- Meta Platforms’ (META) newest app Threads gains over 50m sign-ups on day one of its launch.
- Threads app is not available for download in the EU as META awaits approval from the regulatory body.
- Threads is expected to contribute 5-6% in additional revenue to META by 2025.
META’s Threads registers 50m users on the first day of its launch across 100 countries. On 6th July 2023, META launched its newest app Threads gaining over 10m sign-ups in just 7 hours within the launch and 50m sign-ups in one day. The text-based application enables users to share text updates and join public conversations and is available in 100 countries except in the EU due to the EU’s Digital Markets Act (DMA) which was passed in the EU Parliament in March 2022 where META is awaiting approval from the regulatory body for the app roll-out.
|Character Limit||500 characters per post||280 characters per tweet|
|Integrated/Standalone||Integrated with Instagram||Standalone platform|
|Trending topics feature||Not available||Available|
|Direct messaging feature||Not available||Available|
Source: Reportera, DBS Bank
Threads is expected to add 5-6% in revenue to META by 2025. Various street estimates project Threads to contribute 5-6% of META’s FY2025 revenue. Consensus has estimated that META is expected to reach US$155bn in revenue by FY2025. Presently, META is focusing on adding users instead of monetization through ads. Threads expects to reach 1bn users, a figure which is yet to be achieved by Twitter. Also, about 87% of Twitter users already have an Instagram account, as per an article published in the “The Economist” which is a big advantage for Threads. Threads projects to reach 200m daily active users within the next two years posing a threat to Twitter. Since the launch of Twitter, many platforms have been developed to compete with Twitter such as Mastodon, Bluesky, and Truth Social but have a relatively low active number of users. However, recent reports suggest that Twitter has warned META about a trade secrets lawsuit regarding the development of the Threads app which can potentially affect the financials of META.