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Mikey Madison, the shy horse rider who won an Oscar and is back in a big way

Mikey Madison burst onto the scene, won an Oscar and disappeared. Just a couple of seasons ago, the 27-year-old Los Angeles actress was everywhere in Hollywood. After a long awards campaign in which Demi Moore seemed poised to triumph at every ceremony, the Oscars delivered a surprise. Madison, still virtually unknown to the wider public, took home the Academy Award for Best Actress for her role in Anora, in which she played a sex worker in a gritty portrayal far removed from Pretty Woman and other fairy tales.

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© Monica Schipper (WireImage)

Mikey Madison, at the Dior show held in Los Angeles on May 13, 2026.
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Mark Zuckerberg keeps coming out on top

Mark Zuckerberg
Meta CEO Mark Zuckerberg.

picture alliance/Getty; Tyler Le/BI

Meta's AI gamble is suddenly looking like a win for Mark Zuckerberg.

That was far from a given. Even the Meta CEO was doubting himself. His company had poured hundreds of billions of dollars into AI investments with largely unproven results.

"Are you sure this is going to work?" he asked his 29-year-old AI chief, Alexandr Wang, at the end of last year, he recalled on a recent episode of the "Cheeky Pint" podcast.

Those risky AI bets — which one analyst compared to throwing spaghetti at the wall — as well as the massive layoffs and reorganization that came with them, are now starting to pay off. Meta beat its AI rivals to the punch with its new AI assistant, Muse, and it finally released a frontier AI model. Although Muse is bleeding cash amid high compute costs, analysts are excited by its moneymaking potential.

Zuckerberg is riding high, too. Sipping a Guinness alongside Wang during a recent podcast interview, the pair extolled Meta's AI prowess.

"You never know when you launch something how it's going to be received," the CEO said. "There's always the case where you get a home run, which in this case it was, right? And it's just like extremely well received right off the bat."

And Meta seems to believe in Zuckerberg's leadership more than ever. His latest coup: Convincing the company to issue a new class of shares after he threatened to list his Palo Alto compound and leave California as voters weigh a billionaire tax.

The big question is how long the good vibes will last. Meta is still spending gobs of money on AI without a concrete financial payoff. Some remain skeptical.

"The bill is huge," David Wagner, a portfolio manager at Aptus Capital Advisors, told Business Insider.

"He's won the narrative. He hasn't proven the return yet."

Meta's social reckoning era

Zuckerberg is no stranger to public discourse. He's undertaken multiple personas: the nerdy wunderkind in hoodies, the jacked wife guy, the unapologetically masculine Trump ally.

At the beginning of this year, it looked as if he was headed for a new reckoning, and it wasn't just because of the aptly named sequel to "The Social Network."

Zuckerberg was on trial, taking the stand in a landmark lawsuit that alleged Meta's platforms harmed the mental health of young people. (Meta was found negligent and is appealing.) It was one of three major lawsuits this year that put the company on the defensive against claims that its technology posed safety risks to children.

Mark Zuckerberg at LA courthouse
In February, Mark Zuckerberg appeared at a Los Angeles courthouse to defend the company in a landmark social media addiction trial.

Jon Putman/Anadolu via Getty Images

And there were the more typical Zuckerberg cringe moments, too, like his front-row appearance at a Prada fashion show that raised eyebrows across the internet.

On the inside, employee morale was waning. Though the billionaire CEO had called 2026 "the year of AI," Meta had little momentum, and unpopular decisions — including a program to track employee keystrokes — amplified the discontent.

Also, Meta had one of its largest rounds of layoffs, ever. Meta began trimming staff in March, followed by a huge round in May, when it laid off about 10% of its workforce.

Separately, Meta reshuffled another 7,000 workers as part of an AI-focused reorganization of its tech and product teams. Many engineers were relegated to individual contributor status. Meta later asked some of the employees it had demoted to return to their managerial roles.

The AI push didn't seem to be paying off: In the second quarter of this year, 98% of revenue came from its traditional advertising business — not AI.

Morale was "maybe not the worst it's ever been in 20 years here, but it's probably up there," Meta's chief technology officer, Andrew "Boz" Bosworth, said during an internal call in June.

The groundwork for Meta's comeback

Amid the chaos, Zuckerberg laid the groundwork for a comeback. Wang and Meta's elite AI researchers moved their desks to sit near Zuckerberg.

