The short version

Ben Thompson predicted on January 1, 2024: “Despite market concerns about its substantial capital expenditures, Thompson believes that Meta's advertising model is undervalued.” Verdict: Called it. By mid-2026, Meta's advertising revenues have largely recovered and grown, supported by improved AI-driven targeting. Analyst commentary increasingly acknowledges Meta's ad business and AI-powered recommendation systems as key strengths, validating Thompson's assessment that its…

Prediction by

Ben Thompson

On January 1, 2024

“Despite market concerns about its substantial capital expenditures, Thompson believes that Meta's advertising model is undervalued.”

Follow-up

By mid-2026, Meta's advertising revenues have largely recovered and grown, supported by improved AI-driven targeting. Analyst commentary increasingly acknowledges Meta's ad business and AI-powered recommendation systems as key strengths, validating Thompson's assessment that its model was "undervalued" despite high capital expenditures.

From the High Caliber AI network — see the AI for PR module in the course.