Facebook Inc (FB) Earnings Call Transcript: 2014 Q3

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

Sure. So, one of the things that is happening on mobile is that there is an increased focus for apps to do one thing really well. So, on desktop a lot of the things that might have fit well and to a single Facebook website now are in order to pass people you need to build multiple standard on different apps. So, we are seeing that with Facebook and Messenger and the work that we did to kind of split Messenger from the Facebook to give a dedicated experience on that that we think is a better experience and we are going to do more than that in the future  as well as the Facebook crib apps products that we are releasing. Part of what we’ve seen is that the use cases for products like Instagram and WhatsApp are actually more different in new on than the products that people compare them to that Facebook had already build.

So, for example on the WhatsApp and Messenger side Messenger is primarily used today for people to chat with their Facebook friends within this context of maybe it is not like a real time text, like you would send an SMS on your phone but somehow you are sending it to one of your Facebook friend if it happens to be there then you can text back and forth or maybe they will respond later. SMS and WhatsApp are more for kind of real time activity. People have contacts on WhatsApp who they wouldn’t want to make friends on Facebook, the graphs are somewhat different. So, some of the things we found interestingly to us as well was that Messenger and WhatsApp were actually growing quickly in a lot of the same countries.

I mean, there are countries that they are growing and they are different and there are growing in that they are the same which to me suggest that they are actually in more different markets than you probably intuitively would have thought and that was definitely was our understanding as we dug more into this. Same is with Instagram and the cut type of sharing that happened on Instagram versus News feed. We’ve recently started doing more to help promote and accelerate the growth of Instagram from the Facebook app itself because what we found is that by doing that our net worth growth increasing the amount of sharing people can do and connecting that they can do with our whole family of apps. So, we are definitely seeing this is all a creative and positive and we think that in the future there will probably be room for more apps for sharing as well.