Facebook has long been a leader in social networking and is a major source of revenue for the company.
But its share of the global internet is falling rapidly and it is being squeezed by competitors such as Google, Twitter and Microsoft.
The company has already begun a $3.4 billion bid to buy WhatsApp, but it has yet to be accepted by the Federal Court and is set to miss its initial target of $8 billion.
Facebook CEO Mark Zuckerberg in London on Wednesday said the company had started to address its “unmet demand” for content by offering “premium, high-quality” content.
But he also said that the company’s “unimaginable” growth was slowing and it had started “to realize we have to take some actions to address the growth of the advertising ecosystem”.
“Our business has always been about delivering the best content, and the new business model is the new frontier,” he said.
Zuckerberg said the business model that would drive growth would involve creating a new platform that “will enable people to engage with each other in new ways”.
Facebook has already created a series of premium social networking apps for mobile devices, including the Facebook app, Facebook Messenger, Messenger, and WhatsApp.
The first of these, Messenger for Android, launched in 2014 and was bought by Apple in July.
Facebook’s other products include the Facebook Messenger mobile app, the Facebook News app, and Facebook’s Messenger for desktop.