Starting last year, Zuckerberg and Wang also went on a talent-hiring spree, dangling pay packages worth hundreds of millions of dollars to poach top researchers.

Zuckerberg empowered key lieutenants, including former GitHub CEO Nat Friedman, to go ham on any vision they had, including on his pet project, an AI assistant. It all fit into Zuckerberg's longtime playbook of embracing small teams and overseeing reorgs until something works — move fast and break things, as he has infamously put it.

It worked.

Muse, the long-awaited Meta AI agent, became a breakout hit. A week after it launched, it shot to the top of the app store, and has since achieved more than 10 million downloads in North America. The team was stunned to have beaten OpenAI to market, a person familiar with the matter said. OpenAI's rival product, Dots, launched three weeks later.

Jolly, Meta's mascot for its Muse agent, waves.
Jolly is the mascot for Meta's Muse AI agent, which launched successfully last month.

Bloomberg/Getty Images

Meta also threw unprecedented compute and talent at building a series of frontier AI models, called Muse Wonder, that could keep up with those from giants like OpenAI and Anthropic.

On Meta's third-quarter earnings call, Zuckerberg was optimistic that Meta's AI and hardware investments could soon become cash cows, as people shop through Muse and buy more virtual-reality glasses powered by the company's growing AI chops.

Meta, meanwhile, views Zuckerberg as more critical than ever to its long-term fortunes.

Key board members abruptly excused themselves from a dinner with Zuckerberg in September after he told them he was going to sell his Palo Alto estate in response to California's proposed billionaire tax, Meta disclosed in a filing on Wednesday.

Four days later, a special committee returned with a deal that would give Zuckerberg $20 billion in "immediate liquidity" to cover the tax — if it passes — without reducing his controlling stake in Meta. Meta also made plans to ensure that billions in fresh AI fundraising wouldn't dilute Zuckerberg's control.

"Meta's track record of significant value creation for its shareholders is in large part due to his strong leadership, unique and creative vision, and exceptional management abilities," the company said in a press release.

The personal win comes as some of his other problems have blown over. Meta settled a major lawsuit brought by attorneys general across states, Washington, DC, and US territories. As part of the settlement, the company committed to make changes to its apps, such as daily time limits and pausing notifications overnight. The agreement was part of an August settlement, a move that allowed Meta to call out its competitors such as YouTube and TikTok.

"All platforms should empower parents and support teens by putting the same measures in place, because we know that when teens are restricted on one app, they simply move to another," the company said in a blog post at the time.

Big questions still loom. The day after Meta reported strong earnings and Muse adoption, its stock fell 7% as investors absorbed the scale of the company's hundreds of billions of dollars in future spending commitments.

And the legal troubles keep on coming. This week, a New Mexico jury also ordered Meta to pay a staggering $25 billion over the Cambridge Analytica scandal, a case that Meta plans to appeal.

Whether Zuckerberg's strategy is sustainable or not, the vibe shift has been notable — and may have proven naysayers wrong, at least until the next period of chaos erupts.

"Meta is cool again," Jesse Cohen, an analyst at Investing.com, said in a note. "That's the Muse effect."

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‘They should pay more than the poor’: The battle to make California’s richest give up 5% of their fortunes

Citadel is one of the most visited shopping centers in Los Angeles. But in these lean times, few customers browse its clothing, bag and shoe stores. On this hot October afternoon, Rocío López is here, treating herself to “a luxury” amid the cuts her family has made to blunt the impact every time they fill the car’s tank or do the grocery shopping. The pressure on her finances became clearer with her latest tax return: she and her husband were shocked to find they owed $8,000 to the IRS.

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© CHRIS TORRES (EFE)

Supporters at a rally for Proposition 40 in Los Angeles on October 5.
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Meta’s annus horribilis: Why it was hit with the largest fine ever imposed on a tech company

2026 has not been a good year for Meta. On Wednesday, a judge in New Mexico ordered the parent company of Facebook, Instagram and WhatsApp to pay a fine of about $25 billion after finding it guilty of misleading Facebook users about its data privacy policies.

