Segment and Geographical Information

12 Months Ended

Dec. 31, 2022

Segments, Geographical Areas [Abstract]

Segment and Geographical Information

Segment and Geographical Information

Beginning in the fourth quarter of 2021, 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.

Our Chief Executive Officer is our chief operating decision maker (CODM), who allocates resources to and assesses the performance of each operating segment using information about the operating segment's revenue and income (loss) from operations. Our CODM does not evaluate operating segments using asset or liability information.

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). For comparative purposes, amounts for the year ended December 31, 2020 have been recast:

	Year Ended December 31,
	2022		2021		2020
Revenue:
Family of Apps	$	114,450	$	115,655	$	84,826
Reality Labs	2,159		2,274		1,139
Total revenue	$	116,609	$	117,929	$	85,965
Income (loss) from operations:
Family of Apps	$	42,661	$	56,946	$	39,294
Reality Labs	(13,717)		(10,193)		(6,623)
Total income from operations	$	28,944	$	46,753	$	32,671

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):

	December 31,
	2022		2021
United States	$	76,334	$	55,497
Rest of the world (1)	15,857		14,467
Total long-lived assets	$	92,191	$	69,964

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