Document Version: 1.0
Date: 7/27/25
Issue Reference: React Issue #34014
Research Tool: octocode-mcp
The React Compiler exhibits conservative behavior when optimizing function calls returned from custom hooks, leading to missed memoization opportunities. Functions that are referentially stable and return deterministic values are not automatically memoized, requiring manual useMemo wrapping to achieve optimization. This document provides a comprehensive technical analysis of the root cause, current implementation details, and potential solutions.