Meta has announced its first move to monetize Threads, introducing advertising tests on the platform that has grown to 300 million monthly active users. 

The company reveals that three out of four Threads users follow at least one business account, signaling potential opportunities for advertisers seeking alternatives to X.

Initial Rollout and Implementation

According to Meta’s announcement, the limited test begins with image-based advertisements appearing in users’ feeds between organic content posts. The company designed the system to allow advertisers to extend their existing campaigns to Threads through a single checkbox in Ads Manager, requiring no additional creative assets or resources.

Meta’s head of Instagram & Threads, Adam Mosseri, stated the company will “closely monitor 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.”

Brand Safety and Technical Implementation

Meta is implementing its inventory filter system for the Threads advertising test, a brand safety control already active on Facebook and Instagram feeds and Reels in over 30 languages. The AI-powered tool allows advertisers to control the sensitivity level of organic content appearing adjacent to their ads.

Jack Johnston, Senior Social Innovation Director at Tinuiti, told Business Insider (BI) that Meta’s ability to place ads across its ecosystem based on real-time efficiency programmatically gives it an advantage over standalone platforms. “When Meta first rolled out Reels, that is how most advertisers purchased inventory so they could ease into the placement,” Johnston said.

Revenue Expectations and Market Position

Despite the platform’s growth, Meta maintains measured expectations about immediate financial impact. BI notes that during Meta’s Q3 2024 earnings call, Chief Financial Officer Susan Li indicated that while the company was “pleased” with Threads’ growth, they don’t “expect Threads to be a meaningful driver of 2025 revenue.”

The timing of the ad rollout coincides with broader changes in the social media platform market, including potential TikTok restrictions in the U.S. and ongoing advertiser concerns about X under Elon Musk’s ownership. 

Ted Harrison, former Head of Production at Twitter/X and founder of Neuemotion, describes the move as “a clear capitalization for their core business on the signals audiences and advertisers are sending on wanting to find a home off of X.”

Meta plans to expand its third-party advertising verification tools and language support in the coming months as it gradually scales the advertising program based on initial test results. The company’s Monetization Policies will apply to Threads, establishing guidelines for content eligible for ad adjacency.

Users will have access to controls for managing their ad experience, including options to skip, hide, or report ads. Meta indicates it will use surveys to understand ad relevance and user preferences as the program develops.

The introduction of advertising on Threads represents Meta’s first attempt to generate revenue from the platform since its launch in 2023, with initial testing focused on users in the United States and Japan.