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© Carlos Barria (REUTERS)

Meta CEO Mark Zuckerberg puts on a Meta Ray-Ban smart glass at the corporate event Meta Connect, held on September 17.
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El año negro de Meta: las claves de la mayor multa a una tecnológica por cometer 43 millones de infracciones

2026 no está siendo el mejor año para Meta. Un juez de Nuevo México, EE UU, ordenó este miércoles a la empresa matriz de Facebook, Instagram o WhatsApp el pago de una multa de unos 22.000 millones de euros al considerarla culpable de engañar a los usuarios de Facebook sobre su política de privacidad de datos.

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© Carlos Barria (REUTERS)

El director general de Meta, Mark Zuckerberg, se pone una gafas inteligentesMeta Ray-Ban Display en el evento corporativo Meta Connect, celebrado el pasado 17 de septiembre.
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Huyan de las redes sociales: propuesta de objeción de conciencia

Las redes sociales fueron recibidas hace 20 años como un gran espacio de libertad. Hoy en día ya sabemos que se han convertido en plataformas dedicadas a encubrir a delincuentes anónimos; en espacios que favorecen la mentira, la injuria y la calumnia, los mensajes de odio; que acogen los acosos sexuales y personales, la xenofobia, el machismo y el racismo, la pederastia, la pornografía infantil, los mensajes yihadistas; en lugares donde se permiten las suplantaciones de identidad (las últimas han sido las sufridas en cuentas del PP el pasado miércoles por los socialistas Begoña Gómez, José Luis Rodríguez Zapatero y José Luis Ábalos, entre otros). Por si fuera poco, su maquinaria utiliza algoritmos con sesgos polarizadores y sus directivos aplican ingenierías fiscales para evadir impuestos en los países donde obtienen los ingresos.

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© Noah Berger (AP Photo / Lapresse) (EL PAÍS)

Dawson Kelly sostiene una pancarta con nombres de jóvenes que murieron supuestamente por su uso de las redes sociales. En Oakland, California, el pasado mes de agosto.
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Meta's massive deal for Zuckerberg proves execs aren't exempt from IRL work

Mark Zuckerberg sits in a black suit and red tie, looking to the side in an indoor formal setting.
Meta's board wants its CEO, Mark Zuckerberg, to stick around — and stay local.

Kent NISHIMURA / AFP via Getty Images

  • Meta is offering CEO Mark Zuckerberg a $20 billion stock deal to keep him close to its headquarters.
  • The move speaks to a common belief that the best work happens when everyone is together in person.
  • Research suggests companies with far-flung CEOs pay a price for that distance.

Meta wants more than rank-and-file employees at the office. It wants CEO Mark Zuckerberg there, too — even if that comes at a hefty price.

The tech giant's board said in a securities filing Wednesday that it would create a new class of non-voting stock in part to keep Zuckerberg in control and give him a financial incentive to continue living near its headquarters. It described his presence at the office as "critically important" to its future success. Meta has required employees to come in at least three days a week since 2023.

Zuckerberg previously told the board he was considering moving in response to a proposed California billionaire tax. The stock deal would give the CEO $20 billion in "immediate liquidity" to cover the tax by selling stock without losing control of Meta, the filing said.

That arrangement carries particular weight at Meta, where Zuckerberg is leading the company's AI push. It also speaks to a common belief that has driven return-to-office mandates: The best work happens when people — including senior leaders — are physically together.

Staying local

Cole Rubin, cofounder of sports technology company FanFeed, said CEOs and other execs are sending a message to employees by physically working alongside them.

"You're not going to question why you're working long hours if you actually can see the leader doing the same," Rubin told Business Insider.

Having bosses in the office can also help a company move faster when unexpected opportunities arise, he said. Employees can walk into a leader's office, get an immediate answer, and act before the moment passes.

"It's not the scheduled calls where the magic happens," Rubin said. "When you have the decision-maker there, it gives people a lot of freedom to be able to feel heard."

A leader's presence is especially important during crises, said Bill George, former chairman and CEO of Medtronic, a medical-technology company. Being together lets executives quickly assess what has happened, gauge employees' reactions, and decide on a course of action.

"We've got to really feel what's going on emotionally, and we actually physically have to discuss it," he said.

George also noted that RTO demands placed on workers can ring hollow if the CEO doesn't follow them. "You've got to be there if your employees are there," he said.

Long-distance tradeoffs

Meta wouldn't have been the first company with a long-distance CEO if Zuckerberg had opted to leave the Golden State.

