Meta Expands Threads Ads Globally As Platform Reaches 320M Users

Meta $META ( ▲ 2.65% ) announced today the global expansion of advertising opportunities on its Threads platform.

The social media giant is now opening up Threads to all eligible advertisers worldwide, marking a crucial step in Meta's strategy to monetize its growing platform^1,^2.

This expansion comes after a limited testing phase that began in January 2025, where Meta selectively allowed advertisers in the U.S. and Japan to run ads on the platform.

The company is now ready to roll out this capability more broadly, initially targeting approximately 30 markets globally before a wider release^5.

Threads' Growth Journey

Since its launch in July 2023, Threads has positioned itself as a direct competitor to Elon Musk's X (formerly Twitter).

The platform has experienced impressive growth, now boasting over 320 million monthly active users and reportedly gaining more than 1 million new sign-ups daily^2,^6.

What's particularly notable for advertisers is that three out of four Threads users already follow at least one business on the app, indicating strong potential for brand engagement^4,^6.

This metric likely influenced Meta's decision to accelerate the platform's monetization.

Threads Platform Milestones:
- July 2023: Platform launch
- January 2025: Initial ad testing begins with select brands in US and Japan
- April 2025: Global ad expansion announced
- Current user base: 320+ million monthly active users
- Daily growth: 1+ million new sign-ups
- Business engagement: 75% of users follow at least one business

How Advertising on Threads Works

Meta has designed the advertising implementation on Threads to be relatively seamless for existing Meta advertisers.

The new ad placement within the Threads feed will be automatically included in new campaigns using either Advantage+ or Manual Placements^3,^4.

However, advertisers who prefer more control can opt out of the Threads feed when using Manual Placements.

To help maintain brand safety, advertisers will have access to Meta's inventory filter, which allows them to control the sensitivity level of content next to which their ads appear^2,^4.

This feature addresses a common concern among advertisers regarding content adjacency.

For users, advertisements will be clearly marked with a gray "Sponsored" label next to the username of the advertising account, making them easily identifiable within the feed^7.

Implementation Details:

• Ads will initially appear in select markets before expanding globally

• Image ads will appear between content pieces in the Threads home feed

• The initial testing phase will show ads to a small percentage of users

• Businesses can extend existing Meta ad campaigns to Threads by simply checking a box in Ads Manager^3

Strategic Timing Amid Market Challenges

The timing of this expansion is noteworthy, coming at a challenging moment for digital advertising.

Meta faces potential headwinds due to escalating trade tensions between the U.S. and China.

Analysts from MoffettNathanson recently warned that Meta's online advertising business could face a $7 billion hit this year as Chinese e-retailers potentially pull back on spending^1,^8.

However, the company appears to be taking a proactive approach by developing new revenue streams through Threads.

Additionally, the uncertainty surrounding a potential TikTok ban in the United States could potentially benefit Meta by redirecting advertiser attention and budgets.

Market and Financial Implications

This expansion represents a significant potential revenue opportunity for Meta.

For context, X (formerly Twitter) reported annual revenues of $5 billion in 2021 before Elon Musk's acquisition^2. With Threads' rapidly growing user base and Meta's sophisticated advertising infrastructure, the platform could eventually become a substantial contributor to Meta's bottom line.

However, Meta executives have been careful to set measured expectations.

During the company's January earnings call, CFO Susan Li noted that the Threads ad rollout would be gradual and executives "do not foresee it becoming a significant contributor to overall impression or revenue growth in 2025"^2.

This suggests Meta is taking a long-term view of Threads' monetization potential.

Financial Context:
- Twitter (pre-Musk) annual revenue: $5 billion (2021)
- Meta Q1 2025 earnings report scheduled: April 30, 2025
- Meta's primary revenue source: Advertising
- Major investment areas: AI infrastructure and generative AI technology

Why This Matters for Advertisers

For brands and marketers, this expansion presents a fresh opportunity to reach audiences on a platform that's still defining its identity and culture.

Unlike more established platforms with entrenched advertising ecosystems, Threads offers advertisers a chance to experiment with promotional strategies in a less saturated environment.

The platform's connection to Instagram potentially provides advertisers with enhanced targeting capabilities and cross-platform synergies.

Marketers who already run campaigns across Meta's family of apps can now extend their reach to include Threads' growing user base with minimal additional effort.

Key Advertiser Benefits:

• Access to 320+ million monthly active users

• Leverage existing Meta advertising infrastructure

• Reach users who already demonstrate high business engagement

• Simple integration with current Meta campaigns

• Brand safety controls through inventory filtering

The Broader Meta Ecosystem Strategy

This expansion fits into Meta's broader strategy of creating multiple revenue streams across its family of apps. While Facebook and Instagram remain the company's primary revenue generators, Meta continues to seek monetization opportunities across its entire ecosystem.

The company has been making significant investments in artificial intelligence infrastructure, which powers its advertising capabilities and is crucial for its ambitions in generative AI technology.

These investments require substantial funding, making the expansion of advertising to Threads a strategically important move.

CEO Mark Zuckerberg has expressed optimism about Threads' future, stating he expects the platform to maintain its growth trajectory and eventually reach 1 billion users in the coming years^2.

This ambitious target would position Threads as a major social media platform and a substantial revenue contributor to Meta's business.

What's Next for Threads

As Meta rolls out advertising more broadly on Threads, the company will likely monitor multiple metrics to gauge success. These include advertiser adoption rates, user engagement with ads, and any potential impact on platform growth or user experience.

The company has indicated it will take a measured approach, stating that it plans to "closely monitor this small test to gauge its effectiveness before rolling out ads in Threads on a larger scale"^3.

This suggests Meta is conscious of maintaining the platform's user experience while introducing monetization features.

Meta's Q1 2025 earnings call on April 30 may provide additional insights into the company's plans for Threads and early results from the advertising expansion.

Industry Implications and Outlook

This move by Meta creates more competition in the social media advertising landscape, particularly for text-based platforms like X. As advertisers gain more options for reaching audiences, platforms will need to demonstrate clear value propositions and performance metrics.

For investors in the social media space, Threads' continued growth and monetization progress represent an important development to watch.

If successful, the platform could eventually become a significant revenue contributor for Meta and alter the competitive dynamics in the industry.

Long-term Potential:
- Zuckerberg's target: 1 billion Threads users
- Positioning as the "leading platform for discussions"
- Creation of a new major revenue stream for Meta
- Increased competition for X and other text-based social platforms
- Potential synergies with Meta's AI investments and capabilities

As Meta continues to develop Threads and expand its advertising capabilities, both advertisers and users will gain clearer insights into the platform's evolving identity and role within the broader social media ecosystem.

For now, this global advertising expansion represents an important milestone in Threads' journey from challenger platform to potential industry leader.