Instagram Poised to Account for Half of Meta's U.S. Advertising Revenue

According to research firm Emarketer's forecasts, Meta Platforms Inc (NASDAQ:META) will soon find that Instagram constitutes half of the company’s advertising revenue in the U.S. Instagram has become a critical part of Meta's operations, not only due to its revenue-generating capacity but also owing to competitive features like Reels and Threads. In 2021, Instagram generated $32.4 billion globally, accounting for 27% of Meta's total sales. Court documents released earlier this year indicated that as of early 2022, Instagram was behind nearly 30% of Meta's global business. Emarketer's data indicates that Instagram's advertising revenue in the U.S. is expected to exceed $32 billion by 2025, marking an increase of over 24% compared to the current year. Instagram has over 148 million American users, further solidifying the platform’s role as a significant revenue source for Meta.