Meta CEO Zuckerberg: TikTok is a very strong competitor

On the morning of February 3, Beijing time, Meta (formerly Facebook) today released its unaudited financial statements for the fourth quarter and the whole year of fiscal year 2021 as of December 31.
The report shows that Meta's revenue in the fourth quarter was 33.671 billion US dollars, an increase of 20% compared with 28.072 billion US dollars in the same period last year;
The net profit was US $10.285 billion, down 8% compared with the net profit of US $11.219 billion in the same period of last year, the first decline in net profit since the second quarter of 2019, and the market expected US $10.9 billion.
The company said that it expected revenue in the first quarter to be $27 billion to $29 billion, less than the market's expected $30.25 billion.
After the release of the financial report, Mark Zuckerberg, Chairman and Chief Executive Officer, Sheryl Sandberg, Chief Operating Officer and David Wehner, Chief Financial Officer of the Company, answered the questions of analysts.
The following is the transcript of the conference call: Morgan Stanley analyst Brian Nowak: I have two questions.
The first is about the transition of Reels' short video business.
The company has also completed the successful transition of other businesses in the past, such as mobile terminal (Mobile) and stories.
Is there anything different for Reels' short video business in terms of business improvement and expansion, or what challenging work has occurred in the process, making the transition take longer? The second question is for David.
You mentioned that the difficulties in advertising target placement and effect evaluation will be greater in the first quarter of this year.
Is this compared with the same period last year? Based on which signals did the company make such a judgment? David Weiner: During the transition process, Reels has some characteristics similar to those of other businesses before.
Like to complete the successful transition of story business, the effective operation of short videos on Instagram and Facebook platforms needs to pay special attention to the improvement of user experience, so that consumers can have a comfortable use experience.
In time, Reels hopes that the short video mode can be more suitable for advertising as the story function, We are also confident in the commercialization of this business model.
At this stage, we have few advertisements in Reels business, which is what we call a disadvantage.
With regard to iOS 14, Apple's policy adjustment did have an impact on the company's revenue in the fourth quarter of last year, and the extent of the impact was in line with our expectations.
It was basically similar to the situation in the third quarter.
At the same time, we expect that the similar impact will continue in the first quarter and second quarter of this year, because the company's performance in the first half of last year had no impact of the new policy.
On the whole, we think that the policy adjustment of iOS 14 is really bad for the performance growth this year.
The total revenue affected is 10 billion dollars, which is a very big