CLAIM #41847 · Meta Platforms Inc. (META) · 2024Q4 earnings call · Jan 29, 2025 · due Dec 31, 2025
“Our expectation going forward is that we’ll be able to use both our non-AI and AI servers for a longer period of time before replacing them, which we estimate will be approximately 5.5 years.”
Susan Li · CFO
In context
“of thousands of advertisers already using it monthly. Next, I would like to discuss our approach to capital allocation. Our primary focus remains investing capital back into the business, with infrastructure and talent being our top priorities. On the first, we expect compute will be central to many of the opportunities we’re pursuing as we advance the capabilities of Llama, drive increased usage of generative AI products and features across our platform, and fuel core ads and organic engagement initiatives. We’re working to meet the growing capacity needs for these services by both scaling our infrastructure footprint and increasing the efficiency of our workloads. Another way we’re pursuing efficiencies is by extending the useful lives of our servers and associated networking equipment. Our expectation going forward is that we’ll be able to use both our non-AI and AI servers for a longer period of time before replacing them, which we estimate will be approximately 5.5 years. This will deliver savings in annual CapEx and resulting depreciation expense, which is already included in our guidance. Finally, we’re pursuing cost efficiencies by deploying our custom MTIA silicon in areas where we can achieve a lower cost of compute by optimizing the chip to our unique workloads. In 2024 we started deploying MTIA to our ranking and recommendation inference workloads for ads and organic content. We expect to further ramp adoption of MTIA for these use cases throughout 2025 before extending our custom silicon efforts to training workloads for ranking and 0recommendations next year. From a hiring standpoint, our focus continues to be on adding technical talent to support our strategic priorities. In the fourth quarter, nearly 90% of our year-over-year headcount growth wa”
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SEC filings for META ↗ · Claim quote is verbatim from the 2024Q4 earnings call.