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According to analysts, Meta’s Threads has the potential to attract advertisers, although the early stages are uncertain

Meta's Threads

Meta Platform’s (META.O) new social media platform, Meta Threads, is emerging as a potential contender to challenge Twitter’s dominance in the microblogging space. While Elon Musk’s upcoming Twitter rebranding has generated curiosity, some advertisers find Threads less contentious and more predictable, making it an attractive option to shift marketing budgets in the future.

Since its launch on July 5, Threads has seen remarkable growth, becoming the fastest-growing social media platform to reach 100 million users. Despite a slight drop in downloads and engagement in the immediate aftermath of its debut, analysts believe Meta Threads has significant potential for ad revenue if it can sustain its user base.

Various forecasts estimate that if Threads manages to retain users, it could generate impressive annual ad revenue, ranging from $2 billion to $8 billion. Brands are already taking notice of Threads’ potential, with some considering integrating Threads posts into their marketing campaigns alongside other platforms like TikTok and Instagram.

While Threads still has some way to go to match Twitter’s reach, it has garnered tens of millions of daily users, and the team is actively working on improving the user experience and retention.

Advertisers’ interest in Meta Threads is partly fueled by concerns about Twitter’s tone of discourse and policy changes since Musk’s acquisition. Some brands have already shifted their ad spending away from Twitter, and the hope is that Threads, backed by Meta’s resources and experience with Instagram and Facebook, will provide a more stable advertising platform.

Meta Threads’ current limitations, such as the absence of direct messaging, hashtags, and keyword searches, may affect its appeal to advertisers. However, many brands are experimenting with Threads, finding it refreshing and reminiscent of the “glory days of Twitter.”

Meta’s aggressive investment in AI capacity has been evident in its efforts to boost traffic to Facebook and Instagram and increase ad sales. The company’s upcoming quarterly report is expected to show robust revenue growth.

Despite the early signs of promise, Meta’s CEO, Mark Zuckerberg, has emphasized that the company will only consider monetizing Threads once it reaches a substantial user base of 1 billion.

In conclusion, Threads is gaining traction as a potential challenger to Twitter, attracting brands eager to explore its advertising potential. While it still faces some limitations, the platform’s growth and Meta’s commitment to refining the user experience could position Meta Threads as a significant player in the social media landscape in the future.

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Meta is pushing deeper into AI territory with new AI-editing tools in Instagram Stories, where users can edit images and videos simply by typing in what they want to modify. From hair color to special effects, the feature upends the possibilities of creators and regular users alike to personalize their content.

Text Prompts Meet Visual Creativity

Until now, Instagram’s AI editing tools were primarily accessible through Meta AI’s chatbot, which required users to interact via direct messages. With this latest integration, however, AI editing becomes native to Stories, allowing anyone to make instant visual edits using plain language commands.

These new edit features come under the “Restyle” menu that can be accessed using the paintbrush icon in Instagram Stories. One can type commands such as “give me a sunset background,” “remove the person in the corner,” or “color my hair pink.” The AI carries out the edit one wants within seconds.

Meta suggests that users only have three primary actions to select from — Add, Remove, or Change — while specifying what they’d like to alter. The AI will automatically add objects, alter appearances, or completely restyle the photo based on what they’ve described.

Preset Effects and Dynamic Video Edits

In addition to custom prompts, Instagram also has pre-select AI effects that can beautify or stylize posts. Filters like sunglasses, a denim jacket, or even a watercolor art effect can be applied.

On video content, the feature does even better — creators are able to superimpose atmospheric effects like falling snow, glowing embers, or cinematic lighting, which makes Stories appear more polished and professional without the necessity of using editing apps.

Privacy and AI Usage Terms

While the new features enable creativity, they come with privacy implications. Being used to introduce users to Meta’s Terms of Service for AI, which allow the company to “analyze photos and videos, including facial data, to make AI better.” According to Meta, it allows its systems to “summarize image contents, edit images, and generate new content based on the image.”

Critics have also had concerns regarding the ways in which such data might be used to train Meta’s broader AI models, though the company has sworn to remain committed to responsible innovation and transparency.

