Connect with us

Published

on

In this article

Andrew Bosworth AKA Boz, an advertising expert for Facebook, gives a talk at the Online Marketing Rockstars marketing trade show in Hamburg, Germany, 03 March 2017. Photo: Christian Charisius/dpa | usage worldwide (Photo by Christian Charisius/picture alliance via Getty Images)
Christian Charisius | picture alliance | Getty Images

Facebook CEO Mark Zuckerberg is turning to an old friend and former Harvard teaching assistant, Andrew “Boz” Bosworth, in a time of trouble for the company.

Last week, a damaging series of reports in The Wall Street Journal showed major problems in the company’s ecosystem, including a lack of content moderators for markets outside the U.S., an avalanche of anti-vaccine misinformation in user comments, and Facebook-owned Instagram’s negative effect on teens’ mental health.

Some of the reports said Facebook employees and execs knew of these problems but could not or would not fix them. Lawmakers have already pledged to question execs from Facebook and other Big Tech companies over social media’s effects on teens.

On Wednesday, Facebook shuffled its leadership. Mike Schroepfer, its CTO of more than eight years, will resign next year and will be replaced by Bosworth.

It’s not clear why Schroepfer is leaving, or whether it has anything to do with the Journal reports. In his note announcing his resignation, he said he hoped to dedicate more time to family and philanthropy while still helping out with recruiting and with artificial intelligence technologies as the company’s first senior fellow.

With Bosworth, Zuckerberg is once again turning to one of his most trusted deputies.

Since joining in 2006, Bosworth has gained a reputation as Zuckerberg’s go-to-fix-it guy. He has developed key products and turned around crucial divisions, including hardware and Facebook’s bread and butter: advertising. He has a reputation for being direct with his peers and subordinates. He also frequently posts his thoughts on technology, leadership and personal growth — internally and on his public blog.

Some of these thoughts are unusually blunt for a corporate exec. For instance, in a leaked memo from January 2020, Bosworth said Facebook was more like sugar than a toxin.

“While Facebook may not be nicotine I think it is probably like sugar,” he wrote. “Sugar is delicious and for most of us there is a special place for it in our lives. But like all things it benefits from moderation.”

In a 2016 memo that leaked, he wrote about an attitude among some Facebook employees that connecting people is “de facto good” even if it sometimes leads to bad outcomes, like bullying or a “terrorist attack coordinated on our tools.” After the leak, Bosworth and Zuckerberg explained that the memo was meant to criticize this mindset among Facebook employees rather than defend it.

Bosworth is also one of Facebook’s most accessible executives, posting frequently on Twitter or holding Q&A sessions on Instagram. Most recently, he launched a podcast called “Boz To The Future” where he and guests discuss the latest in technology.

He is a polarizing figure within the company as well. One former employee who spoke on condition of anonymity so as to not break is non-disclosure agreement with Facebook told CNBC that Bosworth thinks he’s a genius, but probably just got lucky in his career. However, a former company executive who worked directly with Bosworth for several years told CNBC that Bosworth is a passionate leader to work for who demands greatness out of his employees.

Facebook declined to comment.

News Feed, ads and hardware

Bosworth met Zuckerberg at Harvard as a teaching assistant in an artificial intelligence class. After Zuckerberg founded Facebook in 2004, Bosworth joined the company in January 2006 as one of the company’s earliest software engineers.

Within months, Bosworth had left his mark. He was one of the few software engineers who built what is now the most significant Facebook feature, News Feed. Prior to News Feed’s launch in September 2006, Facebook was a bunch of profiles users could jump between, leaving posts on each other’s “walls” as desired. News Feed brought all of these posts together in a single, never-ending screen, where the content just kept coming. Bosworth is regarded as the godfather of News Feed, a former executive told CNBC.

Some Facebook users were initially upset that their messages to one another were now easily visible for all their friends to see. But the feature eventually became a hit.

