful content that is shared on or recommended by our products. In addition, we have been subject to litigation alleging that\nour ad targeting and delivery practices constitute violations of anti-discrimination laws.\nThe potential risks relating to any of the foregoing types of claims are currently enhanced in certain jurisdictions outside the United States where our\nprotection from liability for third-party actions may be unclear or where we may be less protected under local laws than we are in the United States. For\nexample, in April 2019, the European Union passed a directive (the European Copyright Directive) expanding online platform liability for copyright\ninfringement and regulating certain uses of news content online, which most member states have already implemented into their national laws. In addition, the\nEuropean Union revised the European Audiovisual Media Service Directive to apply to online video-sharing platforms, which member states are implementing.\nIn the United States, in 2023, the U.S. Supreme Court heard oral argument in a matter in which the scope of the protections available to online platforms under"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ad794-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 44, "chroma:document": "Section 230 of the Communications Decency Act (Section 230) was at issue, but it ultimately declined to address Section 230 in its decision. There also have\nbeen, and continue to be, various other litigation concerning, and state and federal legislative and executive efforts to remove or restrict, the scope of the\nprotections under Section 230, as well as to impose new obligations on online platforms with respect to commerce listings, user access and content, counterfeit\ngoods and copyright-infringing material, and our current protections from liability for third-party content in the United States could decrease or change. We\ncould incur significant costs investigating and defending such claims and, if we are found liable, significant damages.\nWe could also face fines, orders restricting or blocking our services in particular geographies, or other judicial or government-imposed remedies as a\nresult of content hosted on our services. For example, legislation in Germany and India has resulted, and may result in the future, in the imposition of fines or\nother penalties for failure to comply with certain content removal, law enforcement cooperation, and disclosure obligations. Numerous other countries in\nEurope, the Middle East, Asia-Pacific, and Latin America are considering or have implemented similar legislation imposing liability or potentially significant\npenalties, including fines, service throttling, or advertising bans, for failure to remove certain types of content or follow certain processes. For example, we\nhave been subject to fines and may in the future be subject to other penalties in connection with social media legislation in Turkey, and we have been subject to\nfines and service blocking and prohibition in Russia. Content-related legislation also has required us, and may require us in the future, to change our products\nor business practices, increase our costs, or otherwise impact our operations or our ability to provide services in certain geographies. For example, the\nEuropean Copyright Directive requires certain online services to obtain authorizations for copyrighted content or to implement measures to prevent the\navailability of that content, which may require us to make substantial investments in compliance processes. Member states' laws implementing the European\nCopyright Directive may also require online platforms to pay for content. In addition, our products and services are subject to restrictions and requirements,\nand we are subject to increased compliance costs, as a result of the Digital Services Act in the European Union, which started to apply to our business as of"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ad7f8-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 44, "chroma:document": "August 2023, and other content-related legislative developments such as the Online Safety and Media Regulation Act in Ireland and the Online Safety Act in\nthe United Kingdom. Certain countries have also implemented or proposed legislation that may require us to pay publishers for certain news content shared on\nour products. For example, as a result of such legislation in Canada, we have removed the availability of news content for Canadian users on Facebook and\nInstagram. In the United States, changes to the protections available under Section 230 or the First Amendment to the U.S. Constitution or new state or federal\ncontent-related legislation may increase our costs or require significant changes to our products, business practices, or operations, which could adversely affect\nuser growth and engagement.\nAny of the foregoing events could adversely affect our business and financial results.\n44"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ad852-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 45, "chroma:document": "Table of Contents\nPayment-related activities may subject us to additional regulatory requirements, regulatory actions, and other risks that could be costly and difficult to\ncomply with or that could harm our business.\nSeveral of our products offer Payments functionality, including enabling our users to purchase tangible, virtual, and digital goods from merchants and\ndevelopers that offer applications using our Payments infrastructure, send money to other users, and make donations to certain charitable organizations, among\nother activities. We are subject to a variety of laws and regulations in the United States, Europe, and elsewhere, including those governing anti-money\nlaundering and counter-terrorist financing, money transmission, stored value, gift cards and other prepaid access instruments, electronic funds transfer, virtual\ncurrency, consumer protection, charitable fundraising, economic sanctions, and import and export restrictions. In addition, we could become subject to new\nconsumer protection laws and regulations that may be adopted or amended, including those related to payments activity as well as sharing, collection, and use\nof payments-related data. Depending on how our Payments products evolve, we may also be subject to other laws and regulations including those governing\ngambling, banking, and lending. In some jurisdictions, the application or interpretation of these laws and regulations is not clear. We have received certain\npayments licenses in the United States, the European Economic Area, and other jurisdictions for our regulated Payments-related products and activities. These\nlicenses increase flexibility in how our use of Payments may evolve, help mitigate regulatory uncertainty, and will generally require us to demonstrate\ncompliance with many domestic and foreign laws in relation to our regulated Payments products and activities. Our efforts to comply with these laws and\nregulations could be costly and result in diversion of management time and attention and may still not guarantee compliance. In the event that we are found to\nbe in violation of any such legal or regulatory requirements, we may be subject to monetary fines or other penalties such as a cease and desist order, or we may\nbe required to make product changes, any of which could have an adverse effect on our business and financial results.\nIn addition, we are subject to a variety of additional risks as a result of Payments transactions, including: increased costs and diversion of management\ntime and attention and other resources to address bad transactions or customer disputes; potential fraudulent or otherwise illegal activity by users, developers,\nemployees, or third parties; restrictions on the investment of consumer funds used to transact Payments; and additional disclosure and reporting requirements."}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ad8ac-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 45, "chroma:document": "We have also launched payments functionality on certain of our applications and may in the future undertake additional payments initiatives, including as part\nof our metaverse efforts, which may subject us to many of the foregoing risks and additional licensing requirements.\nRisks Related to Data, Security, Platform Integrity, and Intellectual Property\nSecurity breaches, improper access to or disclosure of our data or user data, other hacking and phishing attacks on our systems, or other cyber incidents\ncould harm our reputation and adversely affect our business.\nOur industry is prone to cyber-attacks by third parties seeking unauthorized access to our data or users' data or to disrupt our ability to provide service.\nOur products and services involve the collection, storage, processing, and transmission of a large amount of data. Any failure to prevent or mitigate security\nbreaches and improper access to or disclosure of our data or user data, including personal information, content, or payment information from users, or\ninformation from marketers, could result in the loss, modification, disclosure, destruction, or other misuse of such data, which could harm our business and\nreputation and diminish our competitive position. In addition, computer malware, viruses, social engineering (such as spear phishing attacks), scraping, and\ngeneral hacking continue to be prevalent in our industry, have occurred on our systems, and will occur on our systems in the future. We also regularly\nencounter attempts to create false or undesirable user accounts, purchase ads, or take other actions on our platform for purposes such as spamming, spreading\nmisinformation, or other illegal, illicit, or otherwise objectionable ends. As a result of our prominence, the size of our user base, the types and volume of\npersonal data and content on our systems, and the evolving nature of our products and services (including our efforts involving new and emerging\ntechnologies), we believe that we are a particularly attractive target for such breaches and attacks, including from nation states and highly sophisticated, state-\nsponsored, or otherwise well-funded actors, and we experience heightened risk from time to time as a result of geopolitical events. Our efforts to address\nundesirable activity on our platform also increase the risk of retaliatory attacks. Such breaches and attacks may cause interruptions to the services we provide,\ndegrade the user experience or otherwise adversely affect users, cause users or marketers to lose confidence and trust in our products, impair our internal"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ad8fc-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 45, "chroma:document": "systems, or result in financial harm to us. Our efforts to protect our company data or the information we receive, and to disable undesirable activities on our\nplatform, may also be unsuccessful due to software bugs or other technical malfunctions; employee, contractor, or vendor error or malfeasance, including social\nengineering or other cyber-attacks directed towards our personnel, misuse of company data or systems by our personnel, as well as defects or vulnerabilities in\nour vendors' information technology systems or offerings; government surveillance; breaches of physical security of our facilities, technical infrastructure, or\nother equipment; or other threats that evolve. In addition, third parties\n45"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ad956-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 46, "chroma:document": "Table of Contents\nmay attempt to fraudulently induce employees or users to disclose information in order to gain access to our data or our users' data. Cyber-attacks continue to\nevolve in sophistication and volume, and inherently may be difficult to detect for long periods of time. Although we have developed systems and processes that\nare designed to protect our data and user data, to reduce the risk of data loss or misuse, to disable undesirable accounts and activities on our platform, and to\nreduce the risk of or detect security breaches, such measures will not provide absolute security, and we cannot assure you that we will be able to react in a\ntimely manner to any cyber-attacks or other security incidents, or that our remediation efforts will be successful. Our business and operations span numerous\ngeographies around the world and involve thousands of employees, contractors, vendors, developers, partners, and other third parties. At any given time, we\nface known and unknown cybersecurity risks and threats that are not fully mitigated, and we discover vulnerabilities in our security efforts.\nIn addition, some of our developers or other partners, such as those that help us measure the effectiveness of ads, may receive or store information\nprovided by us or by our users through mobile or web applications integrated with our products. We provide limited information to such third parties based on\nthe scope of services provided to us. However, if these third parties or developers fail to adopt or adhere to adequate data security practices, or in the event of a\nbreach of their networks, our data or our users' data may be improperly accessed, used, or disclosed.\nWe regularly experience such cyber-attacks and other security incidents of varying degrees, and we incur significant costs in protecting against or\nremediating such incidents. In addition, we are subject to a variety of laws and regulations in the United States and abroad relating to cybersecurity and data\nprotection, as well as obligations under our modified consent order with the FTC. As a result, affected users or government authorities could initiate legal or\nregulatory actions against us in connection with any actual or perceived security breaches or improper access to or disclosure of data, which has occurred in the\npast and which could cause us to incur significant expense and liability or result in orders or consent decrees forcing us to modify our business practices. Such\nincidents or our efforts to remediate such incidents may also result in a decline in our active user base or engagement levels. Any of these events could have a"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ad9b0-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 46, "chroma:document": "material and adverse effect on our business, reputation, or financial results.\nFor example, in September 2018, we announced our discovery of a third-party cyber-attack that exploited a vulnerability in Facebook's code to steal user\naccess tokens, which were then used to access certain profile information from approximately 29 million user accounts on Facebook. The events surrounding\nthis cyber-attack became the subject of Irish Data Protection Commission and other government inquiries. Any such inquiries could subject us to substantial\nfines and costs, require us to change our business practices, divert resources and the attention of management from our business, or adversely affect our\nbusiness.\nIntentional misuse of our services and user data and other undesirable activity by third parties on our platform could adversely affect our business.\nWe have experienced, and expect to continue to experience, intentional misuse of our services and user data by third parties, as well as other undesirable,\nillicit, or high-risk activity on our platform. We are making significant investments in privacy, safety, security, and content review efforts to combat these\nactivities, including investigations and audits of platform applications, as well as other enforcement efforts. We have discovered and announced, and anticipate\nthat we will continue to discover and announce, additional incidents of misuse of user data or other undesirable or illicit activity by third parties. We will not\ndiscover all such incidents or activity, whether as a result of our data or technical limitations, including our lack of visibility over our encrypted services, the\nscale of activity on our platform, the allocation of resources to other projects, or other factors, and we may be notified of such incidents or activity by the\nindependent privacy assessor required under our modified consent order with the FTC, government authorities, the media, or other third parties.\nSuch incidents and activities include the use of user data or our systems in a manner inconsistent with our terms, contracts or policies, the existence of\nfalse or undesirable user accounts, election interference, improper advertising practices, activities that threaten people's safety or well-being on- or offline (such\nas acts of violence, terrorism, improper promotion or distribution of pharmaceuticals and illicit drugs, human exploitation, child exploitation, and illegal\ngaming), instances of spamming, surveillance, scraping, data harvesting, unsecured datasets, or spreading misinformation, or other fraudulent or otherwise\nillegal activity. We may also be unsuccessful in our efforts to enforce our policies or otherwise prevent or remediate any such incidents."}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ada0a-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 46, "chroma:document": "Consequences of any of the foregoing developments include negative effects on user trust and engagement, harm to our reputation and brands, changes\nto our business practices in a manner adverse to our business, and adverse effects on our business and financial results. Such developments have subjected, and\nmay in the future subject, us to additional litigation\n46"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ada64-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 47, "chroma:document": "Table of Contents\nand regulatory inquiries, which could subject us to monetary penalties and damages, divert management's time and attention, and lead to enhanced regulatory\noversight.\nOur products and internal systems rely on software and hardware that is highly technical, and any errors, bugs, or vulnerabilities in these systems, or\nfailures to address or mitigate technical limitations in our systems, could adversely affect our business.\nOur products and internal systems rely on software and hardware, including software and hardware developed or maintained internally and/or by third\nparties (including open source software), that is highly technical and complex. In addition, our products and internal systems depend on the ability of such\nsoftware and hardware to store, retrieve, process, and manage immense amounts of data. The software and hardware on which we rely has contained, and will\nin the future contain, errors, bugs, or vulnerabilities, and our systems are subject to certain technical limitations that may compromise our ability to meet our\nobjectives. Some errors, bugs, or vulnerabilities inherently may be difficult to detect and may only be discovered after the code has been released for external\nor internal use. For example, in September 2018, we announced our discovery of a third-party cyber-attack that exploited a vulnerability in Facebook's code to\nsteal user access tokens and access certain profile information from user accounts on Facebook. Errors, bugs, vulnerabilities, design defects, or technical\nlimitations within the software and hardware on which we rely, or human error in using such systems, have led to, and may in the future lead to, outcomes\nincluding a negative experience or other adverse effects for users and marketers who use our products, compromised ability of our products to perform in a\nmanner consistent with our terms, contracts, or policies, delayed product introductions or enhancements, targeting, measurement, or billing errors,\ncompromised ability to protect the data of our users and/or our intellectual property or other data, or reductions in our ability to provide some or all of our\nservices. For example, we make commitments to our users as to how their data will be collected, used, shared, and retained within and across our products, and\nour systems are subject to errors, bugs and technical limitations that may prevent us from fulfilling these commitments reliably. In addition, any errors, bugs,\nvulnerabilities, or defects in our systems or the software and hardware on which we rely, failures to properly address or mitigate the technical limitations in our"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8adae6-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 47, "chroma:document": "systems, or associated degradations or interruptions of service or failures to fulfill our commitments to our users, have led to, and may in the future lead to,\noutcomes including damage to our reputation, loss of users, loss of marketers, loss of revenue, regulatory inquiries, litigation, or liability for fines, damages, or\nother remedies, any of which could adversely affect our business and financial results.\nIf we are unable to protect our intellectual property, the value of our brands and other intangible assets may be diminished, and our business may be\nadversely affected.\nWe rely and expect to continue to rely on a combination of confidentiality, assignment, and license agreements with our employees, consultants, and\nthird parties with whom we have relationships, as well as trademark, copyright, patent, trade secret, and domain name protection laws, to protect our\nproprietary rights. In the United States and internationally, we have filed various applications for protection of certain aspects of our intellectual property, and\nwe currently hold a significant number of registered trademarks and issued patents in multiple jurisdictions and have acquired patents and patent applications\nfrom third parties. Third parties may knowingly or unknowingly infringe our proprietary rights, third parties may challenge proprietary rights held by us, and\npending and future trademark and patent applications may not be approved. In addition, effective intellectual property protection may not be available in every\ncountry in which we operate or intend to operate our business. In any or all of these cases, we may be required to expend significant time and expense in order\nto prevent infringement or to enforce our rights. Although we have generally taken measures to protect our proprietary rights, there can be no assurance that\nothers will not offer products or concepts that are substantially similar to ours and compete with our business. In addition, we regularly contribute software\nsource code under open source and other permissive licenses and have made other technology we developed available under such licenses, and we include open\nsource software in our products. Additionally, our AI is trained on data sets that may include open source software and the outputs of our AI may be subject to\nopen source license restrictions or obligations. As a result of our open source contributions and the use of open source in our products, we may license or be\nrequired to license or disclose code and/or innovations that turn out to be material to our business and may also be exposed to increased litigation risk. If the"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8adb40-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 47, "chroma:document": "protection of our proprietary rights is inadequate to prevent unauthorized use or appropriation by third parties, the value of our brands and other intangible\nassets may be diminished and competitors may be able to more effectively mimic our products, services, and methods of operations. Any of these events could\nhave an adverse effect on our business and financial results.\n47"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8adb9a-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 48, "chroma:document": "Table of Contents\nWe are currently, and expect to be in the future, party to patent, trademark, and copyright lawsuits and other intellectual property rights claims that are\nexpensive and time consuming and, if resolved adversely, could have a significant impact on our business, financial condition, or results of operations.\nCompanies in the internet, technology, and media industries own large numbers of patents, copyrights, trademarks, and trade secrets, and frequently\nenter into litigation based on allegations of infringement, misappropriation, or other violations of intellectual property or other rights. In addition, various \"non-\npracticing entities\" that own patents and other intellectual property rights often attempt to aggressively assert their rights in order to extract value from\ntechnology companies. Furthermore, from time to time we may introduce or acquire new products, including in areas where we historically have not competed,\nor introduce new features for existing products, which could increase our exposure to intellectual property claims from competitors, non-practicing entities, and\nother rights holders.\nFrom time to time, we receive notice from patent, copyright, and trademark holders and other parties alleging that certain of our products and services,\ntrademarks, or user content, infringe their intellectual property rights. We presently are involved in a number of intellectual property lawsuits, and as we face\nincreasing competition and develop new products and services, we expect the number of intellectual property claims against us to grow. Defending intellectual\nproperty litigation is often costly and can impose a significant burden on management and employees, and there can be no assurances that favorable final\noutcomes will be obtained in all cases. In addition, plaintiffs may seek, and we may become subject to, preliminary or provisional rulings in the course of any\nsuch litigation, including potential preliminary injunctions requiring us to change or cease some or all of our operations. We may decide to settle such lawsuits\nand disputes on terms that are unfavorable to us. Similarly, if any litigation to which we are a party is resolved adversely, we may be subject to an unfavorable\njudgment that may not be reversed upon appeal. The terms of such a settlement or judgment may require us to change or cease some or all of our operations or\npay substantial amounts to the other party. In addition, we may have to seek a license to continue practices found to be in violation of a third party's rights,"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8adbf4-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 48, "chroma:document": "which may not be available on reasonable terms, or at all, and may significantly increase our operating costs and expenses. As a result, we may also be required\nto develop alternative non-infringing technology or practices, or branding or discontinue the practices or branding. The development of alternative non-\ninfringing technology, branding or practices could require significant effort and expense, could result in less effective technology, branding or practices or\notherwise negatively affect the user experience, or may not be feasible. We have experienced unfavorable outcomes in such disputes and litigation in the past,\nand our business, financial condition, and results of operations could be adversely affected as a result of an unfavorable resolution of the disputes and litigation\nreferred to above.\nRisks Related to Ownership of Our Class A Common Stock\nThe trading price of our Class A common stock has been and will likely continue to be volatile.\nThe trading price of our Class A common stock has been, and is likely to continue to be, volatile. Since shares of our Class A common stock were sold in\nour initial public offering in May 2012 at a price of $38.00 per share, our stock price has ranged from $17.55 to $384.33 through December 31, 2023. In\naddition to the factors discussed in this Annual Report on Form 10-K, the trading price of our Class A common stock has in the past fluctuated and may in the\nfuture fluctuate significantly in response to numerous factors, many of which are beyond our control, including:\n\u2022actual or anticipated fluctuations in our revenue and other operating results for either of our reportable segments;\n\u2022the financial projections we may provide to the public, any changes in these projections, or our failure to meet these projections;\n\u2022actions of securities analysts who initiate or maintain coverage of us, changes in financial estimates by any securities analysts who follow our\ncompany, or our failure to meet these estimates or the expectations of investors;\n\u2022additional shares of our stock being sold into the market by us, our existing stockholders, or in connection with acquisitions, or the anticipation of\nsuch sales;\n\u2022investor sentiment with respect to our competitors, our business partners, and our industry in general;\n\u2022announcements by us or our competitors of significant products or features, technical innovations, acquisitions, strategic partnerships, joint ventures,\nor capital commitments;\n48"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8adc58-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 49, "chroma:document": "Table of Contents\n\u2022announcements by us or estimates by third parties of actual or anticipated changes in the size of our user base, the level of user engagement, or the\neffectiveness of our ad products;\n\u2022changes in operating performance and stock market valuations of technology companies in our industry, including our developers and competitors;\n\u2022price and volume fluctuations in the overall stock market, including as a result of trends in the economy as a whole;\n\u2022the inclusion, exclusion, or deletion of our stock from any trading indices, such as the S&P 500 Index;\n\u2022media coverage of our business and financial performance;\n\u2022lawsuits threatened or filed against us, or developments in pending lawsuits;\n\u2022adverse government actions or legislative or regulatory developments relating to advertising, competition, content, privacy, or other matters, including\ninterim or final rulings by tax, judicial, or regulatory bodies;\n\u2022trading activity in our share repurchase program; and\n\u2022other events or factors, including those resulting from war, incidents of terrorism, pandemics, and other disruptive external events, or responses to\nthese events.\nIn addition, the stock markets have experienced extreme price and volume fluctuations that have affected and continue to affect the market prices of\nequity securities of many technology companies. We are currently subject to securities litigation in connection with our platform and user data practices and the\nmisuse of certain data by a developer that shared such data with third parties in violation of our terms and policies; the disclosure of our earnings results for the\nsecond quarter of 2018; a former employee's allegations and release of internal company documents beginning in September 2021; and the disclosure of our\nearnings results for the fourth quarter of 2021. We may experience more such litigation following future periods of volatility. Any securities litigation could\nsubject us to substantial costs, divert resources and the attention of management from our business, and adversely affect our business.\nThe dual class structure of our common stock has the effect of concentrating voting control with our CEO and certain other holders of our Class B\ncommon stock; this will limit or preclude your ability to influence corporate matters.\nOur Class B common stock has ten votes per share and our Class A common stock has one vote per share. Holders of our Class B common stock,\nincluding our founder, Board Chair, and CEO, together hold a majority of the combined voting power of our outstanding capital stock, and therefore are able to"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8adca8-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 49, "chroma:document": "control the outcome of all matters submitted to our stockholders for approval so long as the shares of Class B common stock represent at least 9.1% of all\noutstanding shares of our Class A and Class B common stock. This concentrated control will limit or preclude your ability to influence corporate matters for the\nforeseeable future.\nTransfers by holders of Class B common stock will generally result in those shares converting to Class A common stock, subject to limited exceptions,\nsuch as certain transfers effected for estate planning or charitable purposes. The conversion of Class B common stock to Class A common stock will have the\neffect, over time, of increasing the relative voting power of those holders of Class B common stock who retain their shares in the long term. If, for example,\nMr. Zuckerberg retains a significant portion of his holdings of Class B common stock for an extended period of time, he could, in the future, continue to control\na majority of the combined voting power of our outstanding capital stock.\n49"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8add02-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 50, "chroma:document": "Table of Contents\nOur status as a \"controlled company\" could make our Class A common stock less attractive to some investors or otherwise harm our stock price.\nBecause we qualify as a \"controlled company\" under the corporate governance rules for Nasdaq-listed companies, we are not required to have a majority\nof our board of directors be independent, nor are we required to have a compensation committee or an independent nominating function. In the future we could\nelect not to have a majority of our board of directors be independent or not to have a compensation committee or an independent nominating function.\nAccordingly, should the interests of our controlling stockholder differ from those of other stockholders, the other stockholders may not have the same\nprotections afforded to stockholders of companies that are subject to all of the corporate governance rules for Nasdaq-listed companies. Our status as a\ncontrolled company could make our Class A common stock less attractive to some investors or otherwise harm our stock price.\nDelaware law and provisions in our certificate of incorporation and bylaws could make a merger, tender offer, or proxy contest difficult, thereby depressing\nthe trading price of our Class A common stock.\nOur status as a Delaware corporation and the anti-takeover provisions of the Delaware General Corporation Law may discourage, delay, or prevent a\nchange in control by prohibiting us from engaging in a business combination with an interested stockholder for a period of three years after the person becomes\nan interested stockholder, even if a change of control would be beneficial to our existing stockholders. In addition, our current certificate of incorporation and\nbylaws contain provisions that may make the acquisition of our company more difficult, including the following:\n\u2022until the first date on which the outstanding shares of our Class B common stock represent less than 35% of the combined voting power of our\ncommon stock, any transaction that would result in a change in control of our company requires the approval of a majority of our outstanding Class B\ncommon stock voting as a separate class;\n\u2022we currently have a dual class common stock structure, which provides Mr. Zuckerberg with the ability to control the outcome of matters requiring\nstockholder approval, even if he owns significantly less than a majority of the shares of our outstanding Class A and Class B common stock;\n\u2022when the outstanding shares of our Class B common stock represent less than a majority of the combined voting power of common stock, certain"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8add5c-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 50, "chroma:document": "amendments to our certificate of incorporation or bylaws will require the approval of two-thirds of the combined vote of our then-outstanding shares\nof Class A and Class B common stock;\n\u2022when the outstanding shares of our Class B common stock represent less than a majority of the combined voting power of our common stock,\nvacancies on our board of directors will be able to be filled only by our board of directors and not by stockholders;\n\u2022when the outstanding shares of our Class B common stock represent less than a majority of the combined voting power of our common stock, our\nboard of directors will be classified into three classes of directors with staggered three-year terms and directors will only be able to be removed from\noffice for cause;\n\u2022when the outstanding shares of our Class B common stock represent less than a majority of the combined voting power of our common stock, our\nstockholders will only be able to take action at a meeting of stockholders and not by written consent;\n\u2022only our board chair, our chief executive officer, our president, or a majority of our board of directors are authorized to call a special meeting of\nstockholders;\n\u2022advance notice procedures apply for stockholders to nominate candidates for election as directors or to bring matters before an annual meeting of\nstockholders;\n\u2022our certificate of incorporation authorizes undesignated preferred stock, the terms of which may be established, and shares of which may be issued,\nwithout stockholder approval; and\n\u2022certain litigation against us can only be brought in Delaware.\n50"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8addb6-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 51, "chroma:document": "Table of Contents\nItem 1B.Unresolved Staff Comments\nNone.\nItem 1C.Cybersecurity\nAt Meta, cybersecurity risk management is an important part of our overall risk management efforts. Our industry is prone to cybersecurity threats and\nattacks, and we regularly experience cybersecurity incidents of varying degrees. We believe we are a particularly attractive target as a result of our prominence\nand scale, the types and volume of personal data and content on our systems, and the evolving nature of our products and services. Our products and services\nreach billions of users and involve the collection, storage, processing, and transmission of a large amount of data. In addition, our business and operations span\nnumerous geographies around the world, involve thousands of employees, contractors, vendors, developers, partners, and other third parties, and rely on\nsoftware and hardware that is highly technical and complex. We maintain an information security program that is comprised of policies and controls designed\nto mitigate cybersecurity risk. However, at any given time, we face known and unknown cybersecurity risks and threats that are not fully mitigated, and we\ndiscover vulnerabilities in our program. We continuously work to enhance our information security program and risk management efforts.\nWe use a risk management framework based on applicable laws and regulations, and informed by industry standards and industry-recognized practices,\nfor managing cybersecurity risks within our products and services, infrastructure, and corporate resources. To identify and assess risks from cybersecurity\nthreats, we evaluate a variety of developments including threat intelligence, first- and third-party vulnerabilities, evolving regulatory requirements, and\nobserved cybersecurity incidents, among others. We regularly conduct risk assessments to evaluate the maturity and effectiveness of our systems and processes\nin addressing cybersecurity threats and to identify any areas for remediation and opportunities for enhancements. We also engage third-party security experts\nand consultants to assist with assessment and enhancement of our cybersecurity risk management processes, as well as benchmarking against industry\npractices. In addition, we maintain a privacy risk management program to assess privacy risks related to how we are collecting, using, sharing, and storing user\ndata, which is subject to assessment by an independent, third-party privacy assessor. Our internal audit function provides independent assessment and assurance\non the overall operations of our cybersecurity and privacy programs and the supporting control frameworks. These processes support informed risk-based\ndecision-making and prioritization of cybersecurity countermeasures and risk mitigation strategies. Our risk mitigation strategies include a broad variety of"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ade10-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 51, "chroma:document": "technical and operational measures, as well as annual cybersecurity and privacy training for all of our employees.\nIn addition, we maintain specific policies and practices governing our third-party security risks, including our third-party assessment (TPA) process.\nUnder our TPA process, we gather information from certain third parties who contract with Meta and share or receive data, or have access to or integrate with\nour systems, in order to help us assess potential risks associated with their security controls. We also generally require third parties to, among other things,\nmaintain security controls to protect our confidential information and data, and notify us of material data breaches that may impact our data.\nOur board of directors has oversight of our strategic and business risk management and has delegated cybersecurity risk management oversight to the\naudit & risk oversight committee of our board of directors (Audit & Risk Oversight Committee). Our Audit & Risk Oversight Committee is responsible for\nensuring that management has processes in place designed to identify and evaluate cybersecurity risks to which the company is exposed and to implement\nprocesses and programs to manage cybersecurity risks and mitigate cybersecurity incidents. The privacy committee of our board of directors (Privacy\nCommittee) oversees risks related to privacy and data use, including overseeing compliance with our comprehensive privacy program. Management is\nresponsible for identifying, assessing, and managing material cybersecurity risks on an ongoing basis, establishing processes to ensure that such potential\ncybersecurity risk exposures are monitored, putting in place appropriate mitigation measures, maintaining cybersecurity policies and procedures, and providing\nregular reports to our board of directors, including through the Audit & Risk Oversight Committee and Privacy Committee.\nOur Chief Information Security Officer (CISO) Guy Rosen leads our cybersecurity program and oversees teams across the company supporting our\nsecurity functions of identify, prevent, detect, respond, and recover. These teams are comprised of personnel with a broad range of experience across the private\nand public sectors, the technology industry, and different geographic regions. Mr. Rosen has two decades of experience in various cybersecurity, software\ndevelopment, product management, and other technology-related roles. Mr. Rosen has served in a number of significant leadership roles at our company since\n2013, including oversight of security, safety, and integrity initiatives, and was appointed as our CISO in 2022.\n51"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ade6a-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 52, "chroma:document": "Table of Contents\nPrior to joining our company, Mr. Rosen served in senior leadership, engineering, and operational roles across technology organizations.\nOur cybersecurity teams monitor the prevention, detection, mitigation, and remediation of cybersecurity incidents through a variety of technical and\noperational measures, and regularly report to our CISO. Our CISO is part of the senior management team at the company and regularly updates the Audit &\nRisk Oversight Committee on the company\u2019s cybersecurity program, including cybersecurity risks, incidents, and mitigation strategies.\nIn 2023, we did not identify any cybersecurity threats that have materially affected or are reasonably likely to materially affect our business strategy,\nresults of operations, or financial condition. However, despite our efforts, we cannot eliminate all risks from cybersecurity threats, or provide assurances that\nwe have not experienced undetected cybersecurity incidents. For additional information about these risks, see Part I, Item 1A, \"Risk Factors\" in this Annual\nReport on Form 10-K.\nItem 2.Properties\nOur corporate headquarters are located in Menlo Park, California. As of December 31, 2023, we owned and leased approximately 10 million square feet\nof office and building space for our corporate headquarters and in the surrounding areas, which included approximately three million square feet of unoccupied\noffice and building space that we plan to either sublease, early terminate, or abandon related to our facilities consolidation restructuring efforts. We also owned\nand leased approximately 62 acres of land to be developed to accommodate anticipated future growth.\nIn addition, we have offices in approximately 90 cities across North America, Europe, the Middle East, Africa, Asia Pacific, and Latin America. We also\nown 21 data center locations globally.\nSee Note 3 \u2014 Restructuring in the notes to the consolidated financial statements included in Part II, Item 8, \"Financial Statements and Supplementary\nData\" of this Annual Report on Form 10-K for additional information regarding our facilities consolidation efforts.\nWe believe that our facilities are adequate for our current needs.\nItem 3.Legal Proceedings\nAs a multinational company with a complex and evolving business, we are, and expect to continue to be, subject to numerous claims, litigation,\nregulatory, tax, and government inquiries and investigations, and other legal proceedings in jurisdictions around the world. Although we believe many of these"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8adec4-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 52, "chroma:document": "matters are without merit and are vigorously defending them, we may not be successful. Any litigation to which we are a party may be resolved adversely or\nwe may be subject to an unfavorable judgment that may not be reversed upon appeal. We may also decide to settle litigation, disputes, or other legal\nproceedings in some instances on terms that are unfavorable to us. In addition, we may become subject to orders or consent decrees imposed by government or\nregulatory authorities. Any such developments could cause us to incur substantial costs, expose us to civil and criminal liability (including liability for our\npersonnel) or penalties (including substantial monetary remedies), interrupt or require us to change our business practices in a manner materially adverse to our\nbusiness (including changes to our products and services or user data practices), result in negative publicity and reputational harm, divert resources and the\ntime and attention of management from our business, or subject us to other structural or behavioral remedies that adversely affect our business. We have\nexperienced such outcomes to varying degrees in the past, and we expect to continue to face a challenging litigation and regulatory environment, including in\nlight of complex and evolving laws and regulations, as well as the scale of our business and the size of our user and advertiser base.\nOver the last several years, the number and potential significance of the litigation and investigations involving the company have increased, and there\ncan be no assurance that this trend will not continue. For example, we are facing numerous cases in the United States in which plaintiffs are attempting to avoid\nor limit the application of Section 230 of the Communications Decency Act to their claims. Outside of the United States, we are subject to new regulatory\nregimes, including the Digital Services Act, Digital Markets Act, and similar statutes in non-EU countries, and new fining guidelines under existing regulatory\nregimes like the General Data Protection Regulation (GDPR). We are also responding to litigation and government investigations related to our alleged role in\ncausing or contributing to various societal harms, including mental and physical health and safety impacts on users, particularly younger users, child and adult\nsexual exploitation, illegal activity with respect to drugs, fraud, unlawful discrimination, and other harms potentially impacting large numbers of people.\n52"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8adf1e-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 53, "chroma:document": "Table of Contents\nThis is in addition to significant tax, antitrust, stockholder, and privacy litigation and investigations. Furthermore, as the number of our users and amount of our\nrevenue have grown, our potential exposure to substantial damages awards and fines has increased.\nIn some instances, particularly with novel legal and factual claims, new regulatory regimes or statutes that have not previously been enforced, or where\nthe nature or type of enforcement pursued against us is novel, it can be very difficult to assess the likelihood or extent of potential liabilities, including the\napplicability and amount of any fines or penalties. While we have identified below certain matters that we believe to be material, there can be no assurance that\nadditional material losses or limitations on our activities will not result from claims that have not yet been asserted or are not yet determined to be material.\nPrivacy and Related Matters\nBeginning on March 20, 2018, multiple putative class actions were filed in state and federal courts in the United States and elsewhere against us and\ncertain of our directors and officers alleging various causes of action in connection with our platform and user data practices as well as the misuse of certain\ndata by a developer that shared such data with third parties in violation of our terms and policies, and seeking unspecified damages and injunctive relief. With\nrespect to the putative class actions alleging fraud and violations of consumer protection, privacy, and other laws in connection with the same matters, several\nof the cases brought on behalf of consumers in the United States were consolidated in the U.S. District Court for the Northern District of California (In re\nFacebook, Inc., Consumer Privacy User Profile Litigation). On September 9, 2019, the court granted, in part, and denied, in part, our motion to dismiss the\nconsolidated putative consumer class action. On December 22, 2022, the parties entered into a settlement agreement to resolve the lawsuit, which provides for\na payment of $725 million by us. The settlement was approved by the court on October 10, 2023, and the payment was made in November 2023. In addition,\nour platform and user data practices, as well as the events surrounding the misuse of certain data by a developer, became the subject of U.S. Federal Trade\nCommission (FTC), state attorneys general, and other government inquiries in the United States, Europe, and other jurisdictions. We entered into a settlement"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8adf6e-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 53, "chroma:document": "and modified consent order to resolve the FTC inquiry, which took effect in April 2020 and required us to pay a penalty of $5.0 billion and to significantly\nenhance our practices and processes for privacy compliance and oversight. The state attorneys general inquiry and certain government inquiries in other\njurisdictions remain ongoing and could subject us to additional substantial fines and costs, require us to change our business practices, divert resources and the\nattention of management from our business, or adversely affect our business. On July 16, 2021, a stockholder derivative action was filed in Delaware Court of\nChancery against certain of our directors and officers asserting breach of fiduciary duty and related claims relating to our historical platform and user data\npractices, as well as our settlement with the FTC. On July 20, 2021, other stockholders filed an amended derivative complaint in a related Delaware Chancery\nCourt action, asserting breach of fiduciary duty and related claims against certain of our current and former directors and officers in connection with our\nhistorical platform and user data practices. On November 4, 2021, the lead plaintiffs filed a second amended and consolidated complaint in the stockholder\nderivative action. The pending consolidated matter is In re Facebook Inc. Derivative Litigation. On January 19, 2022, we filed a motion to dismiss, which was\ndenied in part on May 10, 2023. The insider trading claim was dismissed as to all defendants except Mark Zuckerberg, and the motion was denied as to the\nbreach of fiduciary duty claims.\nOn May 3, 2023, the FTC filed a public administrative proceeding (In the Matter of Facebook, Inc.), seeking substantial changes to the modified consent\norder, which took effect in April 2020 after its entry by the U.S. District Court for the District of Columbia. The changes sought by the FTC are set forth in a\nproposed order and include, among others, a prohibition on our use of minors' data for any commercial purposes, changes to the composition of our board of\ndirectors, and significant limitations on our ability to modify and launch new products. On May 31, 2023, we filed a motion before the U.S. District Court for\nthe District of Columbia (USA v. Facebook, Inc.) seeking to enjoin the FTC from further pursuing its agency process to modify the modified consent order. On"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8adfc8-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 53, "chroma:document": "November 27, 2023, the district court denied our motion, and we have appealed to the U.S. Court of Appeals for the District of Columbia Circuit (U.S. v.\nFacebook, Inc.) and sought to stay the FTC proceeding pending resolution of the appeal. On January 12, 2024, the district court denied our motion for a stay\npending appeal and, on January 25, 2024, we filed a motion for a stay pending appeal before the Court of Appeals. On November 29, 2023, we separately filed\na complaint, also in the U.S. District Court for the District of Columbia (Meta Platforms, Inc. v. FTC), asserting constitutional challenges to the structure of the\nFTC, and seeking to preliminarily enjoin the FTC proceeding during the pendency of the litigation. On December 13, 2023, the FTC filed an opposition to our\nmotion for preliminary injunction and a motion to dismiss the complaint. Oral argument on our motion to enjoin and the FTC's motion to dismiss is scheduled\nfor March 1, 2024. If the FTC proceeding is not enjoined or stayed, our response in the proceeding will be due on March 15, 2024, after which time the FTC\ncould amend the order to impose these additional requirements set forth in the proposed order. We should have the opportunity to appeal an FTC decision\nmodifying the order and could request the\n53"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ae022-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 54, "chroma:document": "Table of Contents\nappellate court to stay the enforcement of the modifications to the order while the appeal is pending. It is unclear whether the appeal or the request for a stay\nwould be successful.\nWe also notify the Irish Data Protection Commission (IDPC), our lead European Union privacy regulator under the GDPR, of certain other personal data\nbreaches and privacy issues, and are subject to inquiries and investigations by the IDPC and other European regulators regarding various aspects of our\nregulatory compliance. For example, on May 12, 2023, the IDPC issued a Final Decision concluding that Meta Platforms Ireland's reliance on Standard\nContractual Clauses in respect of certain transfers of European Economic Area (EEA) Facebook user data was not in compliance with the GDPR. The IDPC\nissued an administrative fine of EUR \u20ac1.2 billion as well as corrective orders requiring Meta Platforms Ireland to suspend the relevant transfers and to bring its\nprocessing operations into compliance with Chapter V GDPR by ceasing the unlawful processing, including storage, of such data in the United States. We are\nappealing this decision and the corrective orders are currently subject to an interim stay from the Irish High Court. On October 7, 2022, President Biden signed\nthe Executive Order on Enhancing Safeguards for United States Signals Intelligence Activities (E.O.), and on June 30, 2023, the European Union and the three\nadditional countries making up the EEA were designated by the United States Attorney General as a \"qualifying state\" under Section 3(f) of the E.O. On July\n10, 2023, the European Commission adopted an adequacy decision in relation to the United States. The adequacy decision concludes that the United States\nensures an adequate level of protection for personal data transferred from the European Union to organizations in the United States that are included in the\n\"Data Privacy Framework List,\" maintained and made publicly available by the United States Department of Commerce pursuant to the EU-U.S. Data Privacy\nFramework (EU-U.S. DPF). The implementation of the EU-U.S. DPF and the adequacy decision are important and welcome milestones, and we are\nimplementing steps to comply with the above corrective orders following engagement with the IDPC. For additional information, see Part II, Item 1A, \"Risk\nFactors\u2014Our business is subject to complex and evolving U.S. and foreign laws and regulations regarding privacy, data use and data protection, content,"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ae072-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 54, "chroma:document": "competition, safety and consumer protection, e-commerce, and other matters\" in this Annual Report on Form 10\u2011K. Any such inquiries or investigations\n(including the IDPC proceedings) could subject us to substantial fines and costs, require us to change our business practices, divert resources and the attention\nof management from our business, or adversely affect our business.\nOn February 14, 2022, the State of Texas filed a lawsuit against us in Texas state court (Texas v. Meta Platforms, Inc.) alleging that \"tag suggestions\" and\nother uses of facial recognition technology violated the Texas Capture or Use of Biometric Identifiers Act and the Texas Deceptive Trade Practices-Consumer\nProtection Act, and seeking statutory damages and injunctive relief. The case is currently scheduled for trial in June 2024.\nBeginning on June 7, 2021, multiple putative class actions were filed against us alleging that we improperly received individuals' information from\nthird-party websites or apps via our business tools in violation of our terms and various state and federal laws and seeking unspecified damages and injunctive\nrelief (for example, In re Meta Pixel Healthcare Litigation; In re Meta Pixel Tax Filing Cases; Frasco v. Flo Health, Inc.; Doe v. Hey Favor, Inc. et al.; Doe v.\nGoodRx Holdings, Inc. et al. in the U.S. District Court for the Northern District of California; and Rickwalder, et al. v. Meta Platforms, Inc. in the California\nSupreme Court).\nCompetition\nWe are subject to various litigation and government inquiries and investigations, formal or informal, by competition authorities in the United States,\nEurope, and other jurisdictions. Such investigations, inquiries, and lawsuits concern, among other things, our business practices in the areas of social\nnetworking or social media services, digital advertising, and/or mobile or online applications, as well as our acquisitions. For example, in 2019 we became the\nsubject of antitrust investigations by the FTC and U.S. Department of Justice. On December 9, 2020, the FTC filed a complaint (FTC v. Meta Platforms, Inc.)\nagainst us in the U.S. District Court for the District of Columbia alleging that we engaged in anticompetitive conduct and unfair methods of competition in"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ae0cc-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 54, "chroma:document": "violation of Section 5 of the Federal Trade Commission Act and Section 2 of the Sherman Act, including by acquiring Instagram in 2012 and WhatsApp in\n2014 and by maintaining conditions on access to our platform. The FTC sought a permanent injunction against our company's alleged violations of the antitrust\nlaws, and other equitable relief, including divestiture or reconstruction of Instagram and WhatsApp. On June 28, 2021, the court granted our motion to dismiss\nthe complaint filed by the FTC with leave to amend. On August 19, 2021, the FTC filed an amended complaint, and on October 4, 2021, we filed a motion to\ndismiss this amended complaint. On January 11, 2022, the court denied our motion to dismiss the FTC's amended complaint. Multiple putative class actions\nhave also been filed in state and federal courts in the United States and in the United Kingdom against us alleging violations of antitrust laws and other causes\nof action in connection with these acquisitions and/or other alleged anticompetitive conduct, and seeking damages and injunctive relief. Several of the cases\nbrought on behalf of certain advertisers and users in the United States were consolidated\n54"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ae130-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 55, "chroma:document": "Table of Contents\nin the U.S. District Court for the Northern District of California (Klein et al., v. Meta Platforms, Inc.). On January 14, 2022, the court granted, in part, and\ndenied, in part, our motion to dismiss the consolidated actions. On March 1, 2022, a first amended consolidated complaint was filed in the putative class action\nbrought on behalf of certain advertisers. On December 6, 2022, the court denied our motion to dismiss the first amended consolidated complaint filed in the\nputative class action brought on behalf of certain advertisers. In December 2022, the European Commission issued a Statement of Objections alleging that we\ntie Facebook Marketplace to Facebook and use data in a manner that infringes European Union competition rules.\nOn February 6, 2019, the German Federal Cartel Office (FCO) issued an antitrust injunction order claiming that our terms and policies on data sharing\nacross our apps, and collection from third-party websites via our business tools, breached European data protection principles and German competition law. We\nbrought a lawsuit seeking to invalidate the order on February 11, 2019. On March 24, 2021, the Higher Regional Court, D\u00fcsseldorf, Germany referred several\nquestions to the Court of Justice of the European Union (CJEU) including certain questions regarding interpretation of the GDPR. On July 4, 2023, the CJEU\nissued a decision which in particular made it more difficult to rely on \"legitimate interests,\" and \"contractual necessity\" as opposed to user \"consent,\" as a legal\nbasis for data processing under the GDPR for ads and personalization purposes.\nThe result of such litigation, investigations or inquiries could subject us to substantial monetary remedies and costs, interrupt or require us to change our\nbusiness practices, divert resources and the attention of management from our business, or subject us to other structural or behavioral remedies that adversely\naffect our business.\nSecurities and Other Actions\nBeginning on March 20, 2018, multiple putative class actions and derivative actions were filed in state and federal courts in the United States and\nelsewhere against us and certain of our directors and officers alleging violations of securities laws, breach of fiduciary duties, and other causes of action in"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ae1bc-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 55, "chroma:document": "connection with our platform and user data practices as well as the misuse of certain data by a developer that shared such data with third parties in violation of\nour terms and policies, and seeking unspecified damages and injunctive relief. Beginning on July 27, 2018, two putative class actions were filed in federal court\nin the United States against us and certain of our directors and officers alleging violations of securities laws in connection with the disclosure of our earnings\nresults for the second quarter of 2018 and seeking unspecified damages. These two actions subsequently were transferred and consolidated in the U.S. District\nCourt for the Northern District of California (In Re Facebook, Inc. Securities Litigation) with the putative securities class action described above relating to our\nplatform and user data practices. In a series of orders in 2019 and 2020, the district court granted our motions to dismiss the plaintiffs' claims. On January 17,\n2022, the plaintiffs filed a notice of appeal of the order dismissing their case, and on October 18, 2023, the U.S. Court of Appeals for the Ninth Circuit issued\nits decision affirming in part and reversing in part the district court's order dismissing the plaintiffs' case.\nWe are also subject to other government inquiries and investigations relating to our business activities and disclosure practices. For example, beginning\nin September 2021, we became subject to government investigations and requests relating to a former employee's allegations and release of internal company\ndocuments concerning, among other things, our algorithms, advertising and user metrics, and content enforcement practices, as well as misinformation and\nother undesirable activity on our platform, and user well-being. We have since received additional requests relating to these and other topics. Beginning on\nOctober 27, 2021, multiple putative class actions and derivative actions were filed in the U.S. District Court for the Northern District of California against us\nand certain of our directors and officers alleging violations of securities laws, breach of fiduciary duties, and other causes of action in connection with the same\nmatters, and seeking unspecified damages. Ohio Pub. Empl. Ret. Sys. v. Meta Platforms, Inc.\nOn March 8, 2022, a putative class action was filed in the U.S. District Court for the Northern District of California against us and certain of our"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ae2c0-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 55, "chroma:document": "directors and officers alleging violations of securities laws in connection with the disclosure of our earnings results for the fourth quarter of 2021 and seeking\nunspecified damages (Plumbers & Steamfitters Local 60 Pension Trust v. Meta Platforms, Inc.). On July 18, 2023, the court dismissed the claims against Meta\nand its officers with leave to amend. On September 18, 2023, the plaintiffs filed an amended complaint.\nYouth-Related Actions\nBeginning in January 2022, we became subject to litigation and other proceedings that were filed in various federal and state courts alleging that\nFacebook and Instagram cause \"social media addiction\" in users, with most proceedings focused\n55"}


