Big Tech
Instagram Expected to Generate 50% of Meta’s US Ad Sales in 2025
- Video-sharing app estimated to reach $32 billion in ad revenue
- Instagram users spend majority of their time watching videos
The Instagram app.
Photographer: Brendon Thorne/BloombergThis article is for subscribers only.
Meta Platforms Inc.’s Instagram will soon account for half of the company’s advertising revenue in the US, according to estimates from research firm Emarketer, further cementing the photo- and video-sharing app’s role as the key growth driver for the company.
Instagram has steadily expanded into arguably the most important part of Meta’s business, not only for its role driving revenue but also as a vehicle for features like Reels and Threads that offer competition to rivals. In 2021, Instagram generated $32.4 billion globally, or 27% of the company’s total sales. By early 2022, Instagram was responsible for nearly 30% of Meta’s global business, according to court filings released earlier this year.