Brian Niccol was living in California when he was named CEO of Seattle-based Starbucks in 2024. The coffee chain had agreed as part of his hiring package not to require him to relocate. Later, it built a 4,624-square-foot satellite office five minutes from his home so he could work alongside colleagues, Business Insider first reported. Niccol has since purchased a property in Seattle.

Companies with long-distance CEOs don't perform as well on average as those with leaders on-site, according to a 2025 study by Boston College and Arizona State. They also have lower valuations and worse insider reviews, the findings show.

Meta's decision to woo Zuckerberg to stay in California was made by a special committee on its board, which said it was informed by challenges the company faced when he couldn't be physically present with management during the pandemic.

The committee said it didn't want Meta "to face similar challenges going forward."

Read the original article on Business Insider

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Mark Zuckerberg si prepara a pagare la tassa californiana sui miliardari. Meta gli dà nuove azioni per blindarlo per otto anni

Il numero uno di Meta Mark Zuckerberg si prepara a pagare la tassa sui miliardari, se la California approverà la misura. E il gruppo a cui fanno capo Facebook, Instagram e Whatsapp corre ai ripari per consentirgli di farlo senza mettere a rischio il controllo della società. Meta infatti, come emerge da un documento depositato alla Securities and Exchange Commission, distribuirà ai soci nuove azioni di classe C prive di diritto di voto in aggiunta a quelle già possedute. Zuckerberg potrà vendere o trasferire immediatamente il 20% dei titoli che riceverà, una quota equivalente a circa il 10% della sua partecipazione. E potrà usare il ricavato per saldare l’eventuale imposta. In cambio si impegna a mantenere la residenza in California per i prossimi otto anni.

L’intesa arriva a meno di due settimane dal referendum del 3 novembre sulla Proposition 40, che propone una patrimoniale una tantum del 5% sulle fortune dei circa 250 miliardari residenti nel Golden State e l’utilizzo del gettito per finanziare la sanità depauperata dai tagli di Trump e programmi per l’istruzione e l’assistenza alimentare. In caso di successo, segnerebbe una svolta per il dibattito sulla tassazione della ricchezza.

Secondo i documenti societari Zuckerberg, il cui patrimonio è stimato intorno ai 240 miliardi di dollari, aveva comunicato a un Comitato speciale di amministratori indipendenti di star valutando il trasferimento della residenza fuori dallo Stato per cercare di dribblare un’imposta che nel suo caso varrebbe circa 10 miliardi. Per pagare il conto avrebbe infatti dovuto vendere parte delle azioni di classe B, quelle che gli garantiscono diritti di voto maggiorati: la sua quota di controllo sarebbe scesa dal 60,6% a circa il 53%. Il Comitato speciale, ritenendo “di fondamentale importanza mantenere il Sig. Zuckerberg in una posizione di leadership all’interno della nostra azienda” e far sì che “che continui a risiedere e a gestire l’Azienda dalla nostra sede centrale in California per garantire la sua continua capacità di guidare efficacemente le nostre prestazioni durante quest’era di sfide e concorrenza senza precedenti”, ha trovato giocoforza una soluzione: una riorganizzazione della struttura azionaria. Meta distribuirà appunto ai soci dal gennaio 2027 nuove azioni di classe C, prive di diritto di voto, in aggiunta a quelle già possedute.

L’economista francese Gabriel Zucman, che da anni studia la concentrazione della ricchezza e le modalità per tassare i grandi patrimoni, ha scritto su X che la decisione è la prova che “la campagna per la Proposition 40 sta funzionando”: viene meno infatti l’argomento usato da molti oppositori secondo cui i miliardari “non potrebbero” versare il dovuto pena la perdita del controllo delle loro compagnie. Se messi alle strette, evidentemente, si può fare.

Da notare, peraltro, che come ricorda il documento inviato alla Sec dal 2013 Zuckerberg riceve uno stipendio annuo simbolico di un dollaro come amministratore delegato e presidente del gruppo. La società lo utilizza come argomento per motivare la sua necessità di liquidità. Ma il punto è che la sua ricchezza deriva soprattutto dal valore delle azioni Meta, che può crescere senza tradursi in reddito imponibile. È un meccanismo comune tra i grandi miliardari: finché le azioni non vengono vendute, l’incremento di valore resta generalmente una plusvalenza non realizzata e non è tassato come reddito da capitale. Il risultato che, a fronte della impressionante concentrazione delle fortune nelle mani di pochi, quei pochi riescono a versare meno tasse rispetto a un lavoratore del ceto medio. La patrimoniale una tantum proposta da un sindacato di lavoratori della sanità punta a correggere in parte questa asimmetria.