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topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ae324-255e-11ef-be8d-0242ac1c000c
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 56, "chroma:document": "Table of Contents\non those under 18 years old, resulting in various mental health and other harms. Putative class actions have been filed in the United States and Canada on\nbehalf of users in those jurisdictions, and numerous school districts, municipalities and one state in the United States have filed public nuisance claims based on\nsimilar allegations. On October 6, 2022, the federal cases were centralized in the U.S. District Court for the Northern District of California (In re Social Media\nAdolescent Addiction Product Liability Personal Injury Litigation). On October 13, 2023, in In re Social Media Cases, the Los Angeles County Superior Court\npresiding over the California state court proceedings sustained in part and overruled in part our demurrer as to the plaintiff's claims. Beginning in October\n2023, additional U.S. states have filed lawsuits on these topics in various federal and state courts. These additional lawsuits include allegations regarding\nviolations of the Children's Online Privacy Protection Act (COPPA) as well as violations of state laws concerning consumer protection, unfair business\npractices, and products liability, with proceedings focused on our alleged business practices and harms to users under 18 years old. These lawsuits seek\ndamages and injunctive relief, and include cases filed by various state attorneys general in In re Social Media Adolescent Addiction Product Liability Personal\nInjury Litigation in the U.S. District Court for the Northern District of California, as well as various state courts around the country. We are also subject to\ngovernment investigations and requests from multiple regulators concerning the use of our products, and the alleged mental and physical health and safety\nimpacts on users, particularly younger users.\nOther Actions\nBeginning on August 15, 2018, multiple putative class actions were filed against us alleging that we inflated our estimates of the potential audience size\nfor advertisements, resulting in artificially increased demand and higher prices. The cases were consolidated in the U.S. District Court for the Northern District\nof California (DZ Reserve v. Facebook, Inc.) and seek unspecified damages and injunctive relief. In a series of rulings in 2019, 2021, and 2022, the court\ndismissed certain of the plaintiffs' claims, but permitted their fraud and unfair competition claims to proceed. On March 29, 2022, the court granted the"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ae388-255e-11ef-be8d-0242ac1c000c
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 56, "chroma:document": "plaintiffs' motion for class certification. On June 21, 2022, the U.S. Court of Appeals for the Ninth Circuit granted our petition for permission to appeal the\ndistrict court's class certification order, and the court heard argument on September 12, 2023. The case is stayed in the district court pending appeal.\nBeginning on July 7, 2023, multiple putative class actions were filed against us in the U.S. District Court for the Northern District of California (Kadrey,\net al. v. Meta Platforms, Inc. and Chabon, et al. v. Meta Platforms, Inc.) and U.S. District Court for the Southern District of New York (Huckabee, et al. v. Meta\nPlatforms, Inc. et al., which was subsequently transferred to the U.S. District Court for the Northern District of California) alleging that we used various\ncopyrighted books and materials to train our artificial intelligence models, and seeking unspecified damages and injunctive relief.\nIn the first quarter of 2024, the Supreme Court is scheduled to hear argument in Vivek H. Murthy, Surgeon General, et al. v. Missouri, et al., on the\nquestion of whether federal government officials violated the First Amendment in their communications with the company and others related to content\nmoderation practices, and to hear argument in Netchoice, et al. v. Paxton and Moody, et al. v. Netchoice et al., regarding the application of the First Amendment\nrelating to content moderation on tech platforms. Although Meta is not a defendant in these actions, the Supreme Court's decision and ultimate resolution of the\nlawsuit could impact our business.\nIn addition, we are subject to litigation and other proceedings involving law enforcement and other regulatory agencies, including in particular in Brazil,\nRussia, and other countries in Europe, in order to ascertain the precise scope of our legal obligations to comply with the requests of those agencies, including\nour obligation to disclose user information in particular circumstances. A number of such instances have resulted in the assessment of fines and penalties\nagainst us. We believe we have multiple legal grounds to satisfy these requests or prevail against associated fines and penalties, and we intend to vigorously\ndefend such fines and penalties.\nWe are also party to various other legal proceedings, claims, and regulatory, tax or government inquiries and investigations that arise in the ordinary"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 56, "chroma:document": "course of business, and we expect to be subject to additional legal proceedings and disputes in the future.\nItem 4.Mine Safety Disclosures\nNot applicable.\n56"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ae446-255e-11ef-be8d-0242ac1c000c
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 57, "chroma:document": "Table of Contents\nPART II\nItem 5.Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities\nMarket Information for Common Stock\nOur Class A common stock is trading on the Nasdaq Global Select Market under the ticker symbol 'META'. This replaced the ticker symbol 'FB,' which\nhad been used since the company's initial public offering in 2012. Prior to that time, there was no public market for our stock.\nOur Class B common stock is not listed on any stock exchange nor traded on any public market.\nHolders of Record\nAs of December 31, 2023, there were 3,098 stockholders of record of our Class A common stock, and the closing price of our Class A common stock\nwas $353.96 per share as reported on the Nasdaq Global Select Market. Because many of our shares of Class A common stock are held by brokers and other\ninstitutions on behalf of stockholders, we are unable to estimate the total number of stockholders represented by these record holders. As of December 31,\n2023, there were 23 stockholders of record of our Class B common stock.\nDividend Policy\nPrior to 2024, we had never declared or paid any cash dividend on our common stock. On February 1, 2024 we announced the initiation of our first ever\ncash dividend program. This cash dividend of $0.50 per share of Class A common stock and Class B common stock (together, the \u201ccommon stock\u201d) is\nequivalent to $2.00 per share on an annual basis. The first cash dividend will be paid on March 26, 2024 to all holders of record of common stock at the close\nof business on February 22, 2024.\nThe payment of future cash dividends is subject to future declaration by our board of directors, which will be based in part on continued capital\navailability, market conditions, applicable laws and agreements, and our board of directors continuing to determine that the declaration of dividends is in the\nbest interests of our stockholders.\nPurchases of Equity Securities by the Issuer and Affiliated Purchasers\nThe following table summarizes the share repurchase activity for the three months ended December 31, 2023:\nTotal Number of Shares\nPurchasedAverage Price Paid Per\nShare Total Number of Shares\nPurchased as Part of Publicly\nAnnounced Programs Approximate Dollar Value of"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ae4a0-255e-11ef-be8d-0242ac1c000c
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 57, "chroma:document": "Announced Programs Approximate Dollar Value of\nShares that May Yet Be Purchased\nUnder the Plans or Programs \n(in thousands) (in thousands) (in millions)\nOctober 1 - 31, 2023 10,105 $ 294.59 10,105 $ 34,246 \nNovember 1 - 30, 2023 \u2014 $ \u2014 \u2014 $ 34,246 \nDecember 1 - 31, 2023 9,607 $ 345.27 9,607 $ 30,929 \nTotal 19,712 19,712 \n____________________________________\n(1) On November 18, 2016, we announced that our board of directors had authorized a share repurchase program of our Class A common stock, which commenced in January\n2017 and does not have an expiration date. In January 2024, an additional $50 billion of repurchases was authorized under this program . The timing and actual number of\nshares repurchased depend on a variety of factors, including price, general business and market conditions, and other investment opportunities, and shares may be\nrepurchased through open market purchases or privat ely negotiated transactions, including through the use of trading plans intended to qualify under Rule 10b5-1 under the\nExchange Act. See Note 13 \u2014 Stockholders' Equity in Part II, Item 8 of this Annual Report on Form 10-K for additional information related to share repurchases.\n(2) Average price paid per share includes costs associated with the repurchases but excludes the 1% excise tax accrued on our share repurchases as a result of the Inflation\nReduction Act of 2022.(2) (1) (1)\n57"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ae504-255e-11ef-be8d-0242ac1c000c
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 58, "chroma:document": "Table of Contents\nRecent Sale of Unregistered Securities and Use of Proceeds\nRecent Sale of Unregistered Securities\nNone.\nStock Performance Graph\nThis performance graph shall not be deemed \"soliciting material\" or to be \"filed\" with the SEC for purposes of Section 18 of the Exchange Act, or otherwise\nsubject to the liabilities under that Section, and shall not be deemed to be incorporated by reference into any filing of Meta Platforms, Inc. under the Securities\nAct of 1933, as amended, or the Exchange Act.\nThe following graph shows a comparison of the cumulative total return for our Class A common stock, the Dow Jones Internet Composite Index\n(DJINET), the Standard & Poor's 500 Stock Index (S&P 500) and the Nasdaq Composite Index (Nasdaq Composite) for the five years ended December 31,\n2023. The graph assumes that $100 was invested at the market close on the last trading day for the fiscal year ended December 31, 2018 in the Class A\ncommon stock of Meta Platforms, Inc., the DJINET, the S&P 500, and the Nasdaq Composite and data for the DJINET, the S&P 500, and the Nasdaq\nComposite assumes reinvestments of gross dividends. The stock price performance of the following graph is not necessarily indicative of future stock price\nperformance.\nItem 6.[Reserved]\n58"}


