Meta's Threads, the social media platform launched as a competitor to Twitter, is set to introduce advertising for its users, marking a significant shift from its previously advertisement-free model. Adam Mosseri, head of Instagram and Threads, has announced the commencement of this advertising experiment, which will initially be shown to a select group of users based in the United States and Japan.
Since its launch on July 5, 2023, Threads has attracted considerable attention and amassed approximately 300 million users by December 2024, with over 100 million users engaging daily. This rapid growth has led Meta to explore various monetization strategies, and the introduction of ads is seen as the next logical step.
According to Mosseri, Meta intends to monitor the advertising process closely before rolling it out more broadly. The ads will be displayed as images interwoven with user-generated content within their feeds. Businesses currently advertising on Instagram and Facebook will also have the option to extend their campaigns to Threads.
To support brands and improve advertising effectiveness, Meta is implementing artificial intelligence (AI) filters aimed at ensuring advertisements do not display alongside sensitive content. This effort reflects the company’s commitment to fostering a user-friendly environment, even as it begins monetizing its platform.
Industry analysts have remarked on the cautious approach Meta is taking with this ad rollout. Jasmine Enberg from Emarketer noted, "The push for ads on Threads seems cautious, following recent changes to censorship policies established by Meta on its other platforms." This sentiment acknowledges the need for Meta to tread carefully as it diversifies its advertising strategies amid scrutiny over its content moderation practices.
Despite the potential for pushback from users and advertisers alike, Threads’ ad experiment could also be seen as necessary, particularly as advertisers look for alternatives to platforms like TikTok amid rising concerns over data privacy and security. Meta holds significant advantages with its extensive user base across Instagram, Facebook, and Threads, which combined exceed three billion users globally.
While Meta has long anticipated introducing advertising on Threads, the company delayed this move to focus on gaining traction and user engagement. Threads has been frequently labeled as the "Twitter alternative," and this rivalry has intensified following Elon Musk's legal threats against Meta, claiming copyright violations connected to Threads’ launch.
Notably, Meta’s financial success cannot be overlooked. The company's global revenue is projected to reach $163 billion by 2024, highlighting its expansive portfolio beyond just Threads. Susan Li, Meta's Chief Financial Officer, stated, "Threads is just a small part of Meta's operations," indicating its modest potential for revenue generation within the company's larger strategy.
Looking forward, Mosseri has acknowledged there will likely be extensive feedback on Threads' advertising strategy and is committed to making advertisements not only appropriate but engaging for users. This agile approach aims to balance user experience with Meta’s goals for profitability.
The company's plans for Threads reflect its broader ambition to improve user interaction and drive engagement through enhanced features. Recent updates have introduced helpful tools such as scheduling posts, which allow users to prepare content to be published at later times—an ability valued by many social media users.
While the future of Threads and its advertising strategy remains to be seen, the initial experiment marks a pivotal moment for the platform and signifies Meta's proactive steps toward integrating ads where they can most benefit the business without alienation its growing user base. The focus on user experience will likely dictate how these developments are received moving forward.