{"id":579889,"date":"2025-01-25T07:54:31","date_gmt":"2025-01-25T05:54:31","guid":{"rendered":"https:\/\/mybroadband.co.za\/news\/?p=579889"},"modified":"2025-01-25T09:30:18","modified_gmt":"2025-01-25T07:30:18","slug":"threads-gets-ads","status":"publish","type":"post","link":"https:\/\/mybroadband.co.za\/news\/internet\/579889-threads-gets-ads.html","title":{"rendered":"Threads gets ads"},"content":{"rendered":"\n

Meta Platforms Inc. will show advertising on social network Threads for the first time, opening up a new revenue stream for the company and increasing competition for Elon Musk\u2019s X. <\/p>\n\n\n\n

The ads will come from a \u201chandful of brands\u201d and appear only in the US and Japan to start, according to a post<\/a> Friday from Instagram boss Adam Mosseri, who called the move a \u201ctest.\u201d <\/p>\n\n\n\n

Meta will be \u201cclosely monitoring this test before scaling it more broadly, with the goal of getting ads on Threads to a place where they are as interesting as organic content,\u201d Mosseri wrote on the platform. <\/p>\n\n\n\n

The company\u2019s Instagram team launched Threads, a clone of Musk\u2019s X, in mid-2023 after Musk bought the social network formerly known as Twitter in October 2022 and struggled to maintain its advertisers.<\/p>\n\n\n\n

Meta has\u00a0teased the idea of bringing ads to Threads\u00a0for months, but held off to focus on expanding the network\u2019s user base. <\/p>\n\n\n\n

As of December, Threads had 300 million monthly users, and more than 100 million daily users, chief executive officer\u00a0Mark Zuckerberg said at the time<\/a>. \u00a0<\/p>\n\n\n\n

It\u2019s not clear what the revenue potential for Threads will be long-term, but the service will benefit from Meta\u2019s existing pool of advertisers and its ability to hyper-target messages to specific consumers. <\/p>\n\n\n\n

Twitter never succeeded in building the kind of massive advertising business Meta has achieved with Facebook and Instagram. At its peak in 2021, Twitter revenue was $5.1 billion. <\/p>\n\n\n\n

Meta\u2019s global revenue in 2024 is estimated to be about $163 billion, so Threads will likely be a small part of the company\u2019s business for some time.<\/p>\n\n\n\n

The move may take advantage of volatility in the social media industry, given X\u2019s issues and questions about TikTok\u2019s future, said Jasmine Enberg, an analyst at Emarkerter. <\/p>\n\n\n\n

Still, Meta\u2019s recent decision to abandon content moderation in the US may cause some hesitancy among advertisers, she said.<\/p>\n\n\n\n

\u201cThe timing will likely be questionable for many brands, who may no longer view Threads as a safer alternative to X,\u201d Enberg said. \u201cMany users are also already skeptical about Meta, and the launch of ads on Threads is likely to elicit backlash.\u201d<\/p>\n\n\n\n

Meta has been enthusiastic about growth prospects for Threads. Its user base has been increasing, particularly in the US and Japan, which are among its key markets, Chief Financial Officer Susan Li told investors during an earnings call in October.<\/p>\n\n\n\n

Earlier on Friday, Zuckerberg said in a Facebook post that Meta\u00a0would invest<\/a>\u00a0as much as $65 billion on artificial intelligence-related projects in 2025. <\/p>\n\n\n\n

Projected capital expenditures for this year are more than double the capital expenditures in 2023. Meta is scheduled to release fourth-quarter results on 29 January.<\/p>\n\n\n\n

Meta shares gained 1.9% to $648.54 at 13:30 Friday in New York. The stock had gained 65% in the past 12 months through Thursday\u2019s close.<\/p>\n","protected":false},"excerpt":{"rendered":"

The move may take advantage of volatility in the social media industry, given X\u2019s issues and questions about TikTok\u2019s future, an analyst said. <\/p>\n","protected":false},"author":341034,"featured_media":537341,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[18],"tags":[72414,11373,10424,1767,73842,2316,60669,405,81769],"class_list":["post-579889","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-internet","tag-adam-mosseri","tag-elon-musk","tag-instagram","tag-mark-zuckerberg","tag-meta-platforms","tag-online-advertising","tag-threads","tag-twitter","tag-x-app"],"_links":{"self":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/posts\/579889"}],"collection":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/users\/341034"}],"replies":[{"embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/comments?post=579889"}],"version-history":[{"count":3,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/posts\/579889\/revisions"}],"predecessor-version":[{"id":579892,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/posts\/579889\/revisions\/579892"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/media\/537341"}],"wp:attachment":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/media?parent=579889"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/categories?post=579889"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/tags?post=579889"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}