Meta’s Expanding AI Push

The release of AI editing software is just part of Meta’s overall strategy to roll out artificial intelligence on every platform it has, from Facebook and Instagram to WhatsApp. Recently, Meta began beta-testing a “Write with Meta AI” feature, which helps users compose intelligent or engaging comments under Instagram posts.

Meanwhile, Meta’s separate Meta AI app — with its chatbot and new “Vibes” AI-generated video stream — has been picking up steam. According to Similarweb estimates, iOS and Android daily active users rose from 775,000 to 2.7 million over a four-week span as of October 17.

Protecting Younger Users

As a response to increasing complaints from regulators and parents, Meta has also added new parental tools for its AI features. Parents may now shut off chats with AI characters and filter topics that their teens have with the chatbot to provide a safer online environment.

With these new instruments, Instagram is not only emerging as a social network but a creative platform fueled by generative AI. With Meta, OpenAI, and Google competing for leadership, this launch shows how AI is becoming more a part of the social fabric of our era — blurring the line between creativity, technology, and self-expression.

Meta is rolling out red carpet treatment for AI startups with its new Llama for Startups initiative—offering cash, technical support, and exclusive access to its AI engineering team. But beneath the generous facade lies a fierce battle for dominance in the trillion-dollar generative AI market.

What Startups Get From Meta’s Program

  • 💰 **Up to 36,000∗∗(36,000∗∗(6K/month for 6 months) in cloud credits
  • 🤝 Direct engineering support from Meta’s Llama team
  • 🔧 Early access to custom Llama model fine-tuning tools
  • 🌐 Networking with other AI-first startups

Eligibility requirements are surprisingly accessible:

  • U.S.-based incorporation
  • Less than $10M in total funding
  • At least one developer on payroll
  • Building generative AI products

Deadline to apply: May 30, 2024

Why Meta Needs Startups More Than Ever

Despite 1 billion+ Llama downloads, Meta faces mounting pressure:

🔥 Competitive Threats

  • Google’s Gemini and Anthropic’s Claude dominate enterprise adoption
  • OpenAI’s GPT-4o leads in multimodal capabilities
  • Mistral, DeepSeek, and Alibaba’s Qwen are winning open-source favor

🚨 Recent Llama Stumbles

  • Llama 4 Behemoth delayed due to underperformance (WSJ)
  • Benchmark cheating allegations on LM Arena leaderboard
  • Public vs. “optimized” model discrepancies eroding trust

💸 Meta’s Make-or-Break AI Bet

  • Projecting 2B−2B−3B AI revenue in 2025
  • Banking on 460B−460B−1.4T by 2035 (yes, trillion)
  • Spending $900M+ annually just on GenAI R&D

The Hidden Strategy Behind the Startup Play

This isn’t just altruism—it’s a three-pronged chess move:

  1. Lock-In Future Customers
    Startups that build on Llama today become enterprise buyers tomorrow.
  2. Crowdsource Innovation
    Early adopters essentially beta-test new Llama capabilities for free.
  3. Combat Open-Source Defections
    With alternatives like Mistral gaining traction, Meta needs to make Llama indispensable.

What’s Really at Stake?

Meta’s playing a long infrastructure game:

  • 60B−60B−80B earmarked for 2025 data centers
  • Revenue-sharing deals with cloud providers hosting Llama
  • Future Llama API monetization (Zuck hinted at ads/subscriptions)

For startups, the calculus is simple:
✅ Free money and support in a cash-strapped AI winter
❌ Risk of vendor lock-in as Llama evolves

Should Your Startup Apply?

The case for jumping in:

  • If you’re already using Llama, this is free acceleration
  • Early access could provide competitive edge
  • Meta’s engineering insights are gold dust for product refinement

Reasons to hesitate:

  • $36K doesn’t go far with today’s GPU costs
  • Potential IP concerns working closely with a tech giant
  • Llama’s long-term roadmap remains uncertain

The Bottom Line

Meta’s throwing a Hail Mary to cement Llama as the open-weight model of choice. For scrappy AI startups, it’s a rare chance to piggyback on Meta’s war chest—just don’t mistake it for a long-term partnership.

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