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topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ae55e-255e-11ef-be8d-0242ac1c000c
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 59, "chroma:document": "Table of Contents\nItem 7.Management's Discussion and Analysis of Financial Condition and Results of Operations\nYou should read the following discussion of our financial condition and results of operations in conjunction with our consolidated financial statements and the\nrelated notes included in Part II, Item 8, \"Financial Statements and Supplementary Data\" of this Annual Report on Form 10-K. In addition to our historical\nconsolidated financial information, the following discussion contains forward-looking statements that reflect our plans, estimates, and beliefs. Our actual\nresults could differ materially from those discussed in the forward-looking statements. Factors that could cause or contribute to these differences include those\ndiscussed below and elsewhere in this Annual Report on Form 10-K, particularly in Part I, Item 1A, \"Risk Factors.\" For a discussion of limitations in the\nmeasurement of certain of our community metrics, see the section entitled \"Limitations of Key Metrics and Other Data\" in this Annual Report on Form 10-K.\nTo supplement our consolidated financial statements, which are prepared and presented in accordance with generally accepted accounting principles in the\nUnited States (GAAP), we present revenue on a constant currency basis and free cash flow, which are non-GAAP financial measures. Revenue on a constant\ncurrency basis is presented in the section entitled \"\u2014Revenue\u2014Foreign Exchange Impact on Revenue.\" To calculate revenue on a constant currency basis, we\ntranslated revenue for the full year 2023 using 2022 monthly exchange rates for our settlement or billing currencies other than the U.S. dollar. For a full\ndescription of our free cash flow non-GAAP measure, see the section entitled \"\u2014Liquidity and Capital Resources\u2014Free Cash Flow.\"\nThese non-GAAP financial measures are not intended to be considered in isolation or as a substitute for, or superior to, financial information prepared and\npresented in accordance with GAAP. These measures may be different from non\u2011GAAP financial measures used by other companies, limiting their usefulness\nfor comparison purposes. Moreover, presentation of revenue on a constant currency basis is provided for year-over-year comparison purposes, and investors\nshould be cautioned that the effect of changing foreign currency exchange rates has an actual effect on our operating results. We believe these non-GAAP\nfinancial measures provide investors with useful supplemental information about the financial performance of our business, enable comparison of financial\nresults between periods where certain items may vary independent of business performance, and allow for greater transparency with respect to key metrics\nused by management in operating our business."}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 59, "chroma:document": "used by management in operating our business.\nExecutive Overview of Full Year 2023 Results\nOur mission is to give people the power to build community and bring the world closer together.\nOur financial results and key community metrics for 2023 are set forth below. Our total revenue for 2023 was $134.90 billion, an increase of 16%\ncompared to 2022, due to an increase in advertising revenue. Revenue on a constant currency basis would have increased 15% compared to 2022. Ad\nimpressions delivered across our Family of Apps increased 28% year-over-year in 2023, partially offset by a 9% year-over-year decrease in the average price\nper ad.\nIncome from operations for 2023 was $46.75 billion, an increase of $17.81 billion, or 62%, compared to 2022, driven by an increase in advertising\nrevenue.\n59"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ae61c-255e-11ef-be8d-0242ac1c000c
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 60, "chroma:document": "Table of Contents\nConsolidated and Segment Results\nWe report our financial results for our two reportable segments: Family of Apps (FoA) and Reality Labs (RL). FoA includes Facebook, Instagram,\nMessenger, WhatsApp, and other services. RL includes our augmented, mixed and virtual reality related consumer hardware, software, and content.\nFamily of Apps Reality Labs Total\nYear Ended\nDecember 31,Year Ended\nDecember 31,Year Ended\nDecember 31,\n2023 2022 % change 2023 2022 % change 2023 2022 % change\n(in millions, except percentages)\nRevenue $ 133,006 $ 114,450 16% $ 1,896 $ 2,159 (12)% $ 134,902 $ 116,609 16%\nCosts and expenses $ 70,135 $ 71,789 (2)% $ 18,016 $ 15,876 13% $ 88,151 $ 87,665 1%\nIncome (loss) from\noperations $ 62,871 $ 42,661 47% $ (16,120) $ (13,717) (18)% $ 46,751 $ 28,944 62%\nOperating margin 47 % 37 % (850)% (635)% 35 % 25 %\n\u2022Net income was $39.10 billion, with diluted earnings per share (EPS) of $14.87 for the year ended December 31, 2023.\n\u2022Capital expenditures, including principal payments on finance leases, were $28.10 billion for the year ended December 31, 2023.\n\u2022Effective tax rate was 17.6% for the year ended December 31, 2023.\n\u2022Cash, cash equivalents, and marketable securities were $65.40 billion as of December 31, 2023.\n\u2022Long-term debt was $18.39 billion as of December 31, 2023.\n\u2022Headcount was 67,317 as of December 31, 2023, a decrease of 22% year-over-year.\nDividend\nPrior to 2024, we had never declared or paid any cash dividend on our common stock. On February 1, 2024 we announced the initiation of our first ever"}


