Meta Platforms, Inc. (META) vs Netflix, Inc. (NFLX)

Meta Platforms, Inc. is the world’s largest social media company, reaching nearly 4 billion monthly active users globally. Its core business, known as the Family of Apps, includes Facebook, Instagram, Messenger, and WhatsApp. Users rely on these platforms for a wide range of activities, from staying connected with friends and following public figures to operating digital businesses at no cost. Meta monetizes its ecosystem by using customer data generated across its apps to sell advertising to digital marketers. Although the company has invested significantly in Reality Labs, that segment still represents only a small portion of Meta’s total revenue.

Netflix Inc. operates a straightforward business model centered on a single core offering: its streaming service. The company has the largest television entertainment subscriber base in both the United States and international markets, with more than 300 million subscribers worldwide. Netflix reaches nearly the entire global population outside China. Traditionally, the company has avoided maintaining a regular lineup of live programming or sports content, focusing instead on on-demand access to episodic series, films, and documentaries. In 2022, Netflix launched ad-supported subscription plans, adding exposure to the advertising market alongside subscription fees, which had previously generated nearly all of its revenue.