Segment and Geographical Information

6 Months Ended

Jun. 30, 2023

Segments, Geographical Areas [Abstract]

Segment and Geographical Information

Segment and Geographical Information

We report our financial results for our two reportable segments: Family of Apps (FoA) and Reality Labs (RL). FoA includes Facebook, Instagram, Messenger, WhatsApp, and other services. RL includes augmented and virtual reality related consumer hardware, software, and content. Our operating segments are the same as our reportable segments.

Revenue and costs and expenses are generally directly attributed to our segments. These costs and expenses include certain product development related operating expenses, costs associated with partnership arrangements, consumer hardware product costs, content costs, and legal-related costs. Indirect costs are allocated to segments based on a reasonable allocation methodology, when such costs are significant to the performance measures of the operating segments. Indirect cost of revenue is allocated to our segments based on usage, such as costs related to the operation of our data centers and technical infrastructure. Indirect operating expenses, such as facilities, information technology, certain shared research and development activities, recruiting, and physical security expenses, are mostly allocated based on headcount.

The following table sets forth our segment information of revenue and income (loss) from operations (in millions):

	Three Months Ended June 30,				Six Months Ended June 30,
	2023		2022		2023		2022
Revenue:
Family of Apps	$	31,723	$	28,370	$	60,029	$	55,583
Reality Labs	276		452		616		1,146
Total revenue	$	31,999	$	28,822	$	60,645	$	56,729
Income (loss) from operations:
Family of Apps	$	13,131	$	11,164	$	24,351	$	22,647
Reality Labs	(3,739)		(2,806)		(7,732)		(5,766)
Total income from operations	$	9,392	$	8,358	$	16,619	$	16,881

For information regarding revenue disaggregated by geography, see Note 2 — Revenue.

The following table sets forth our long-lived assets by geographic area, which consist of property and equipment, net and operating lease right-of-use assets (in millions):

	June 30, 2023		December 31, 2022
United States	$	83,711	$	76,334
Rest of the world (1)	17,193		15,857
Total long-lived assets	$	100,904	$	92,191

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(1)    No individual country, other than disclosed above, exceeded 10% of our total long-lived assets for any period presented.