As Facebook transitioned from being primarily web-focused to mobile-first in 2012, Zuckerberg tapped Bosworth to lead the development of the company’s advertising products. In that role, Bosworth took a dysfunctional hodge-podge of products in a division that had been struggling, the former Facebook executive told CNBC, and he turned it into a a nearly $27 billion money-maker by the end of 2016.

In August 2017, Facebook announced that Bosworth would manage consumer hardware, including the company’s struggling skunkworks division of Building 8.

Even though Bosworth had no experience working on hardware, Zuckerberg turned to him to fix the teams, which included the virtual reality division Oculus acquired in 2014 for $2.3 billion. Oculus had barely released its first consumer headset, the Rift, a year earlier with little consumer success, and Building 8 was struggling to deliver products at the overzealous pace Facebook was expecting.

Over the past four years, Bosworth has reorganized and refocused Facebook’s hardware unit, which is now called Facebook Reality Labs.

Now, the company finally has a broad stable of hardware gadgets available for purchase. These include the Oculus Quest headset, the Portal, Portal Go, Portal+ and Portal TV video-calling devices, and smart glasses built in conjunction with Luxottica called Ray-Ban Stories. Earlier this year, Facebook also announced a new team within Reality Labs that will focus on the metaverse — a future space in virtual reality where people can meet.

Facebook has yet to break out specific sales figures for its hardware devices, but the company’s other revenue category, which includes Facebook’s Workplace enterprise software division, has grown to nearly $1.8 billion in 2020, up nearly 118% from $825 million in 2018.

Now, with a key spot needing to be filled, Zuck is turning to Bosworth again.

Continue Reading

Technology

Fentanyl, ICE and popcorn: Palantir CEO Alex Karp’s earnings call commentary

Published

on

By

Fentanyl, ICE and popcorn: Palantir CEO Alex Karp's earnings call commentary

Alex Karp, Palantir CEO, joins CNBC’s ‘Squawk on the Street’ on June 5, 2025.

CNBC

Palantir CEO Alex Karp took on a familiar target during the company’s earnings call on Monday: His critics.

“Please turn on the conventional television and see how unhappy those that didn’t invest in us are,” Karp said, after the data analytics company reported better-than-expected third-quarter results. “Enjoy, get some popcorn, they’re crying. We are every day making this company better and we’re doing it for this nation, for allied countries.”

Palantir shares are up 25-fold in the past three years, lifting its market cap to over $490 billion and a forward price-to-earnings ratio of almost 280. The stock slipped in extended trading despite the earnings beat and upbeat guidance.

Karp, who co-founded the company in 2003, said Palantir is “going to go very, very deep on our rightness” because it is “exceedingly good for America.”

The eccentric and outspoken CEO has gained a reputation over the years for his colorful — and oftentimes political — commentary in interviews, shareholder letters and on earnings calls. His essay-like quarterly letters have previously quoted famous philosophers, the New Testament and President Richard Nixon.

In Monday’s letter, Karp quoted 20th-century Irish poet William Butler Yeats and argued for a shared “national experience.” He wrote that rejecting a “shared and defined sense of common culture” poses significant drawbacks.

It’s “that pursuit of something greater, and rejection of a vacant and neutered and hollow pluralism, that will help ensure our continued strength and survival,” he wrote.

On the call, Karp pivoted from a discussion of artificial intelligence adoption to fentanyl overdoses in America, a topic he described as “slightly political.”

“I want people to remember if fentanyl was killing 60,000 Yale grads instead of 60,000 working class people, we would be dropping a nuclear bomb on whoever was sending it from South America,” he said.

Karp also commented on the company’s deals with U.S. Immigration and Customs Enforcement and the Israeli military. Earlier this year, Palantir won a $30 million deal to build ImmigrationOS for ICE, providing data on the identification and deportation of immigrants.

In 2023, Karp had a message for people in the tech industry who have misgivings about his company’s dealings with intelligence agencies and the military.

