Ads in Instagram Explore May Be $1 Billion Goldmine to Facebook
Photographer: Chandan Khanna/AFP via Getty Images
This article is for subscribers only.
Adding advertising to the Explore tab in Instagram could be worth $1 billion in revenue for Facebook Inc. by 2021, according to Morgan Stanley analysts.
New advertising will appear when users on the photo-sharing social network tap into Explore posts and scroll to see related content, with the main grid to remain ad-free. The move “speaks to how Facebook continues to find ways to extend its earnings runway by monetizing under-monetized engagement and usage,” analyst Brian Nowak says.