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topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ae680-255e-11ef-be8d-0242ac1c000c
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 60, "chroma:document": "cash dividend program. This cash dividend of $0.50 per share of Class A common stock and Class B common stock (together, the \u201ccommon stock\u201d) is\nequivalent to $2.00 per share on an annual basis. The first cash dividend will be paid on March 26, 2024 to all holders of record of common stock at the close\nof business on February 22, 2024.\n60"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ae6da-255e-11ef-be8d-0242ac1c000c
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 61, "chroma:document": "Table of Contents\nRestructuring\nBeginning in 2022, we initiated several measures to pursue greater efficiency and to realign our business and strategic priorities. As of December 31,\n2023, we have completed the data center initiatives and the employee layoffs, and substantially completed the facilities consolidation initiatives.\nA summary of our restructuring charges, including subsequent adjustments, for the year ended December 31, 2023 by major activity type is as follows\n(in millions):\nYear Ended December 31, 2023\nFacilities ConsolidationSeverance and Other\nPersonnel Costs Data Center Assets Total\nCost of revenue $ 177 $ \u2014 $ (224)$ (47)\nResearch and development 1,581 413 \u2014 1,994 \nMarketing and sales 396 307 \u2014 703 \nGeneral and administrative 352 450 \u2014 802 \nTotal $ 2,506 $ 1,170 $ (224)$ 3,452 \nDuring 2023 and 2022, we recognized total pre-tax restructuring charges of $2.84 billion and $4.10 billion under our FoA segment, and $612 million and\n$515 million under our RL segment, respectively.\nSee Note 3 \u2014 Restructuring in the notes to the consolidated financial statements included in Part II, Item 8, \"Financial Statements and Supplementary\nData\" of this Annual Report on Form 10-K for additional information regarding restructuring charges.\nFamily of Apps Metrics\n\u2022Family daily active people (DAP) was 3.19 billion on average for December 2023, an increase of 8% year-over-year.\n\u2022Family monthly active people (MAP) was 3.98 billion as of December 31, 2023, an increase of 6% year-over-year.\n\u2022Facebook daily active users (DAUs) were 2.11 billion on average for December 2023, an increase of 6% year-over-year.\n\u2022Facebook monthly active users (MAUs) were 3.07 billion as of December 31, 2023, an increase of 3% year-over-year.\n\u2022Ad impressions delivered across our Family of Apps increased by 28% year-over-year in 2023, and the average price per ad decreased by 9% year-over-\nyear in 2023."}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ae73e-255e-11ef-be8d-0242ac1c000c
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 61, "chroma:document": "year in 2023.\nBeginning with our Quarterly Report on Form 10-Q to be filed for the first quarter of 2024, we will no longer report DAUs, MAUs, ARPU, and MAP in\nour periodic reports filed with the Securities and Exchange Commission. We intend to begin reporting year-over-year percentage changes in ad impressions\ndelivered and the average price per ad by geographic region, while continuing to report DAP and ARPP (calculated based on DAP), beginning with our\nQuarterly Report on Form 10-Q to be filed for the first quarter of 2024. For additional information, see the section entitled \"Limitations of Key Metrics and\nOther Data\" in this Annual Report on Form 10-K.\nDevelopments in Advertising\nSubstantially all of our revenue is currently generated from advertising on Facebook and Instagram. We rely on targeting and measurement tools that\nincorporate data signals from user activity on websites and services that we do not control in order to deliver relevant and effective ads to our users. Our\nadvertising revenue has been, and we expect will continue to be, adversely affected by reduced marketer spending as a result of limitations on our ad targeting\nand measurement tools arising from changes to the regulatory environment and third-party mobile operating systems and browsers.\nIn particular, legislative and regulatory developments such as the General Data Protection Regulation, including its evolving interpretation through\ndecisions of the Court of Justice of the European Union, ePrivacy Directive, the European Digital Services Act, and U.S. state privacy laws including the\nCalifornia Consumer Privacy Act, as amended by the California Privacy Rights Act, have impacted our ability to use data signals in our ad products, and we\nexpect these and other\n61"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ae7a2-255e-11ef-be8d-0242ac1c000c
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 62, "chroma:document": "Table of Contents\ndevelopments such as the Digital Markets Act will have further impact in the future. As a result, we have implemented, and we will continue to implement,\nwhether voluntarily or otherwise, changes to our products and user data practices, which reduce our ability to effectively target and measure ads. For example,\nin response to regulatory developments in Europe, we announced our plans to change the legal basis for behavioral advertising on Facebook and Instagram in\nthe EU, European Economic Area, and Switzerland from \"legitimate interests\" to \"consent,\" and began offering users in the region a \"subscription for no ads\"\nalternative. We are continuing to engage with regulators on our new consent model. In addition, mobile operating system and browser providers, such as Apple\nand Google, have implemented product changes and/or announced future plans to limit the ability of websites and application developers to collect and use\nthese signals to target and measure advertising. For example, in 2021, Apple made certain changes to its products and data use policies in connection with\nchanges to its iOS operating system that reduce our and other iOS developers' ability to target and measure advertising, which has negatively impacted, and we\nexpect will continue to negatively impact, the size of the budgets marketers are willing to commit to us and other advertising platforms.\nTo mitigate these developments, we are continually working to evolve our advertising systems to improve the performance of our ad products. We are\ndeveloping privacy enhancing technologies to deliver relevant ads and measurement capabilities while reducing the amount of personal information we\nprocess, including by relying more on anonymized or aggregated third-party data. In addition, we are developing tools that enable marketers to share their data\ninto our systems, as well as ad products that generate more valuable signals within our apps. More broadly, we also continue to innovate our advertising tools\nto help marketers prepare campaigns and connect with consumers, including developing growing formats such as Reels ads and our business messaging ad\nproducts. Across all of these efforts, we are making significant investments in artificial intelligence (AI), including generative AI, to improve our delivery,\ntargeting, and measurement capabilities. Further, we are focused on driving onsite conversions in our business messaging ad products by developing new\nfeatures and scaling existing features.\nWe are also engaging with others across our industry to explore the possibility of new open standards for the private and secure processing of data for\nadvertising purposes. We believe our ongoing improvements to ad targeting and measurement are continuing to drive improved results for advertisers."}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ae806-255e-11ef-be8d-0242ac1c000c
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 62, "chroma:document": "However, we expect that some of these efforts will be long-term initiatives, and that the legislative, regulatory and platform developments described above will\ncontinue to adversely impact our advertising revenue for the foreseeable future.\nOther Business and Macroeconomic Conditions\nOther global and regional business, macroeconomic, and geopolitical conditions also have had, and we believe will continue to have, an impact on our\nuser growth and engagement and advertising revenue. In particular, we believe advertising budgets have been pressured from time to time by factors such as\ninflation, rising interest rates, and related market uncertainty, which has led to reduced marketer spending. While we saw improvement in business and\nmacroeconomic conditions in 2023, continued business, macroeconomic, and geopolitical uncertainty remains, which could impact our financial results in\nfuture periods. In addition, competitive products and services have reduced some users' engagement with our products and services. We are investing in Reels\nand in AI initiatives across our products, including our AI-powered discovery engine to recommend relevant content, which we have already seen results in\nimproved user engagement and monetization of our products. While Reels is growing in usage, it monetizes at a lower rate than our feed and Stories products\nand we expect it will continue to monetize at a lower rate for the foreseeable future. We also have seen fluctuations and declines in the size of our active user\nbase in one or more regions from time to time. For example, in connection with the war in Ukraine, access to Facebook and Instagram was restricted in Russia\nand the services were then prohibited by the Russian government, which continued to adversely affect user growth and engagement in 2023. These trends\nadversely affected advertising revenue in 2023, and we expect will continue to affect our advertising revenue in the foreseeable future.\nAlthough we regularly evaluate a variety of sources to understand trends in our advertising revenue, we do not have perfect visibility into the factors\ndriving advertiser spending decisions and our assessments involve complex judgments about what is driving advertising decisions across a large and diversified\nadvertiser base across the globe. Trends impacting advertising spend are also dynamic and interrelated. As a result, it is difficult to identify with precision\nwhich advertiser spending decisions are attributable to which trends, and we are unable to quantify the exact impact that each trend had on our advertising\nrevenue during the periods presented.\n62"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8ae86a-255e-11ef-be8d-0242ac1c000c
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 63, "chroma:document": "Table of Contents\nInvestment Philosophy\nWe expect to continue to build on the discipline and habits that we developed in 2022 when we initiated several efforts to increase our operating\nefficiency, while still remaining focused on investing in significant opportunities. In 2023, 80% of our total costs and expenses were recognized in FoA and\n20% were recognized in RL. Our FoA investments include expenses relating to headcount, data centers, and technical infrastructure as part of our efforts to\ndevelop our apps and our advertising services. These efforts include significant investments in AI initiatives, including to recommend relevant content across\nour products, enhance our advertising tools, develop new products, and develop new features for existing products using generative AI.\nWe are also making significant investments in our metaverse efforts, including developing virtual, augmented, and mixed reality devices, software for\nsocial platforms, neural interfaces, and other foundational technologies for the metaverse. Our RL investments include expenses relating to technology\ndevelopment across these efforts. Many of our RL investments are directed toward long-term, cutting-edge research and development for products for the\nmetaverse that may only be fully realized in the next decade. In 2023, our RL segment reduced our overall operating profit by approximately $16.12 billion,\nand we expect our RL operating losses to increase meaningfully in 2024. We expect this will be a complex, evolving, and long-term initiative, and our ability to\nsupport our metaverse efforts is dependent on generating sufficient profits from other areas of our business. We are investing now because we believe this is the\nnext chapter of the internet and will unlock monetization opportunities for businesses, developers, and creators, including around advertising, hardware, and\ndigital goods.\n63"}