“You may not agree with that and, bless you, don’t work here,” Karp said at the World Economic Forum in Davos, Switzerland.

Palantir, which gets more than half its U.S. revenue from the government, also provided tools to Israel after the deadly Oct. 7 attack by militant group Hamas. In recent years, both Karp and the company have undertaken a fiercely pro-Israel stance.

Following the Oct. 7 attack, Palantir took out a full-page ad in The New York Times, saying it “stands with Israel” and held its first board meeting in Tel Aviv, Israel, a few months later. Karp has said the company has lost employees due to his staunch Israel stance, and he expects more to leave.

“We’re on the front line of all adversaries, including vis-à-vis China, we’re on ICE and we’ve supported Israel,” he said on the earnings call. “I don’t know why this is all controversial, but many people find that controversial.”

WATCH: Stocks like Palantir and Mag 7 are not ‘unique’ to the market, says Richard Bernstein

Stocks like Palantir and Mag 7 are not 'unique' to the market, says Richard Bernstein

Continue Reading

Technology

CNBC Daily Open: Outside AI, the market isn’t looking that hot

Published

on

By

CNBC Daily Open: Outside AI, the market isn't looking that hot

CFOTO | Future Publishing | Getty Images

The “everything store” might have secured its biggest customer yet.

On Monday, Amazon announced that it had signed a $38 billion deal with OpenAI, offering the ChatGPT maker access to Amazon Web Services’ infrastructure.

On the one hand, the move isn’t too surprising — a continuation of OpenAI’s spending spree as it looks to secure resources to run its power-hungry artificial intelligence models.

On the other, OpenAI’s turn to Amazon shows that the firm is diversifying from its reliance on Microsoft, which had been its exclusive cloud services provider until this year. That could suggest OpenAI is getting ready for an initial public offering as it looks to signal “both independence and operational maturity,” as CNBC’s MacKenzie Sigalos writes.

Amazon shares surged on the news to close at a record high. Nvidia also had a positive day after Microsoft announced it was granted a license by the U.S. government to export the AI darling’s chips to the United Arab Emirates.

While Big Tech is attracting investor interest, the rest of the market has been rather lackluster.

Even as the S&P 500 and Nasdaq Composite rose on the back of the tech behemoths, more than 300 stocks in the broad-based index ended the day lower — a warning sign that only a narrow segment of the market is faring well.

What you need to know today

Palantir’s third-quarter results beat estimates. The company foresees revenue of around $1.33 billion for the current quarter, outstripping the $1.19 billion expected by analysts, according to LSEG. Shares, however, fell 4.3% in extended trading on Monday evening stateside.

OpenAI signs a $38 billion deal with Amazon. Under the agreement, OpenAI will immediately begin running artificial intelligence processes on Amazon Web Services, harnessing Nvidia’s AI chips. Amazon shares popped 4% and closed at a record.

Microsoft gets approval to ship Nvidia chips to UAE. The U.S. Commerce Department license, granted in September, allows Microsoft to ship 60,400 additional A100 chips, involving Nvidia’s advanced GB300 graphics processing units. Shares of Nvidia rose 2.2%.

U.S. markets mostly rise. On Monday stateside, the S&P 500 and Nasdaq Composite advanced, boosted by tech shares. The pan-European Stoxx 600 ended flat. Auto stocks including Renault and Volkswagen rose.

[PRO] Growing risks to global equities. European stock markets hit highs last week. But there are several factors that might derail this upward trajectory, analysts say.

And finally…

U.S. President Donald Trump meets with Indian Prime Minister Narendra Modi in the Oval Office of the White House in Washington, DC, on Feb. 13, 2025.

Jim Watson | Afp | Getty Images

Continue Reading

Technology

Why Jim Cramer wants to load up on more shares of this DuPont spinoff

Published

on

By

Why Jim Cramer wants to load up on more shares of this DuPont spinoff

Continue Reading

Trending