Meta Shifts Focus to AI-Generated Social Feeds as Next Major Media Format
Meta CEO Mark Zuckerberg has indicated a significant strategic shift towards an AI-generated social feed, signaling his belief that AI will become the next major media format. He envisions AI enhancing feeds to be "more immersive and interactive," outlining an evolution from text to photos, then video, with AI enabling new immersive and interactive media experiences.
Zuckerberg believes AI will become the next major media format, enhancing feeds to be "more immersive and interactive."
AI Integration Across Meta's Apps
Zuckerberg expects Meta's applications to transition from traditional algorithms recommending content to advanced AI that can "understand" users and deliver personalized content. Crucially, this AI will also be capable of generating "great personalized content." This vision aligns with previous statements about integrating a "huge corpus of content" into recommendation systems as AI facilitates content creation and remixing.
As an early implementation, Meta has already introduced a "Vibes" feed within the Meta AI app, which features short, AI-generated videos.
Envisioning Future Media Formats
Looking ahead, Zuckerberg hinted at revolutionary formats that would allow users to create entire worlds or games using simple prompts, which could then be shared. He also suggested that traditional videos could evolve to become fully interactive.
Videos could become interactive, enabling users to "tap on and jump into it and… experience it in a more meaningful way."
Metaverse Goals Realigned Amidst Financial Performance
During the recent earnings call, Meta's metaverse goals were notably de-emphasized. Instead, Zuckerberg stated that investments in virtual reality (VR) and Horizon Worlds would now complement AI advancements, with these immersive experiences increasingly delivered via mobile platforms.
Meta's Reality Labs, the division encompassing its metaverse initiatives, reported a substantial $6.02 billion operating loss in the final quarter of 2025. This financial report followed earlier actions in the month, where Meta laid off at least 1,000 employees within the division and closed three VR studios.
Strong Financials and New Revenue Streams
Despite the losses incurred by Reality Labs, Meta reported robust overall financial performance. The company achieved a total revenue of $59.9 billion and a net income of $22.8 billion for the final quarter of 2025.
To expand its revenue streams, Meta plans to monetize its Meta AI chatbot. Zuckerberg specifically mentioned opportunities for "subscriptions and advertising" for Meta AI.