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{"source": "dataset/Meta-10-k-2023.pdf", "page": 64, "chroma:document": "Table of Contents\nTrends in Our Family Metrics\nThe numbers for our key Family metrics, our DAP, MAP, and average revenue per person (ARPP), do not include users on our other products unless\nthey would otherwise qualify as DAP or MAP, respectively, based on their other activities on our Family products.\nTrends in the number of people in our community affect our revenue and financial results by influencing the number of ads we are able to show, the\nvalue of our ads to marketers, as well as our expenses and capital expenditures. Substantially all of our daily and monthly active people (as defined below)\naccess our Family products on mobile devices.\n\u2022Daily Active People (DAP). We define a daily active person as a registered and logged-in user of Facebook, Instagram, Messenger, and/or WhatsApp\n(collectively, our \"Family\" of products) who visited at least one of these Family products through a mobile device application or using a web or\nmobile browser on a given day. We do not require people to use a common identifier or link their accounts to use multiple products in our Family, and\ntherefore must seek to attribute multiple user accounts within and across products to individual people. Our calculations of DAP rely upon complex\ntechniques, algorithms, and machine learning models that seek to estimate the underlying number of unique people using one or more of these\nproducts, including by matching user accounts within an individual product and across multiple products when we believe they are attributable to a\nsingle person, and counting such group of accounts as one person. As these techniques and models require significant judgment, are developed based\non internal reviews of limited samples of user accounts, and are calibrated against user survey data, there is necessarily some margin of error in our\nestimates. We view DAP, and DAP as a percentage of MAP, as measures of engagement across our products. For additional information, see the\nsection entitled \"Limitations of Key Metrics and Other Data\" in this Annual Report on Form 10-K."}


created_at: 2024-06-08 06:19:44
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 64, "chroma:document": "- - - - - - D A P / M A P : - - - - - - 7 9 % - - - - - - - 7 9 % - - - - - - - - 7 9 % - - - - - - - - 7 9 % - - - - - - - - - 7 9 % - - - - - - - - 7 9 % - - - - - - - - 7 9 % - - - - - - - - 7 9 % - - - - - - - - 8 0 %\nNote: We report the numbers of DAP and MAP as specific amounts, but these numbers are estimates of the numbers of unique people using our products and are subject to statistical\nvariances and errors. While we expect the error margin for these estimates to vary from period to period, we estimate that such margin generally will be approximately 3% of our worldwide\nMAP. At our scale, it is very difficult to attribute multiple user accounts within and across products to individual people, and it is possible that the actual numbers of unique people using our\nproducts may vary significantly from our estimates, potentially beyond our estimated error margins. For additional information, see the section entitled \"Limitations of Key Metrics and Other\nData\" in this Annual Report on Form 10-K. In the third quarter of 2022, we updated our Family metrics calculations to maintain calibration of our models against recent user survey data,\nand we estimate such update contributed an aggregate of approximately 30 million DAP to our reported worldwide DAP in September 2022. Beginning in the fourth quarter of 2023, our\nFamily metrics no longer include Messenger Kids users.\nWorldwide DAP increased 8% to 3.19 billion on average during December 2023 from 2.96 billion during December 2022.\n64"}


