Meta CFO Emphasizes Free Cash Flow Over EBITDA, Highlights AI's Productivity Boost

Meta's Chief Financial Officer, who was born in Chengdu and raised in the United States, has made a significant impact in the tech industry. At the age of 11, she entered high school, and by 15, she was accepted into Stanford University. Her journey continued when, at 19, she joined Morgan Stanley's trading floor, where her youth initially led to some awkward moments. Despite this, her career has been marked by a series of achievements that have broken conventional norms.

In a recent interview, the CFO discussed her personal growth, career path, and insights into Meta's AI strategy. She emphasized that for a company like Meta, EBITDA is not the ultimate financial metric. Instead, free cash flow and capital expenditures are more critical. She also highlighted that not every investment needs to be successful; the key is to have a portfolio where some investments yield significant returns, validating the overall strategy. If only projects with strong paper credentials are pursued, the company may never take crucial risks.

During the interview, the CFO shared her views on Meta's talent development system and corporate culture. She noted that Meta has a strong internal succession planning culture, identifying talented individuals early in their careers and developing long-term growth plans for them. She also praised Mark Zuckerberg's feedback style, describing it as world-class—direct, respectful, and never harsh, yet always clear in its intent.

The CFO also discussed the potential of AI to enhance human productivity before it fully replaces human labor. She believes there is a "window of opportunity" where AI can make people more productive and enable new possibilities that were previously economically unfeasible or impossible. When considering the company's financial outlook, a significant part of the strategy involves not just building the next large-scale platform over the next few decades, but also understanding why investors would hold the company's stock until that time. This requires continuous delivery of comprehensive performance across various aspects of the business.