Meta, the parent company of social media platforms like Facebook and Instagram, is set to introduce advertisements on its social media app, Threads, starting January 2025.

The move will allow a select group of advertisers to begin publishing ads, marking a crucial step in Meta’s strategy to monetize Threads.

According to a Reuters report, sources familiar with the matter said Meta plans to allow a small number of advertisers to begin serving ads on Threads starting in January 2025.

The initiative will be managed by a team within Instagram’s advertising division, which is leading the project. However, Meta made it clear that monetization features would not be a priority in the early stages of Threads development.

Launched in July 2023 as a competitor to X (formerly Twitter), this development marks a new phase in the growth and evolution of the platform.

Income expectations

Despite the upcoming ad rollout, Meta CFO Susan Li said Threads is not expected to be a “significant driver” of revenue in 2025 and that the company’s priority for Threads is to focus on creation of value for the consumer.

“Since our priority is to create value for the consumer, there are currently no advertising or monetization features on Threads,” » she declared.

Li also mentioned that Meta plans to introduce more features to the app over time, which could help increase its potential as a revenue-generating platform in the future.

Competitive pressure from X

Threads’ advertising strategy could give it an advantage over X, which has struggled to maintain its advertiser base since the arrival of Elon Musk.

• In August 2024, X filed a lawsuit against major companies like Mars and CVS Health, accusing them of conspiring to boycott the platform, resulting in a drop in advertising revenue.
• Advertisers have raised concerns about brand safety, especially with the platform’s content moderation policy changing under Musk.

As Meta prepares to introduce ads to Threads, it will be interesting to see how this move changes the dynamics of the social media advertising landscape.

What you need to know

Threads, which has seen rapid growth since its launch, Adam Mosseri, head of Threads and Instagram, revealed that the platform now has 275 million monthly assets users.

• This achievement highlights the platform’s growing popularity as it continues its efforts to compete with X (formerly Twitter).
• In April 2024, Meta CEO Mark Zuckerberg announced during the first quarter earnings call that Threads had surpassed 150 million monthly active users.

In July 2024, it revealed that the app launched a year before had over 175 million active users. Since then, Threads has seen substantial growth, with 275 million active users, a remarkable 57.14% increase since July.

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