created_at: 2024-06-08 06:19:44
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 65, "chroma:document": "Table of Contents\n\u2022Monthly Active People (MAP). We define a monthly active person as a registered and logged-in user of one or more Family products who visited at\nleast one of these Family products through a mobile device application or using a web or mobile browser in the last 30 days as of the date of\nmeasurement. We do not require people to use a common identifier or link their accounts to use multiple products in our Family, and therefore must\nseek to attribute multiple user accounts within and across products to individual people. Our calculations of MAP rely upon complex techniques,\nalgorithms, and machine learning models that seek to estimate the underlying number of unique people using one or more of these products, including\nby matching user accounts within an individual product and across multiple products when we believe they are attributable to a single person, and\ncounting such group of accounts as one person. As these techniques and models require significant judgment, are developed based on internal reviews\nof limited samples of user accounts, and are calibrated against user survey data, there is necessarily some margin of error in our estimates. We view\nMAP as a measure of the size of our global active community of people using our products. For additional information, see the section entitled\n\"Limitations of Key Metrics and Other Data\" in this Annual Report on Form 10-K.\nNote: We report the numbers of DAP and MAP as specific amounts, but these numbers are estimates of the numbers of unique people using our products and are subject to statistical\nvariances and errors. While we expect the error margin for these estimates to vary from period to period, we estimate that such margin generally will be approximately 3% of our worldwide\nMAP. At our scale, it is very difficult to attribute multiple user accounts within and across products to individual people, and it is possible that the actual numbers of unique people using our\nproducts may vary significantly from our estimates, potentially beyond our estimated error margins. For additional information, see the section entitled \"Limitations of Key Metrics and Other\nData\" in this Annual Report on Form 10-K. In the third quarter of 2022, we updated our Family metrics calculations to maintain calibration of our models against recent user survey data,\nand we estimate such update contributed an aggregate of approximately 40 million MAP to our reported worldwide MAP in September 2022. Beginning in the fourth quarter of 2023, our\nFamily metrics no longer include Messenger Kids users."}


created_at: 2024-06-08 06:19:44
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 65, "chroma:document": "Family metrics no longer include Messenger Kids users.\nAs of December 31, 2023, we had 3.98 billion MAP, an increase of 6% from 3.74 billion as of December 31, 2022.\n65"}


created_at: 2024-06-08 06:19:44
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 66, "chroma:document": "Table of Contents\n\u2022Average Revenue Per Person (ARPP). We define ARPP as our total revenue during a given quarter, divided by the average of the number of MAP at\nthe beginning and end of the quarter. While ARPP includes all sources of revenue, the number of MAP used in this calculation only includes users of\nour Family products as described in the definition of MAP above. We estimate that the share of revenue from users who are not also MAP was not\nmaterial.\nA R P P : $ 9 . 3 9 $ 7 . 7 2 $ 7 . 9 1 $ 7 . 5 3 $ 8 . 6 3 $ 7 . 5 9 $ 8 . 3 2 $ 8 . 7 1 $ 1 0 . 1 0\n Ad Revenue\n Non-Ad Revenue\nNote: Non-advertising revenue includes RL revenue generated from the delivery of consumer hardware products and FoA Other revenue, which consists of revenue from WhatsApp Business\nPlatform, net fees we receive from developers using our Payments infrastructure, and revenue from various other sources. Beginning with our Quarterly Report on Form 10-Q to be filed for\nthe first quarter of 2024, we intend to report ARPP based on DAP instead of MAP.\nOur annual worldwide ARPP in 2023, which represents the sum of quarterly ARPP during such period, was $34.72, an increase of 9% from 2022.\n66"}


created_at: 2024-06-08 06:19:44
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 67, "chroma:document": "Table of Contents\nTrends in Our Facebook User Metrics\nThe numbers for our key Facebook metrics, our DAUs, MAUs, and average revenue per user (ARPU), do not include users on Instagram, WhatsApp, or\nour other products, unless they would otherwise qualify as DAUs or MAUs, respectively, based on their other activities on Facebook.\nTrends in the number of users affect our revenue and financial results by influencing the number of ads we are able to show, the value of our ads to\nmarketers, as well as our expenses and capital expenditures. Substantially all of our daily and monthly active users (as defined below) access Facebook on\nmobile devices.\n\u2022Daily Active Users (DAUs). We define a daily active user as a registered and logged-in Facebook user who visited Facebook through our website or a\nmobile device, or used our Messenger application (and is also a registered Facebook user), on a given day. We view DAUs, and DAUs as a percentage\nof MAUs, as measures of user engagement on Facebook.\n----\nD A U / M A U : - - 6 6 % - - - - - - 6 7 % - - - - - - 6 7 % - - - - - - 6 7 % - - - - - - 6 7 % - - - - - - 6 8 % - - - - - - 6 8 % - - - - - 6 8 % - - - - - - 6 9 % -\n-\n -"}


created_at: 2024-06-08 06:19:44
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 67, "chroma:document": "-\n -\nD A U / M A U : - - 7 4 % - - - - - 7 5 % - - - - - - 7 5 % - - - - - - 7 4 % - - - - - - 7 5 % - - - - - 7 4 % - - - - - - 7 5 % - - - - - - 7 5 % - - - - - - 7 5 % - - - - D A U / M A U : - 7 2 % - - - - - - 7 3 % - - - - - - 7 4 % - - - - - 7 4 % - - - - - - 7 5 % - - - - - - 7 5 % - - - - - - 7 5 % - - - - - - 7 5 % - - - - - - 7 5 % - - -\n-\n -\nD A U / M A U : - - 6 3 % - - - - - 6 4 % - - - - - - 6 4 % - - - - - - 6 4 % - - - - - - 6 5 % - - - - - 6 6 % - - - - - - 6 6 % - - - - - - 6 6 % - - - - - - 6 7 % - - - - D A U / M A U : - 6 5 % - - - - - - 6 6 % - - - - - - 6 6 % - - - - - 6 6 % - - - - - - 6 6 % - - - - - - 6 7 % - - - - - - 6 6 % - - - - - - 6 7 % - - - - - - 6 7 % - - -\nNote: For purposes of reporting DAUs, MAUs, and ARPU by geographic region, Europe includes all users in Russia and Turkey and Rest of World includes all users in Africa, Latin America,\nand the Middle East.\n67"}


created_at: 2024-06-08 06:19:44
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 68, "chroma:document": "Table of Contents\nWorldwide DAUs increased 6% to 2.11 billion on average during December 2023 from 2.00 billion during December 2022. Users in India, Bangladesh,\nand Nigeria represented the top three sources of growth in DAUs during December 2023, relative to the same period in 2022.\n\u2022Monthly Active Users (MAUs). We define a monthly active user as a registered and logged-in Facebook user who visited Facebook through our\nwebsite or a mobile device, or used our Messenger application (and is also a registered Facebook user), in the last 30 days as of the date of\nmeasurement. MAUs are a measure of the size of our global active user community on Facebook.\n \n \nAs of December 31, 2023, we had 3.07 billion MAUs, an increase of 3% from December 31, 2022. Users in India, Bangladesh, and Nigeria represented\nthe top three sources of growth in 2023, relative to the same period in 2022.\n68"}


created_at: 2024-06-08 06:19:44
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 69, "chroma:document": "Table of Contents\nTrends in Our Monetization by Facebook User Geography\nWe calculate our revenue by user geography based on our estimate of the geography in which ad impressions are delivered, virtual and digital goods are\npurchased, or consumer hardware products are shipped. We define ARPU as our total revenue in a given geography during a given quarter, divided by the\naverage of the number of MAUs in the geography at the beginning and end of the quarter. While ARPU includes all sources of revenue, the number of MAUs\nused in this calculation only includes users of Facebook and Messenger as described in the definition of MAU above. While the share of revenue from users\nwho are not also Facebook or Messenger MAUs has grown over time, we estimate that revenue from users who are Facebook or Messenger MAUs represents\nthe substantial majority of our total revenue. See \"Average Revenue Per Person (ARPP)\" above for our estimates of trends in our monetization of our Family\nproducts. The geography of our users affects our revenue and financial results because we currently monetize users in different geographies at different average\nrates. Our revenue and ARPU in regions such as United States & Canada and Europe are relatively higher primarily due to the size and maturity of those online\nand mobile advertising markets. For example, ARPU in 2023 in the United States & Canada region was more than 11 times higher than in the Asia-Pacific\nregion.\n--- A R P U : - - $ 1 1 . 5 7 - - - $ 9 . 5 4 - - - $ 9 . 8 2 - - - $ 9 . 4 1 - - - $ 1 0 . 8 6 - - - - $ 9 . 6 2 - - - - $ 1 0 . 6 3 - - - - $ 1 1 . 2 3 - - - $ 1 3 . 1 2 -\n-"}


created_at: 2024-06-08 06:19:44
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 69, "chroma:document": "-\n- - A R P U : - - $ 6 0 . 5 7 - - $ 4 8 . 2 9 - - $ 5 0 . 2 5 - - $ 4 9 . 1 3 - - - $ 5 8 . 7 7 - - $ 4 8 . 8 5 - - - $ 5 3 . 5 3 - - - $ 5 6 . 1 1 - - - $ 6 8 . 4 4 - - - - - - - - A R P U : - - $ 1 9 . 6 8 - - $ 1 5 . 3 5 - - $ 1 5 . 6 4 - - $ 1 4 . 2 3 - - $ 1 7 . 2 9 - - - $ 1 5 . 5 1 - - $ 1 7 . 8 8 - - - $ 1 9 . 0 4 - - - $ 2 3 . 1 4\n \n- A R P U : - - $ 4 . 8 9 - - - - $ 4 . 4 7 - - - - $ 4 . 5 4 - - - - $ 4 . 4 2 - - - - $ 4 . 6 1 - - - - $ 4 . 5 2 - - - - $ 4 . 8 8 - - - - - $ 5 . 1 2 - - - - $ 5 . 5 2 - - - - - - - A R P U : - - $ 3 . 4 3 - - - - - $ 3 . 1 4 - - - - $ 3 . 3 5 - - - - $ 3 . 2 1 - - - - $ 3 . 5 2 - - - - $ 3 . 3 5 - - - - $ 3 . 7 6 - - - - - $ 4 . 2 2 - - - - $ 4 . 5 0\nAd Revenue\n Non-Ad Revenue"}


created_at: 2024-06-08 06:19:44
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 69, "chroma:document": "Ad Revenue\n Non-Ad Revenue\nNote: Non-advertising revenue includes RL revenue generated from the delivery of consumer hardware products and FoA Other revenue, which consists of revenue from WhatsApp Business\nPlatform, net fees we receive from developers using our Payments infrastructure, and revenue from various other sources.\n69"}


created_at: 2024-06-08 06:19:44
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 70, "chroma:document": "Table of Contents\nOur revenue by user geography in the charts above is geographically apportioned based on our estimation of the geographic location of our users when they perform a revenue-generating\nactivity. This allocation differs from our revenue disaggregated by geography disclosure in Note 2 \u2014 Revenue in our consolidated financial statements included in Part II, Item 8, \"Financial\nStatements and Supplemental Data\" where revenue is geographically apportioned based on the addresses of our customers.\nOur annual worldwide ARPU in 2023, which represents the sum of quarterly ARPU during such period, was $44.60, an increase of 13% from 2022. For\n2023, ARPU increased by 21% in Europe, 20% in Rest of World, 11% in Asia-Pacific, and 10% in United States & Canada. User growth was mostly in\ngeographies with relatively lower ARPU, such as Asia\u2011Pacific and Rest of World. We expect that user growth in the future will be primarily concentrated in\nthose regions where ARPU is relatively lower, such that worldwide ARPU may continue to increase at a slower rate relative to ARPU in any geographic region\nin a particular period, or potentially decrease even if ARPU increases in each geographic region.\n70"}


created_at: 2024-06-08 06:19:44
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 71, "chroma:document": "Table of Contents\nCritical Accounting Estimates\nOur consolidated financial statements are prepared in accordance with GAAP. The preparation of these consolidated financial statements requires us to\nmake estimates and assumptions that affect the reported amounts of assets, liabilities, revenue, costs and expenses, and related disclosures. On an ongoing\nbasis, we evaluate our accounting estimates based on historical experience and on various other assumptions that we believe are reasonable under the\ncircumstances. The actual impact on our financial performance could differ from these estimates under different assumptions or conditions.\nAn accounting estimate is considered critical if both (i) the nature of the estimates or assumptions is material due to the levels of subjectivity and\njudgment involved, and (ii) the impact within a reasonable range of outcomes of the estimates and assumptions is material to our consolidated financial\nstatements. We believe that the estimates and assumptions associated with loss contingencies, income taxes, and valuation of assets, when applicable, have the\ngreatest potential impact on our consolidated financial statements. Therefore, we consider these to be our critical accounting estimates. For further information\non all of our significant accounting policies, see Note 1 \u2014 Summary of Significant Accounting Policies in the accompanying notes to the consolidated financial\nstatements included in Part II, Item 8, \"Financial Statements and Supplementary Data\" of this Annual Report on Form 10-K.\nLoss Contingencies\nWe are involved in legal proceedings, claims, and regulatory, tax or government inquiries and investigations that arise in the ordinary course of business.\nCertain of these matters include speculative claims for substantial or indeterminate amounts of damages. Additionally, we are required to comply with various\nlegal and regulatory obligations around the world, and we regularly become subject to new laws and regulations in the jurisdictions in which we operate. The\nrequirements for complying with these obligations may be uncertain and subject to interpretation and enforcement by regulatory and other authorities, and any\nfailure to comply with such obligations could eventually lead to asserted legal or regulatory action. With respect to these matters, asserted and unasserted, we\nevaluate the associated developments on a regular basis and accrue a liability when we believe that it is both probable that a loss has been incurred and the\namount can be reasonably estimated.\nWe review the developments in our contingencies that could affect the amount of the provisions that have been previously recorded, and the matters and\nrelated reasonably possible losses disclosed. We make adjustments to our provisions and changes to our disclosures accordingly to reflect the merits of our"}


