Musk ain’t happy about an alleged ‘Twitter Killer’ on the loose. But Meta investors are. No sooner had Meta CEO Mark Zuckerberg released his beast Threads into the wild than Elon Musk tweeted his response. Twitter threatened legal action, which was quickly rebutted by Threads.
Meanwhile, as Twitter traffic tanks, Meta’s (META) share price shot up nearly 4% following the new app release on 6 July - nearly surging past US$300 per share - before dropping to US$294, an overall increase of nearly 3%.
Meta stocks have climbed since November 2022 - despite the squeeze from Apple’s (AAPL) privacy updates - prompting some analysts to believe stock value beyond US$400 ‘is not out of the question’. Meta’s YTD (year-to-date) growth is a whopping 135% and year-on-year growth sits at 80%.
Meet Threads. Threads is Meta’s sister app to Instagram. It launched less than a week ago and is gaining users at whiplash speed to become the ‘most rapidly downloaded app in history’. Everywhere except the EU, where Meta is required to be more transparent about data used for targeted ads. And if the EU remains excluded, it could hurt Meta’s earnings down the line. Threads gained 30 million sign ups within hours of its launch, had 50 million users when Hatch joined, netted 70 million downloads within the first couple of days, since soaring past 100 million downloads, and now… who knows?! 🤷
However, it’ll take a lot more downloads to reach Twitter’s 330 million active users and 238 million ‘monetizable’ daily active users. But with Instagram’s current user numbers sitting at around 2.3 billion (including an estimated 9.5 million bot accounts) and a smooth onboarding process, Threads may yet continue its record-breaking trajectory.
Just like Matariki, the stars are lining up ✨
Like bees to honey, influencers and brands have flocked to Threads. Kim Kardashian joined, bringing her brands Skims, Skkn and Skky Partners, along with Shakira, Oprah, Jlo and legendary MrBeast, who gave away a Tesla!
Oh, and the Backstreet Boys are back!
Why is Threads so popular right now?
- Pros - Threads is short-form social media made up of status updates, links and memes that users can like, reply to and repost. Kinda like Twitter in the old days… The app is integrated to Instagram, so existing IG app users can import their followers and who they follow, plus the same bio and pic, and share Threads content to their Instagram Story and feed. And they can tweet from it too. 🐦
- Cons - Threads may yet be a MVP (minimum viable product) given it launched without hashtag search (used on Twitter to unite communities and give voice to causes like #metoo), DMs, a desktop app, gifs, tagging, scheduling, trending topics, an emoji button, easy toggling between profiles, and it’s taken ‘a strange step back’ by not having accessibility tools for people with disabilities. Users also can’t yet control who they see in their feed, either. And be warned, you can’t delete your Threads profile ev-er unless you delete your Instagram account.
Following the Threads. 🧵 Threads is bringing ‘first day of school’ vibes for some. It’s been called a ‘less toxic option’ than Twitter by others. And it’s giving big meme energy for Threaders. However, Meta’s yet to confirm Threads’ plans for flagging misinformation - yunno, that nasty Cambridge Analytica scandal among a raft of other accusations against Meta’s practices that saw Zuckerberg facing off against the Senate in 2018. And which left Zuckerberg’s ‘reputation in tatters’, according to Bloomberg’s Dave Lee.
But is it innovation?
Imitation may be the best form of flattery and this isn’t Meta’s first ‘copycat’ release. The social media behemoth was likely influenced by TikTok when they created Reels, and Snapchat when they launched Stories. And as nearly 20-year-old Meta creeps closer to looking like an old dog with new tricks, their challenge will be converting the Threads early sign-ups to becoming longer term users, and releasing features that supercharge revenue. Could Meta’s failed Metaverse have made the company innovation-shy?
Pass the popcorn. 🍿 Threads’ launch comes after a year of chaos at Twitter, with research finding that 60% of US adults giving off Ross and Rachel vibes saying they’re on ‘a break’ from the Musk-owned platform. And while Musk might not be joining Threads any time soon, Zuckerberg’s throwing down on Twitter. #flex