Prime Highlights:
- Meta will begin showing ads on its Threads platform worldwide, marking a big step in monetizing the rapidly growing social media service.
- Threads has attracted over 400 million monthly users and is outpacing competitors in daily mobile activity.
Key Facts:
- Threads launched in July 2023 and has quickly become a major platform for users and brands alike.
- Meta plans a gradual global rollout of ads and will continue adding new features like ad formats and verification tools.
Background:
Meta, the company behind Facebook and Instagram, said on Wednesday that it will start showing ads on its Threads platform to users around the world next week. This is an important step as Meta begins earning revenue from Threads, which has grown quickly since it launched in July 2023.
Threads has now surpassed 400 million monthly active users, according to the company, and recent data suggests it has overtaken Elon Musk’s X in terms of daily mobile users globally. Analysts on Wall Street view Threads as a potentially significant revenue generator for Meta, further strengthening the company’s social media portfolio.
In an official blog post, Meta stated, “With ads on Threads, businesses can authentically join this conversation while finding new ways to connect with the people most interested in their business.” The company emphasized that the global rollout of ads will be gradual, potentially taking a few months to complete.
Threads had initially tested advertising with select users in the United States and Japan in January, laying the groundwork for the broader launch. Meta also confirmed plans to continue expanding the platform’s features, including new ad formats and third-party verification services, similar to those already available on Facebook and Instagram.
Since its debut, Threads has been positioned as a direct competitor to X, formerly known as Twitter. Threads’ fast growth has caught the attention of investors and marketers, especially as Meta gets ready to announce its fourth-quarter earnings next week.
Experts say that Threads’ many users, increasing daily activity, and new ways to earn money could make it an important part of Meta’s business. Its ads also let brands connect with users in a simple and engaging way.
With more users, Threads could grow into a top social media platform and earn more revenue for Meta.
