Meta just released its Q1 2025 earnings report, and it’s safe to say the company is doing great.
The user base for Meta’s family of apps added 80 million people, which is an overall rise from the past figures. Similarly, it shared a strengthened advertising business that helped in strengthening the company’s core. Let’s take a look at the report in more detail below.
For starters, the current user base stands at 3.43 billion users on average in March of 2025. It’s not the best figure as the company fails to provide a breakup of which app did better than the other in March of 2025. However, the growth was overall a great one as it keeps adding more people.
There is a leap to different markets and bigger adoption for various social media platforms, including Threads. The latter hit 350M users, and we could soon get to see more details in another earnings call.
If you’d like to better understand how massive Meta’s reach is globally, its user base now entails 40% of the world’s population. So for many single firms, the reach is massive.
The company’s advertising business continues to go strong as the coverage on offer is unlike any other tech giant right now. It managed to bring in $42B during the first quarter of 2025, which is a 16% growth YoY.
The firm’s revenue for Reality Labs also entails the likes of Ray Ban Smart Glasses, which saw a fall in revenue for Q1 in 2024. The company’s Ray Ban glasses keep getting more popular with users, and that might be related to the addition of more AI tech that really transforms users’ experiences.
We do hope to see the figures rise again each year, but it’s worth a mention how Meta’s still working to make real funds from this wearables division. The arrival of new tech is not cheap. The company’s total costs for the first quarter hit a new 9% high and currently stand at $24 billion. The capital expenditure hit $13 billion.
The company is working on building more data centers for AI to be a front runner in the AI race. It’s also designing a massive VR metaverse and expanding on the AR glasses front. As you can imagine, this would really bring up costs. This is why it needs to continue growing the advertising business to fuel plans for the next level.
The core advertising business grew 5% YoY, but the average costs for ads rose 10%. So far, the investments and returns are huge, so it appears the tech giant is on the right track to success.
It continues to stay agile to adjust to major shifts in the industry whenever they come. See, when the metaverse didn’t work, it realigned its goals and projects. Hence, to see a firm of this size adapt to industry shifts is great news and remarkable.
With this news came some more important statements about Meta’s generative AI products, raking in billions in revenue this year. The predictions are high, but the company also shared how it hopes to hit a record $1.4 trillion in revenue thanks to AI by the year 2035. So in a decade, Meta hopes AI will be unmissable and a key part of its success. These were shared as part of the firm’s unsealed court documents.
This was regarding Meta fighting a lawsuit that accused it of unauthorized training for different AI works. The company continues to make huge bucks from generative AI, and it’s no surprise.
The fact that it’s engaged in different revenue-sharing contracts with different firms that host its collection of models says a lot. The firm rolled out an API for gauging its Llama models. We already know about the AI assistant that might show ads soon and provide subscription offers with state-of-the-art features. Zuckerberg shed light on this during the earnings call yesterday.
The unsealed court documents also shared how the tech giant continues to spend huge on AI product groups. The figures for this year’s budget could go above $1 billion. This does not entail the infrastructure required to run and train different AI models.
The budgets might be bigger if they entailed licensed books from those claiming Meta unlawfully took their material without consent or compensation. Therefore, the lawsuit stands in place. They chose the cheaper route of pirated online books on a bigger scale. Obviously, that saved on costs big time.
Read next:
• Product Returns Reach $890B in 2024 as Clothing Leads and Half of Americans Avoid Sending Items Back
• Microsoft's LinkedIn Sees Modest Growth in Sessions and Revenue While Analysts Question Repeated Engagement Claims
The user base for Meta’s family of apps added 80 million people, which is an overall rise from the past figures. Similarly, it shared a strengthened advertising business that helped in strengthening the company’s core. Let’s take a look at the report in more detail below.
For starters, the current user base stands at 3.43 billion users on average in March of 2025. It’s not the best figure as the company fails to provide a breakup of which app did better than the other in March of 2025. However, the growth was overall a great one as it keeps adding more people.
There is a leap to different markets and bigger adoption for various social media platforms, including Threads. The latter hit 350M users, and we could soon get to see more details in another earnings call.
If you’d like to better understand how massive Meta’s reach is globally, its user base now entails 40% of the world’s population. So for many single firms, the reach is massive.
The company’s advertising business continues to go strong as the coverage on offer is unlike any other tech giant right now. It managed to bring in $42B during the first quarter of 2025, which is a 16% growth YoY.
The firm’s revenue for Reality Labs also entails the likes of Ray Ban Smart Glasses, which saw a fall in revenue for Q1 in 2024. The company’s Ray Ban glasses keep getting more popular with users, and that might be related to the addition of more AI tech that really transforms users’ experiences.
We do hope to see the figures rise again each year, but it’s worth a mention how Meta’s still working to make real funds from this wearables division. The arrival of new tech is not cheap. The company’s total costs for the first quarter hit a new 9% high and currently stand at $24 billion. The capital expenditure hit $13 billion.
The company is working on building more data centers for AI to be a front runner in the AI race. It’s also designing a massive VR metaverse and expanding on the AR glasses front. As you can imagine, this would really bring up costs. This is why it needs to continue growing the advertising business to fuel plans for the next level.
The core advertising business grew 5% YoY, but the average costs for ads rose 10%. So far, the investments and returns are huge, so it appears the tech giant is on the right track to success.
It continues to stay agile to adjust to major shifts in the industry whenever they come. See, when the metaverse didn’t work, it realigned its goals and projects. Hence, to see a firm of this size adapt to industry shifts is great news and remarkable.
With this news came some more important statements about Meta’s generative AI products, raking in billions in revenue this year. The predictions are high, but the company also shared how it hopes to hit a record $1.4 trillion in revenue thanks to AI by the year 2035. So in a decade, Meta hopes AI will be unmissable and a key part of its success. These were shared as part of the firm’s unsealed court documents.
This was regarding Meta fighting a lawsuit that accused it of unauthorized training for different AI works. The company continues to make huge bucks from generative AI, and it’s no surprise.
The fact that it’s engaged in different revenue-sharing contracts with different firms that host its collection of models says a lot. The firm rolled out an API for gauging its Llama models. We already know about the AI assistant that might show ads soon and provide subscription offers with state-of-the-art features. Zuckerberg shed light on this during the earnings call yesterday.
The unsealed court documents also shared how the tech giant continues to spend huge on AI product groups. The figures for this year’s budget could go above $1 billion. This does not entail the infrastructure required to run and train different AI models.
The budgets might be bigger if they entailed licensed books from those claiming Meta unlawfully took their material without consent or compensation. Therefore, the lawsuit stands in place. They chose the cheaper route of pirated online books on a bigger scale. Obviously, that saved on costs big time.
Read next:
• Product Returns Reach $890B in 2024 as Clothing Leads and Half of Americans Avoid Sending Items Back
• Microsoft's LinkedIn Sees Modest Growth in Sessions and Revenue While Analysts Question Repeated Engagement Claims