Come da copione l’opposizione alla misura è stata però violenta: molti grandi nomi della Silicon Valley, fallito l’obiettivo di impedire che la proposta promossa arrivasse alle urne, hanno messo in campo tutto il proprio arsenale finanziario e non solo per convincere gli elettori a bocciarla. Tra campagne di disinformazione e sostegno ad altre misure referendarie che potrebbero impedirne l’entrata in vigore. Alcuni miliardari, tra cui i cofondatori di Google Larry Page e Sergey Brin, hanno valutato o annunciato di volersene andare. Anche se, come evidenziato da Zucman, sulla carta per avere successo il trasferimento fiscale avrebbe dovuto essere completato entro fine dicembre 2025: il testo infatti individua i potenziali contribuenti in base alla residenza al 1° gennaio 2026. L’eventuale trasferimento di Zuckerberg, ipotizzato per ottobre di quest’anno, sarebbe stato quindi al massimo un tentativo in extremis per tentare di contestare la propria assoggettabilità alla tassa, ma non una garanzia di esserne escluso.

L'articolo Mark Zuckerberg si prepara a pagare la tassa californiana sui miliardari. Meta gli dà nuove azioni per blindarlo per otto anni proviene da Il Fatto Quotidiano.

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New Mexico Judge Orders Meta To Pay $25 Billion in Cambridge Analytica Case

A New Mexico judge has ordered Mark Zuckerberg's Meta to pay $25 billion in penalties over its handling of the Cambridge Analytica data scandal, according to a court filing issued Wednesday.

The post New Mexico Judge Orders Meta To Pay $25 Billion in Cambridge Analytica Case appeared first on Breitbart.

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Meta acuerda con Mark Zuckerberg que permanezca en California pese a que amenazaba con trasladarse por el impuesto a la riqueza

Meta quiere que Mark Zuckerberg siga viviendo en California. La junta del grupo tecnológico ha alcanzado un acuerdo con el fundador de la compañía para que renuncie a trasladarse a otro estado, como había manifestado, ante el incremento de la factura tributaria que le supondría el nuevo impuesto sobre la riqueza que ultiman las autoridades demócratas en el Estado Dorado.

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© picture alliance (dpa/picture alliance via Getty Images)

El consejero delegado de Meta, Mark Zuckerberg, durante una conferencia en Menlo Park en California sobre las nuevas gafas inteligentes.
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Dem Rep. Kamlager-Dove on Zuckerberg Considering Leaving CA Over Wealth Tax: Need Federal Rules So People 'Can't Cherry-Pick States'

On Wednesday’s broadcast of Bloomberg’s “Balance of Power,” Rep. Sydney Kamlager-Dove (D-CA) responded to Meta CEO Mark Zuckerberg considering leaving the state over a possible wealth tax by stating that there are questions about having a one-time tax, but “it’s disappointing

The post Dem Rep. Kamlager-Dove on Zuckerberg Considering Leaving CA Over Wealth Tax: Need Federal Rules So People ‘Can’t Cherry-Pick States’ appeared first on Breitbart.

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Meta investors will get free shares if Mark Zuckerberg hits 'extraordinary' targets

Mark Zuckerberg is the founder and CEO of Meta.
Mark Zuckerberg is the founder and CEO of Meta.

Bloomberg/Getty Images

  • Meta will give its investors free shares if Mark Zuckerberg hits certain "extraordinary" targets.
  • It will pay 1:1 share dividends each time Meta stock doubles and has compounded at over 10% a year.
  • Meta is rolling out Class C shares to address Zuckerberg's tax concerns and keep him in California.

Meta stockholders are set to receive free shares if Mark Zuckerberg absolutely crushes it as CEO.

The social-media giant revealed in a Wednesday filing that if its upcoming Class C shares double from a baseline price of $580.60 to just over $1,161, and their compound annualized return since September 10 has been at least 10%, shareholders will receive a dividend: a Class C share for every Meta share they own.

If Meta stock — specifically its 30-day volume-weighted average price — doubles again to around $2,322, and has risen by at least 10% on average per year, shareholders will receive the same dividend again, and so on.