created_at: 2024-06-08 06:19:44
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 71, "chroma:document": "defenses and the impact of negotiations, settlements, regulatory proceedings, rulings, advice of legal counsel, and updated information. Significant judgment is\nrequired to determine the probability of loss and the estimated amount of loss, including when and if the probability and estimate has changed for asserted and\nunasserted matters. Certain factors, in particular, have resulted in significant changes to these estimates and judgments in prior quarters based on updated\ninformation available. For example, in certain jurisdictions where we operate, fines and penalties may be the result of new laws and preliminary interpretations\nregarding the basis of assessing damages, which may make it difficult to estimate what such fines and penalties would amount to if successfully asserted\nagainst us. In addition, certain government inquiries and investigations, such as matters before our lead European Union privacy regulator, the Irish Data\nProtection Commission, are subject to review by other regulatory bodies before decisions are finalized, which can lead to significant changes in the outcome of\nan inquiry. As a result of these and other factors, we reasonably expect that our estimates and judgments with respect to our contingencies may continue to be\nrevised in future quarters.\nThe ultimate outcome of these matters, such as whether the likelihood of loss is remote, reasonably possible, or probable or if and when the reasonably\npossible range of loss is estimable, is inherently uncertain. Therefore, if one or more of these matters were resolved against us for amounts in excess of\nmanagement's estimates of losses, our results of operations and financial condition, including in a particular reporting period in which any such outcome\nbecomes probable and estimable, could be materially adversely affected. See Note 12 \u2014 Commitments and Contingencies and Note 15 \u2014 Income Taxes of the\naccompanying notes to the consolidated financial statements included in Part II, Item 8, \"Financial Statements and Supplementary Data\" and Part I, Item 3,\n\"Legal Proceedings\" of this Annual Report on Form 10-K for additional information regarding these contingencies.\nIncome Taxes\nWe are subject to income taxes in the United States and numerous foreign jurisdictions. Significant judgment is required in determining our provision for\nincome taxes and income tax assets and liabilities, including evaluating uncertainties in the application of accounting principles and complex tax laws. Our\nactual and forecasted income (loss) before\n71"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 72, "chroma:document": "Table of Contents\nprovision is subject to change due to economic, political and other conditions and significant judgment is required in determining our ability to recognize our\nnet deferred tax assets.\nWe recognize tax benefits from uncertain tax positions only if we believe that it is more likely than not that the tax position will be sustained on\nexamination by the taxing authorities based on the technical merits of the position. These uncertain tax positions include our estimates for transfer pricing that\nhave been developed based upon analyses of appropriate arms-length prices. Similarly, our estimates related to uncertain tax positions concerning research and\ndevelopment tax credits are based on an assessment of whether our available documentation corroborating the nature of our activities supporting the tax credits\nwill be sufficient. Although we believe that we have adequately reserved for our uncertain tax positions (including net interest and penalties), we can provide\nno assurance that the final tax outcome of these matters will not be materially different, as significant judgment is required in evaluating and estimating our\nprovision for income taxes. We make adjustments to these reserves in accordance with the income tax accounting guidance when facts and circumstances\nchange, such as the closing of a tax audit or the refinement of an estimate. To the extent that the final tax outcome of these matters is different from the amounts\nrecorded, such differences will affect the provision for income taxes in the period in which such determination is made, and could have a material impact on\nour financial condition and operating results.\nValuation of Assets\nThe valuation and impairment assessment of certain assets, including recoverability, requires significant judgment and assumptions such as estimation of\nfuture cash flows, discount rates, market data of comparable assets and companies, holding period and residual value of asset groups, among others.\nImpairment testing for long-lived-assets, including property and equipment and operating lease right-of-use assets, occurs whenever events or\ncircumstances indicate that the carrying amount of such assets may not be recoverable compared to the future undiscounted cash flows the assets are expected\nto generate from the use and eventual disposition. The impairment test is performed at the asset group level for which identifiable cash flows are largely\nindependent of the cash flows of other assets and liabilities. When the test results indicate that the carrying amount of long-lived assets is not recoverable, the\ncarrying amount of such assets is reduced to fair value.\nImpairment testing for non-marketable equity securities without readily determinable fair values accounted for using the measurement alternative, is"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 72, "chroma:document": "performed at each reporting date to determine whether there are triggering events for impairment. Such qualitative assessment considers factors such as, but not\nlimited to, the investee's financial condition and business outlook; industry and sector performance; regulatory, economic or technological environment;\noperational and financing cash flows; and other relevant events and factors affecting the investee. When indicators of impairment exist, we estimate the fair\nvalue of our non-marketable equity securities using the market approach and/or the income approach and recognize impairment loss in our consolidated\nstatements of income if the estimated fair value is less than the carrying value. In addition, for these non-marketable equity securities, determining whether a\nnon-marketable equity security issued by the same issuer is similar to the non-marketable equity security we hold may require judgment in (a) assessment of\ndifferences in rights and obligations associated with the instruments such as voting rights, distribution rights and preferences, and conversion features, and (b)\nadjustments to the observable price for differences such as, but not limited to, rights and obligations, control premium, liquidity, or principal or most\nadvantageous markets. The identification of observable transactions will depend on the timely reporting of these transactions from our investee companies,\nwhich may occur in a period subsequent to when the transactions take place. Therefore, our fair value adjustment for these observable transactions may occur\nin a period subsequent to when the transaction actually occurred.\n72"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 73, "chroma:document": "Table of Contents\nComponents of Results of Operations\nRevenue\nFamily of Apps (FoA)\nAdvertising. We generate substantially all of our revenue from advertising. Our advertising revenue is generated by displaying ad products on Facebook,\nInstagram, Messenger, and third-party mobile applications. Marketers pay for ad products either directly or through their relationships with advertising\nagencies or resellers, based on the number of impressions delivered or the number of actions, such as clicks, taken by users.\nWe recognize revenue from the display of impression-based ads in the contracted period in which the impressions are delivered. Impressions are\nconsidered delivered when an ad is displayed to a user. We recognize revenue from the delivery of action-based ads in the period in which a user takes the\naction the marketer contracted for. The number of ads we show is subject to methodological changes as we continue to evolve our ads business and the\nstructure of our ads products. In particular, the ads we show may vary by product (for example, our video and Reels products are not currently monetized at the\nsame rate as our feed or Stories products), and from time to time we increase or decrease the number or frequency of ads we show as part of our product and\nmonetization strategies. We calculate average price per ad as total advertising revenue divided by the number of ads delivered, representing the average price\npaid per ad by a marketer regardless of their desired objective such as impression or action. For advertising revenue arrangements where we are not the\nprincipal, we recognize revenue on a net basis.\nOther revenue. Other revenue consists of revenue from WhatsApp Business Platform, net fees we receive from developers using our Payments\ninfrastructure and revenue from various other sources.\nReality Labs (RL)\nRL revenue is generated from the delivery of consumer hardware products, such as Meta Quest, wearables, and related software and content.\nCost of Revenue and Operating Expenses\nCost of revenue. Our cost of revenue consists of expenses associated with the delivery and distribution of our products. These mainly include expenses\nrelated to the operation of our data centers and technical infrastructure, such as depreciation expense from servers, network infrastructure and buildings, as well\nas payroll and related expenses which include share-based compensation for employees on our operations teams, and energy and bandwidth costs. Cost of\nrevenue also includes costs associated with partner arrangements, including traffic acquisition costs and credit card and other fees related to processing"}


created_at: 2024-06-08 06:19:44
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 73, "chroma:document": "customer transactions; RL inventory costs, which consist of cost of products sold and estimated losses on non-cancelable contractual commitments; and content\ncosts.\nResearch and development. Research and development expenses consist mostly of payroll and related expenses which include share-based\ncompensation, RL technology development costs, facilities-related costs for employees on our engineering and technical teams who are responsible for\ndeveloping new products as well as improving existing products, and restructuring charges.\nMarketing and sales. Marketing and sales expenses consist mainly of marketing and promotional expenses as well as payroll and related expenses\nwhich include share-based compensation for our employees engaged in sales, sales support, marketing, business development, and customer service functions.\nOur marketing and sales expenses also include professional services such as content reviewers to support our community and product operations and\nrestructuring charges.\nGeneral and administrative. General and administrative expenses consist primarily of legal-related costs, which include estimated fines, settlements, or\nother losses in connection with legal and related matters, as well as other legal fees; payroll and related expenses which include share-based compensation for\ncertain of our executives as well as our legal, finance, human resources, corporate communications and policy, and other administrative employees; other taxes,\nsuch as digital services taxes and other non-income-based tax levies; professional services and restructuring charges.\n73"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8aef9a-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 74, "chroma:document": "Table of Contents\nResults of Operations\nIn this section, we discuss the results of our operations for the year ended December 31, 2023 compared to the year ended December 31, 2022. For a\ndiscussion of the year ended December 31, 2022 compared to the year ended December 31, 2021, please refer to Part II, Item 7, \"Management's Discussion and\nAnalysis of Financial Condition and Results of Operations\" in our Annual Report on Form 10-K for the year ended December 31, 2022.\nThe following table sets forth our consolidated statements of income data (in millions):\nYear Ended December 31,\n2023 2022 2021\nRevenue $ 134,902 $ 116,609 $ 117,929 \nCosts and expenses:  \nCost of revenue 25,959 25,249 22,649 \nResearch and development 38,483 35,338 24,655 \nMarketing and sales 12,301 15,262 14,043 \nGeneral and administrative 11,408 11,816 9,829 \nTotal costs and expenses 88,151 87,665 71,176 \nIncome from operations 46,751 28,944 46,753 \nInterest and other income (expense), net 677 (125) 531 \nIncome before provision for income taxes 47,428 28,819 47,284 \nProvision for income taxes 8,330 5,619 7,914 \nNet income $ 39,098 $ 23,200 $ 39,370 \nThe following table sets forth our consolidated statements of income data (as a percentage of revenue):\nYear Ended December 31,\n2023 2022 2021\nRevenue 100 % 100 % 100 %\nCosts and expenses:\nCost of revenue 19 22 19 \nResearch and development 29 30 21 \nMarketing and sales 9 13 12 \nGeneral and administrative 8 10 8 \nTotal costs and expenses 65 75 60 \nIncome from operations 35 25 40 \nInterest and other income (expense), net 1 \u2014 \u2014 \nIncome before provision for income taxes 35 25 40 \nProvision for income taxes 6 5 7"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8aeffe-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 74, "chroma:document": "Provision for income taxes 6 5 7 \nNet income 29 % 20 % 33 %\n_________________________\n(1) Percentages have been rounded for presentation purposes and may dif fer from unrounded results.(1)\n74"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8af058-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 75, "chroma:document": "Table of Contents\nRevenue\nThe following table sets forth our revenue by source and by segment:\n Year Ended December 31,\n 2023 2022 20212023 vs 2022 %\nchange2022 vs 2021 %\nchange\n(in millions, except percentages)\nAdvertising $ 131,948 $ 113,642 $ 114,934 16 % (1)%\nOther revenue 1,058 808 721 31 % 12 %\nFamily of Apps 133,006 114,450 115,655 16 % (1)%\nReality Labs 1,896 2,159 2,274 (12)% (5)%\nTotal revenue $ 134,902 $ 116,609 $ 117,929 16 % (1)%\nFamily of Apps\nFoA revenue in 2023 increased $18.56 billion, or 16%, compared to 2022. The increase was almost entirely driven by advertising revenue.\nAdvertising\nAdvertising revenue in 2023 increased $18.31 billion, or 16%, compared to 2022 due to an increase in the number of ads delivered, partially offset by a\ndecrease in the average price per ad. In 2023, the number of ads delivered increased by 28%, as compared with an 18% increase in 2022 as ads impressions\ngrew in all regions during 2023, especially in Asia-Pacific and Rest of World. The increase in the ads delivered during 2023 was driven by increases in the\nnumber and frequency of ads displayed across our products and an increase in users. In 2023, the average price per ad decreased by 9%, as compared with a\ndecrease of 16% in 2022. The decrease in average price per ad was driven by an increase in the number of ads delivered, especially in geographies and in\nproducts, such as Reels, that monetize at lower rates. While the average price per ad declined year-over-year, we believe the improvements to our ad targeting\nand measurement tools have had a favorable impact on our ad performance and advertising demand. Other factors are also discussed in the section entitled \"\u2014\nExecutive Overview of Full Year 2023 Results.\" In addition, year-over-year advertising revenue growth for the full year 2023 was driven mainly by marketer"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8af0ee-255e-11ef-be8d-0242ac1c000c
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 75, "chroma:document": "spending in online commerce, which benefited from marketers based in China, consumer packaged goods, and entertainment and media. We anticipate that\nfuture advertising revenue will be driven by a combination of price and the number of ads delivered.\nOther revenue\nFoA other revenue in 2023 increased $250 million, or 31%, compared to 2022. The increase was mainly driven by WhatsApp Business Platform\nrevenue.\nReality Labs\nRL revenue in 2023 decreased $263 million, or 12%, compared to 2022. The decrease in RL revenue was mostly driven by a net decrease in the volume\nof Meta Quest sales.\nRevenue Seasonality\nRevenue is traditionally seasonally strong in the fourth quarter of each year due in part to seasonal holiday demand. We believe that this seasonality in\nboth advertising revenue and RL consumer hardware sales affects our quarterly results, which generally reflect significant growth in revenue between the third\nand fourth quarters and a decline between the fourth and subsequent first quarters. For instance, our total revenue increased 17%, 16%, and 16% between the\nthird and fourth quarters of 2023, 2022, and 2021, respectively, while total revenue for the first quarters of 2023, 2022, and 2021 declined 11%, 17%, and 7%\ncompared to the fourth quarters of 2022, 2021, and 2020 respectively.\n75"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8af148-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 76, "chroma:document": "Table of Contents\nForeign Exchange Impact on Revenue\nChanges in foreign exchange rates had a favorable impact on our total revenue in the full year 2023 compared to the same period in 2022. If we had\ntranslated revenue for the full year 2023 using the prior year's monthly exchange rates for our settlement or billing currencies other than the U.S. dollar, our\ntotal revenue and advertising revenue would have been $134.53 billion and $131.57 billion, respectively. Using these constant rates, total revenue and\nadvertising revenue would have been $374 million and $379 million lower than actual total revenue and advertising revenue, respectively, for the full year\n2023. Using the same constant rates, full year 2023 total revenue and advertising revenue would have been $17.92 billion and $17.93 billion higher than actual\ntotal revenue and advertising revenue, respectively, for the full year 2022.\nCost of revenue\nYear Ended December 31,\n2023 2022 20212023 vs 2022 %\nchange2022 vs 2021 %\nchange\n(in millions, except percentages)\nCost of revenue $ 25,959 $ 25,249 $ 22,649 3 % 11 %\nPercentage of revenue 19 % 22 % 19 %\nCost of revenue in 2023 increased $710 million, or 3%, compared to 2022. The increase was primarily driven by higher operational expenses related to\nour data centers and technical infrastructure, partially offset by a decrease in data center abandonment charges related to restructuring and lower content costs.\nSee Note 3 \u2014 Restructuring in the notes to the consolidated financial statements included in Part II, Item 8, \"Financial Statements and Supplementary\nData\" of this Annual Report on Form 10-K for additional information regarding restructuring charges.\nResearch and development\nYear Ended December 31,\n2023 2022 20212023 vs 2022 %\nchange2022 vs 2021 %\nchange\n(in millions, except percentages)\nResearch and development $ 38,483 $ 35,338 $ 24,655 9 % 43 %\nPercentage of revenue 29 % 30 % 21 %\nResearch and development expenses in 2023 increased $3.15 billion, or 9%, compared to 2022. The increase was primarily from higher payroll and\nrelated expenses driven by an increase in share-based compensation expenses."}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8af292-255e-11ef-be8d-0242ac1c000c
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 76, "chroma:document": "related expenses driven by an increase in share-based compensation expenses.\nMarketing and sales\nYear Ended December 31,\n2023 2022 20212023 vs 2022 %\nchange2022 vs 2021 %\nchange\n(in millions, except percentages)\nMarketing and sales $ 12,301 $ 15,262 $ 14,043 (19)% 9 %\nPercentage of revenue 9 % 13 % 12 %\nMarketing and sales expenses in 2023 decreased $2.96 billion, or 19%, compared to 2022. The decrease was mainly due to decreases in marketing and\npromotional expenses as well as payroll and related expenses. The payroll and related expenses decreased as a result of a decrease in employee headcount from\nDecember 31, 2022 to December 31, 2023 in our marketing and sales functions.\n76"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8af314-255e-11ef-be8d-0242ac1c000c
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 77, "chroma:document": "Table of Contents\nGeneral and administrative\nYear Ended December 31,\n2023 2022 20212023 vs 2022 %\nchange2022 vs 2021 %\nchange\n(in millions, except percentages)\nGeneral and administrative $ 11,408 $ 11,816 $ 9,829 (3)% 20 %\nPercentage of revenue 8 % 10 % 8 %\n \nGeneral and administrative expenses in 2023 decreased $408 million, or 3%, compared to 2022. The decrease was mainly due to lower payroll and\nrelated expenses, as a result of a decrease in employee headcount from December 31, 2022 to December 31, 2023 in our general and administrative functions.\nSegment profitability\nThe following table sets forth income (loss) from operations by segment:\nYear Ended December 31,\n2023 2022 20212023 vs 2022 %\nchange2022 vs 2021 %\nchange\n(in millions, except percentages)\nFamily of Apps $ 62,871 $ 42,661 $ 56,946 47 % (25)%\nReality Labs (16,120) (13,717) (10,193) (18)% (35)%\nTotal income from operations $ 46,751 $ 28,944 $ 46,753 62 % (38)%\nFamily of Apps\nFoA income from operations in 2023 increased $20.21 billion, or 47%, compared to 2022. The increase was mostly driven by higher advertising revenue\nand a decrease in marketing and sales expenses.\nReality Labs\nRL loss from operations in 2023 increased $2.40 billion, or 18%, compared to 2022. The increase in loss was mainly due to an increase in payroll and\nrelated expenses and a decrease in RL revenue.\nInterest and other income (expense), net\nYear Ended December 31,\n2023 2022 20212023 vs 2022 %\nchange2022 vs 2021 %\nchange\n(in millions, except percentages)\nInterest income $ 1,639 $ 461 $ 484 256 % (5)%\nInterest expense (446) (185) (23) (141)% NM\nForeign currency exchange losses, net (366) (81) (140) (352)% 42 %"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8af378-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 77, "chroma:document": "Other income (expense), net (150) (320) 210 53 % (252)%\nInterest and other income (expense), net $ 677 $ (125)$ 531 NM (124)%\n \nInterest and other income (expense), net in 2023 increased $802 million compared to 2022. The increase in interest income was due to a combination of\nhigher interest rates and higher balances, compared to the same period in 2022. Changes in other income (expense), net were mostly related to gains (losses)\nrecognized for our equity investments.\n77"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8af3d2-255e-11ef-be8d-0242ac1c000c
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 78, "chroma:document": "Table of Contents\nProvision for income taxes\nYear Ended December 31,\n2023 2022 20212023 vs 2022 %\nchange2022 vs 2021 %\nchange\n(in millions, except percentages)\nProvision for income taxes $ 8,330 $ 5,619 $ 7,914 48 % (29)%\nEffective tax rate 18 % 19 % 17 %\nOur provision for income taxes in 2023 increased $2.71 billion, or 48%, compared to 2022, due to an increase in income before provision for income\ntaxes.\nOur effective tax rate in 2023 decreased compared to 2022, primarily due to excess tax benefits recognized from share-based compensation in 2023 and\nthe effect of additional guidance issued by the Internal Revenue Service (IRS) providing temporary relief on foreign tax credits. This was partially offset by a\ndecrease in the proportion of U.S. tax benefits from foreign-derived intangible income relative to income before provision for income taxes and additional\nclarification issued by the IRS in September 2023 regarding research and development expenses subject to mandatory capitalization and amortization.\nEffective Tax Rate Items. Our effective tax rate in the future will depend upon the proportion between the following items and income before provision\nfor income taxes: U.S. tax benefits from foreign-derived intangible income, tax effects from share-based compensation, research tax credit, tax effects from\ncapital losses not expected to be utilized, restructurings, settlement of tax contingency items, tax effects of changes in our business, and the effects of changes\nin tax law.\nThe accounting for share-based compensation may increase or decrease our effective tax rate based upon the difference between our share-based\ncompensation expense and the deductions taken on our tax return, which depend upon the stock price at the time of employee award vesting. If our stock price\nremains constant to the January 26, 2024 price, and absent any changes to U.S. tax law, we expect our effective tax rate for the full year 2024 to be in the mid-\nteens. This includes the effects of the mandatory capitalization and amortization of research and development expenses incurred in 2023, as required by the\n2017 Tax Cuts and Jobs Act (Tax Act). The mandatory capitalization requirement increased our 2023 cash tax liabilities materially but also decreased our"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8af436-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 78, "chroma:document": "effective tax rate due to increasing the foreign-derived intangible income deduction. If the mandatory capitalization is deferred, our effective tax rate in 2024\ncould be higher when compared to current law and our cash tax liabilities could be lower.\nUnrecognized Tax Benefits. As of December 31, 2023, we had net uncertain tax positions of $6.95 billion which were accrued as other liabilities. These\nunrecognized tax benefits were predominantly accrued for uncertainties related to transfer pricing with our foreign subsidiaries, which includes licensing of\nintellectual property, providing services and other transactions, as well as for uncertainties regarding the utilization of our research tax credits. The ultimate\nsettlement of the liabilities will depend upon resolution of tax audits, litigation, or events that would otherwise change the assessment of such items. Based\nupon the status of litigation described below and the current status of tax audits in various jurisdictions, we do not anticipate a material change to such amounts\nwithin the next 12 months.\nSee Note 15 \u2014 Income Taxes in the notes to the consolidated financial statements included in Part II, Item 8, \"Financial Statements and Supplementary\nData\" of this Annual Report on Form 10-K for additional information regarding income tax contingencies.\n78"}


