Facebook Inc (FB) Earnings Call Transcript: 2014 Q3

Page 12 of 20

David B. Fischer, Vice President – Business and Marketing Partnerships, Facebook

Heather, yes! And for the range of guidance it is wider. It is obviously an early view in 2015 and so consequently it is a wide range, giving you the best view that we have on it at this time and we will be updating that in the future in terms of expense guidance range we had in the past on an annual basis each quarter. So, either the big drivers will be things like the pace of hiring or the success we had in building the great teams that we want to build Facebook but we will be updating that as on and off basis.

Operator

Here is the next question. It comes from Eric Sheridan from UBS. Your line is open.

Eric Sheridan, UBS

Great! Thanks for taking the questions! Mark, you made comment about public contents and the way that’s evolved on Facebook. Love to get deeper thoughts there. What do you think a content distributions for develops on Facebook over the longer term? And then one for Sheryl. With the ad tag acquisitions and loop shoots  made over the last year to two, I wanted to know when you think we should be looking at ad texting fully deployed in the market place and what sort of returns might generate from Facebook?

Thanks!

Mark Zuckerberg, Chairman of the Board, Chief Executive Officer, Facebook

Sure. Well, I can start talking about public content. So, historically a lot of people use Facebook for sharing moments of their lives with their friends and smaller sets of people, right. So, we have Messenger for one to one communication, group side just reached 700 million monthly active this quarter and then news feed which is kind of the primary thing that people are using to share with all their friends at once. And one of the big things we are looking at this eco system – thought is a big opportunity is the public content. It is content which people are either comfortable of sharing with everyone or want to consume that is public and shared with everyone. So, we are looking at a few public areas.

Video is a very big priority, news is a very big priority because a lot of people want to share that on Facebook already and enabling public figure whether they are celebrities, athletes or actors, or politicians, or leaders in different kind of communities to get on Facebook and use the platform to distribute the content they want. So, those are the three areas that you will probably see investing the most in over the next year. So, we are making a lot of progress and I shared some of the stuff before but we are very proud of what we are doing and we will have more to report then.

Page 12 of 20