Meta, which owns Facebook, WhatsApp, Instagram, and the AI agent Muse, acknowledged how difficult it will be to unlock those dividends, describing the stock price targets as "extraordinary" in its filing.

Its stock has already surged more than sevenfold from its November 2022 low, giving Meta a nearly $1.8 trillion market capitalization that ranks it among the 10 most valuable companies in the world.

The additional dividends would be paid on top of the initial dividend declared by Meta's board on Wednesday, which will see Class A and Class B shareholders receive Class C shares on a 1:1 basis, likely in late January.

Meta is rejigging its share structure in response to Zuckerberg's concerns about California's so-called billionaire tax: a one-off, 5% wealth tax on the roughly 250 billionaires living in the state.

Zuckerberg, who ranked fifth on the Bloomberg Billionaires Index with a $247 billion net worth at Wednesday's close, will be able to sell the Class C shares to access the liquidity needed to pay the tax, avoiding a sale of his existing shares that would erode his voting power.

Meta's board took action after Zuckerberg said he was considering moving out of California because of the potential tax, and cautioned that the steps involved in relocating, such as listing his home for sale, could spark questions from employees about the company's management, the filing says.

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Meta strikes deal with Mark Zuckerberg to help him foot billionaire tax bill

Chief executive agrees to remain in California for eight years even if state brings in one-off 5% wealth tax

Meta has struck a deal with Mark Zuckerberg to help him foot a possible California wealth tax targeting billionaires.

The social media company behind Facebook, Instagram and WhatsApp revealed on Wednesday night that the arrangement would keep its chief executive living in California, where Meta’s headquarters are located.

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© Photograph: Mario Anzuoni/Reuters

© Photograph: Mario Anzuoni/Reuters

© Photograph: Mario Anzuoni/Reuters

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How Mark Zuckerberg Pushed Meta to Shield Him From California’s Proposed Wealth Tax

The billionaire told Meta’s board that he planned to list his Silicon Valley home for sale. The company remade its stock structure to help him pay the tax if voters pass it.

© Victor Llorente for The New York Times

Mark Zuckerberg, the chief executive of Meta, at his home in Lake Tahoe, Calif. He has another California home in Palo Alto, close to Meta’s headquarters.
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Mark Zuckerberg considered leaving California over the billionaire tax

Meta CEO Mark Zuckerberg
Meta CEO Mark Zuckerberg.

Finn Gomez/Getty Images

  • Meta CEO Mark Zuckerberg considered moving out of California because of a proposed billionaire tax.
  • Zuckerberg would get $20 billion in "immediate liquidity" if the billionaire tax passes.
  • Meta made the offer to Zuckerberg to help keep him in California after he considered leaving.

Meta CEO Mark Zuckerberg considered moving out of California because of its proposed billionaire tax, Meta disclosed in a new SEC filing on Wednesday.

Next month, Californians will vote on Proposition 40, a one-time tax on the assets of the state's billionaires.

The filing said that Zuckerberg told a special committee formed by Meta that he was considering moving.

In response, the committee concluded that it was "critically important" for Zuckerberg to keep running Meta close to its Silicon Valley headquarters — particularly to its AI division, Meta Superintelligence Labs.

The filing said the committee got Zuckerberg to agree to remain in California or any other jurisdiction where Meta has its corporate headquarters for eight years, barring unforeseen circumstances.

As part of its efforts to ensure he can remain in charge as it raises more cash for its AI initiatives, the company is granting the Meta CEO a new stock class.

The shares would give Zuckerberg $20 billion in "immediate liquidity" to cover the tax by selling stock without losing control of Meta, if the tax passes. The new shares wouldn't add to Zuckerberg's net worth or increase his percentage ownership of Meta.

"The goal is to keep Mr. Zuckerberg continuing to lead the Company from California," the filing says.

Meta declined to comment. A person familiar with the matter said that the new class of shares, which totals $150 billion, is also intended to raise capital, compensate employees, and keep Meta's stock price on the right track.

Meta's filing showcases how tech billionaires are responding to the tax proposal. Some, including Google cofounder Sergey Brin and former CEO Eric Schmidt, poured hundreds of millions of dollars into attack ads against the proposal.

While Zuckerberg has taken a lower-key approach, it's clear he's been taking the proposed tax seriously.

The Meta CEO, who is worth about $240 billion according to Forbes, has multiple residences in California, including in Palo Alto and Lake Tahoe.