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topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8af490-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 79, "chroma:document": "Table of Contents\nLiquidity and Capital Resources\nOur principal sources of liquidity are our cash, cash equivalents, marketable securities, and cash generated from operations. Cash, cash equivalents, and\nmarketable securities are comprised of cash on deposit with banks, time deposits, money market funds, U.S. government and agency securities, and investment\ngrade corporate debt securities. As part of our cash management strategy, we concentrate cash deposits with large financial institutions and our investment\nholdings are in diversified highly rated securities. Cash, cash equivalents, and marketable securities were $65.40 billion as of December 31, 2023, an increase\nof $24.67 billion from December 31, 2022. The increase was mostly due to $71.11 billion of cash generated from operations, and $8.46 billion of net proceeds\nfrom the issuance of fixed-rate senior unsecured notes (the Notes) in May 2023. These increases were partially offset by $28.10 billion for capital expenditures,\nincluding principal payments on finance leases, $19.77 billion for repurchases of our Class A common stock, and $7.01 billion of taxes paid related to net share\nsettlement of employee restricted stock unit (RSU) awards.\nThe following table presents our cash flows (in millions):\nYear Ended December 31,\n2023 2022 2021\nNet cash provided by operating activities $ 71,113 $ 50,475 $ 57,683 \nNet cash used in investing activities $ (24,495)$ (28,970)$ (7,570)\nNet cash used in financing activities $ (19,500)$ (22,136)$ (50,728)\nCash Provided by Operating Activities\nCash provided by operating activities during 2023 mostly consisted of $39.10 billion net income adjusted for certain non-cash items, such as\n$14.03 billion of share-based compensation expense and $11.18 billion of depreciation and amortization expense, as well as $3.29 billion of favorable changes\nin working capital. The increase in cash flows from operating activities during 2023 compared to 2022 was mostly due to an increase in cash collection from\nour customers driven by the increase in revenue, and a decrease in payments to our vendors.\nCash Used in Investing Activities"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8af4f4-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 79, "chroma:document": "Cash Used in Investing Activities\nCash used in investing activities during 2023 mostly consisted of $27.05 billion of net purchases of property and equipment as we continued to invest in\ndata centers, servers, and network infrastructure, partially offset by $3.20 billion net proceeds from maturities and sales of marketable debt securities. The\ndecrease in cash used in investing activities during 2023 compared to 2022 was mostly due to a decrease in purchases of property and equipment.\nWe anticipate making capital expenditures of approximately $30 billion to $37 billion in 2024.\nCash Used in Financing Activities\nCash used in financing activities during 2023 mostly consisted of $19.77 billion for repurchases of our Class A common stock and $7.01 billion of taxes\npaid related to net share settlement of RSUs, partially offset by $8.46 billion proceeds from the issuance of the Notes in May 2023. The decrease in cash used\nin financing activities during 2023 compared to 2022 was mainly due to a decrease in cash paid for repurchases of our Class A common stock, partially offset\nby an increase in taxes paid related to net share settlement of employee RSU awards and a decrease in net proceeds from our debt offerings.\nFree Cash Flow\nIn addition to other financial measures presented in accordance with U.S. GAAP, we monitor free cash flow (FCF) as a non-GAAP measure to manage\nour business, make planning decisions, evaluate our performance, and allocate resources. We define FCF as net cash provided by operating activities reduced\nby net purchases of property and equipment and principal payments on finance leases.\n79"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8af54e-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 80, "chroma:document": "Table of Contents\nWe believe that FCF is one of the key financial indicators of our business performance over the long term and provides useful information regarding\nhow cash provided by operating activities compares to the property and equipment investments required to maintain and grow our business.\nWe have chosen our definition for FCF because we believe that this methodology can provide useful supplemental information to help investors better\nunderstand underlying trends in our business. We use FCF in discussions with our senior management and board of directors.\nFCF has limitations as an analytical tool, and you should not consider it in isolation or as a substitute for analysis of other GAAP financial measures,\nsuch as net cash provided by operating activities. FCF is not intended to represent our residual cash flow available for discretionary expenses. Some of the\nlimitations of FCF are:\n\u2022 FCF does not reflect our future contractual commitments; and\n\u2022 other companies in our industry present similarly titled measures differently than we do, limiting their usefulness as comparative measures.\nManagement compensates for the inherent limitations associated with using the FCF measure through disclosure of such limitations, presentation of our\nfinancial statements in accordance with GAAP, and reconciliation of FCF to the most directly comparable GAAP measure, net cash provided by operating\nactivities, as presented below.\nThe following is a reconciliation of FCF to the most comparable GAAP measure, net cash provided by operating activities (in millions):\nYear Ended December 31,\n2023 2022 2021\nNet cash provided by operating activities $ 71,113 $ 50,475 $ 57,683 \nPurchases of property and equipment, net (27,045) (31,186) (18,567)\nPrincipal payments on finance leases (1,058) (850) (677)\nFree cash flow $ 43,010 $ 18,439 $ 38,439 \nMaterial Cash Requirements\nWe currently anticipate that our available funds and cash flow from operations and financing activities will be sufficient to meet our operational cash\nneeds and fund our share repurchases and dividend payments for at least the next 12 months and thereafter for the foreseeable future. We continuously evaluate\nour liquidity and capital resources, including our access to external capital, to ensure we can finance our future capital requirements.\nLeases and Contractual Commitments\nOur operating lease obligations mostly include offices, data centers, and colocations. Our finance lease obligations include certain network"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8af5a8-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 80, "chroma:document": "infrastructure. Our facilities consolidation restructuring efforts did not materially change our operating lease obligations.\nOur contractual commitments are primarily related to our investments in servers, network infrastructure, and consumer hardware products in Reality\nLabs.\nLong-term Debt\nAs of December 31, 2023, we had outstanding long-term debt in the form of senior unsecured notes for an aggregate principal amount of $18.50 billion.\nThese notes were issued in multiple series, which mature from 2027 through 2063. Short-term and long-term future interest payments obligations as of\nDecember 31, 2023 are $848 million and $16.40 billion, respectively. Net proceeds from the offerings are used for general corporate purposes, which may\ninclude, but are not limited to, capital expenditures, share repurchases, dividend payments, acquisitions or investments.\n80"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8af60c-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
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{"source": "dataset/Meta-10-k-2023.pdf", "page": 81, "chroma:document": "Table of Contents\nShare Repurchase\nOur board of directors has authorized a share repurchase program of our Class A common stock, which commenced in January 2017 and does not have\nan expiration date. In 2023, we repurchased and subsequently retired 92 million shares of our Class A common stock for an aggregate amount of $20.03 billion,\nwhich includes the 1% excise tax accruals as a result of the Inflation Reduction Act of 2022. As of December 31, 2023, $30.93 billion remained available and\nauthorized for repurchases. In January 2024, an additional $50 billion of repurchases was authorized under this program.\nDividend\nOn February 1, 2024, we announced the initiation of our first ever cash dividend program. This cash dividend of $0.50 per share of common stock is\nequivalent to $2.00 per share on an annual basis. The first cash dividend will be paid on March 26, 2024 to all holders of record of common stock at the close\nof business on February 22, 2024.\nSubject to legally available funds and future declaration by our board of directors, we currently intend to continue to pay a quarterly cash dividend on\nour outstanding Class A common stock and Class B common stock. The declaration and payment of future dividends is at the sole discretion of our board of\ndirectors after taking into account various factors, including our financial condition, operating results, available cash, and current and anticipated cash needs.\nTaxes\nCash paid for income taxes was $6.61 billion for the year ended December 31, 2023. As of December 31, 2023, we had taxes payable of $1.14 billion\nrelated to a one-time transition tax payable incurred as a result of the Tax Act, of which $575 million is due within one year. As permitted by the Tax Act, we\nwill pay the transition tax in annual interest-free installments through 2025. Our other liabilities also include $6.95 billion related to the uncertain tax positions\nas of December 31, 2023. Due to uncertainties in the timing of the completion of tax audits, the timing of the resolution of these positions is uncertain and we\nare unable to make a reasonably reliable estimate of the timing of payments.\nLoss Contingencies"}


created_at: 2024-06-08 06:19:44
topic: persistent://default/default/c73beabd-7314-4088-9399-3d1c466cffa3
id: ee8af670-255e-11ef-be8d-0242ac1c000c
encoding: FLOAT32
metadata:
{"source": "dataset/Meta-10-k-2023.pdf", "page": 81, "chroma:document": "Loss Contingencies\nWe are involved in legal proceedings, claims, and regulatory, tax or government inquiries and investigations. We record a liability when we believe that\nit is both probable that a liability has been incurred, and that the amount can be reasonably estimated. If we determine there is a reasonable possibility that we\nmay incur a loss and the loss or range of loss can be estimated, we disclose the possible loss in the accompanying notes to the consolidated financial statements\nto the extent material. Significant judgment is required to determine both probability and the estimated amount of loss. Such matters are inherently\nunpredictable and subject to significant uncertainties, some of which are beyond our control. Should any of these estimates and assumptions change or prove to\nbe incorrect, it could have a material impact on our results of operations, financial position, and cash flows.\nSee Note 8 \u2014 Leases, Note 10 \u2014 Long-term Debt, Note 12 \u2014 Commitments and Contingencies, Note 13 \u2014 Stockholders' Equity, and Note 15 \u2014\nIncome Taxes in the notes to the consolidated financial statements included in Part II, Item 8, and \"Legal Proceedings\" contained in Part I, Item 3 of this\nAnnual Report on Form 10-K for additional information regarding leases and contractual commitments, debt, taxes, and contingencies.\nRecently Issued Accounting Pronouncements\nFor information on recently issued accounting pronouncements, see Note 1 \u2014 Summary of Significant Accounting Policies in the accompanying notes\nto the consolidated financial statements included in Part II, Item 8, \"Financial Statements and Supplementary Data\" of this Annual Report on Form 10-K.\n81"}


