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Home » Meta to Launch Ads on Threads in 2025, Aims to Capitalise on Rapid User Growth

Meta to Launch Ads on Threads in 2025, Aims to Capitalise on Rapid User Growth

Joan Aimuengheuwa by Joan Aimuengheuwa
November 14, 2024
in Apps
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Meta to Launch Ads on Threads in 2025, Aims to Capitalise on Rapid User Growth
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Meta, the parent company of Facebook and Instagram, is preparing to introduce advertising on its new social media platform, Threads, beginning in January 2025. 

Launched in mid-2023, Threads was initially built as a direct competitor to X (formerly known as Twitter), aiming to capture users from X when changes occurred under the ownership of Elon Musk. 

Despite rapid growth and reaching 275 million monthly active users, Meta’s initial priority with Threads has been focused on user experience rather than immediate monetisation.

Starting next year, however, Meta plans to experiment with ads by allowing a limited group of advertisers to post on Threads. This pilot phase is reportedly being led by Instagram’s advertising team, which will manage the introduction of ads in a controlled environment. 

According to company CFO Susan Li, the app is not expected to contribute significantly to Meta’s revenue in 2025, emphasising that the immediate goal is not profitability but enhancing user value. 

Li noted that additional features will also be added to the platform over time, potentially increasing its viability as an advertising channel in the future.

Threads’ advertising initiative comes at a time when X has been dealing with complex advertiser relationships.

Under Musk’s leadership, X has faced some changes in content policies that prompted several brands to reconsider their ad spending, pointing to brand safety. 

As a result, some companies have pulled back their ad investments, and Musk’s company recently filed a lawsuit against major corporations, including Mars and CVS Health, accusing them of a coordinated ad boycott that contributed to a revenue decline.

Meta’s gradual approach with Threads may position the platform as a safer alternative for advertisers seeking a more controlled environment for their brand messages. 

The platform may offer advertisers an attractive option later on, as the social media space continues to evolve.

Adam Mosseri, the head of Threads and Instagram, recently highlighted the app’s success in gaining user traction, noting its growth from 150 million to 275 million active users within months. 

Meta has a long-term goal to establish Threads as a top platform in the social media space, though monetisation will remain secondary to building user engagement in the near term.

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