He also has a sprawling property portfolio outside the state, including a doomsday bunker in Hawaii, a waterfront mansion in Miami, and a castle in Ireland.

Have a tip? Contact this reporter securely on Signal at charlesrollet.12 or +1-628-282-2811. Use a personal email address and a non-work device; here's our guide to sharing information securely.

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Meta creates a new stock class to keep Zuckerberg in control

Mark Zuckerberg smiles while holding a smartphone on a blue-lit presentation stage.
Meta wants to continue its "founder-led model" — so it's creating a new stock class.

Bloomberg/Getty Images

  • Meta established a new class of stock to ensure Mark Zuckerberg stayed as CEO.
  • The stock class will "continue the founder-led model that has driven the company," Meta said in its third-quarter earnings.
  • Zuckerberg has taken a leading position in Meta's AI era.

Meta's board wants Mark Zuckerberg to stick around.

The company announced a new category of non-voting Class C stock in its third-quarter earnings report. It listed several reasons for creating the new class — one of which is to keep the CEO in control.

A Special Committee established by Meta's board determined that Zuckerberg was the best fit to lead the company into its future, and highlighted the CEO's creative vision and management abilities.

"The creation of the Class C common stock will continue the founder-led model that has driven the company's success since its inception," Meta said.

The stock class will also provide Meta the ability to finance its growth, the earnings report said. Meta is spending big on AI and the data centers needed to power it. The company reported $34.91 billion in third-quarter capital expenditures.

Meta's press release said the distribution would effectively amount to a two-for-one stock split for existing shareholders. Susan Li, Meta's chief financial officer, said that the stock will be distributed to existing shareholders.

Other tech companies have issued stock to access new capital without diluting their CEO's voting power. Google performed a stock split in 2012 for a similar reason. Semafor was first to report the new stock class.

Zuckerberg has long been the face of Meta. He's strengthened his leadership through the AI boom, going "startup mode" and getting hands-on with the tech. The company's AI team set up their desks around where Zuckerberg sits.

The success of Muse, Meta's AI agent, has raised the profile of another Meta executive: Alexandr Wang. The chief AI officer has joined Zuckerberg for podcasts and spoken onstage at keynotes.

A Financial Times profile last week touted Wang as a "potential successor to Zuckerberg." It's clear the board wants Zuckerberg there for the long haul.

Read the original article on Business Insider

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Meta CEO Mark Zuckerberg says Muse and Reality Labs are highly unprofitable — for now

Meta CEO Mark Zuckerberg
Meta CEO Mark Zuckerberg.

Finn Gomez/Getty Images

  • Meta's AI agent, Muse, is unprofitable due to "very high compute costs," CEO Mark Zuckerberg says.
  • Meanwhile, Meta expects Reality Labs, its AI glasses division, to lose $15 billion next year.
  • The social media giant has a plan to fix that.

Meta says some of its biggest cash incinerators could finally start turning profits.

The social media giant, which generated over 97% of its quarterly revenue from ads, has faced persistent questions from investors about the lack of profitability in its AI and hardware initiatives.

Meta CEO Mark Zuckerberg addressed those concerns head-on during its third-quarter earnings call on Wednesday.

Zuckerberg said that Muse, the AI assistant it launched last month, is unprofitable since it's "very compute intensive to run." Meta expects to start turning that around next year by massively improving Muse's efficiency.

"If compute efficiency continues improving quickly for another few years, which we think is highly likely, then Muse will be highly profitable over multiple years," he said.

Meta plans to make money from Muse by taking a small transaction fee off of purchases it drives, Zuckerberg said at Meta's Connect conference last month.

Zuckerberg added that Muse, which launched only in the US and Canada, wasn't launched globally due in part to the amount of compute it requires. (Meta's North American users are generally its most lucrative.)

Zuckerberg also struck a positive note about its cash-hemorrhaging Reality Labs division, which makes products like Meta Ray-Bans and virtual reality glasses.

Meta expects Reality Labs to narrow its losses to about $15 billion in 2027, down from the $18 to $19 billion it expects to lose this year. The division should start trending toward profitability next year, as Meta's AI systems make it more useful, Zuckerberg said.

"I continue to believe that the path to delivering holographic experience, of bringing together the physical and digital worlds and everyday glasses, will come through VR first," Zuckerberg said.

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