Facebook Earnings Conference Call Pinpoints VR as Growth Area
Facebook anticipates continued growth and investment in VR and AR sectors.
The transcript for the Facebook earnings call which covers the period of Q2, 2018 has been released. This transcript features comments by Facebook CeoMark Zuckerberg, as well as Deborah Crawford, Facebook’s Vice President of Investor Relations, Sheryl Sandberg, COO, and Dave Wehner, CFO. During the Discussion, several remarks were made about virtual reality (VR) and augmented reality (AR) and how Facebook is doing in those areas.
Zuckerberg began by noting that Facebook is still doing well, reporting ‘another solid quarter’ for the company, saying specifically: “We had another solid quarter. Revenue grew 42% year-over-year to $13.2 billion and Facebook now has more than 2.2 billion monthly active with almost 1.5 billion actives using it every day.”
Moving into VR in particular, Zuckerberg added: “Beyond apps and looking at the next ten years, we’re making a lot of progress with virtual reality. Our goal is to create that feeling of presence like you’re right there with people you care about even if you might be halfway around the world, and Oculus Go is off to a good start. And at $199, it’s going to be how a lot of people experience virtual reality for the first time.”
Wehner mentioned that spending on areas which included VR and AR would continue to grow, saying: “In addition to increases in core product development and infrastructure, this growth is driven by increasing investment in areas like safety and security, ARVR, marketing, and content acquisition.”
Later, the call was opened to questions. One came in from Eric Sheridan of UBS, who asked CFO Dave Wehner about medium to long-term projects for the company and what would be driving them. Wehner responded that some of it would be involved in investments in innovation, including areas such as artificial intelligence and augmented reality. Saying: “I would point to are things like AI as well as our investments in AR and VR. Those are things that will play out; AI in the nearer term but the investments in AR and VR are really about building the next generation of computing and that’s got a longer-term return window.”