Category: In the News

Using large language models for ranking is a future bet, not a current reality at Meta. 

The company’s CFO Susan Li made the admission at the Morgan Stanley Technology, Media and Telecommunications conference in San Francisco on Wednesday (March 4). In an industry where execs routinely overstate how far along their AI transformation actually is, Li’s candor was notable.

Meta runs one of the most sophisticated content and advertising targeting systems ever built. Every time someone opens Instagram or Facebook, algorithms decide in milliseconds what they see. That system, known internally as ranking and recommendation, is the invisible engine behind the company’s $160 billion-plus annual revenue. It is also, according to Li, not yet meaningfully powered by LLMs — the same class of tech behind ChatGPT, Claude and Gemini.

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The legacy agency model, long overdue for a reckoning, is finally being rebuilt from the ground up — with creators at the center.

The old agency model — brokering deals, manually sourcing talent and running slow, service-heavy operations that treated creators like traditional talent — came of age in a fragmented market. But that model is giving way to something faster, more scalable, and built around how creators actually operate today.

Take Shorthand Studios, an agency based in Los Angeles, which has worked with health content creator Nick Norwitz on his branding and testing strategies across YouTube and Substack for a year. He told Digiday that within the last year, the views on his YouTube channel have grown 442% and his subscribers have grown by over 650,000, while his Substack (written content, without video) has grown by almost 800%.

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