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Meta Platforms plans to roll out advertisements on its Threads app starting in early 2025, strategically positioning itself to lure advertisers from X, formerly Twitter. With Threads reaching 275 million active users, Meta is set to challenge X amid advertiser unrest under Elon Musk's leadership.
Meta Prepares Threads for Ad Rollout in Early 2025
According to three people with firsthand knowledge of the plans, The Information (via Reuters) reported on Wednesday that Meta Platforms intends to add advertisements to its social media app Threads early next year.
In July of last year, the Threads app was introduced as a rival to X, which was previously known as Twitter. The goal was to entice users away from the de facto microblogging site during Elon Musk's tumultuous takeover.
Meta CEO Mark Zuckerberg announced last month that the app had 275 million active users every month, indicating its impressive growth.
Early Access for Select Advertisers Set for January
According to the article, Threads is set to launch its advertising platform to a select group of advertisers in January.
The campaign is being spearheaded by a team within Instagram's advertising division, underscoring Meta's strategic approach to integrating ads within its broader ecosystem.
During Meta's post-earnings call in October, CFO Susan Li stated that the company does not anticipate Threads to be "a meaningful driver of 2025 revenue."
Plans to Expand Threads’ Capabilities
According to Li, the company has plans to add more functions to the app in the future, aligning with Meta’s aim to build consumer value before prioritizing monetization.
In an emailed response, a Meta spokesperson reiterated that "there are no ads or monetization features currently on Threads" as the focus remains on user experience, Investing.com shares.
Threads Eyes X's Advertisers Amid Platform Shifts
Though X has changed significantly under Musk's ownership, Threads may still be able to entice advertisers from the platform.
In August, X filed a lawsuit against a global advertising alliance and major corporations, including Mars and CVS Health, alleging they unlawfully conspired to boycott the site, causing financial losses.
After Musk acquired X in 2022, ad revenue reportedly slumped for months as advertisers grew wary of the platform. Concerns grew that ads might appear next to inappropriate content, which previous ownership would have removed, deterring some advertisers from investing further in X.
