Threads could hit 1 billion users, Mark Zuckerberg says

During Meta’s second quarter earnings call with investors on Wednesday, Mark Zuckerberg was repeatedly asked about Threads and his expectations for its future success. He noted the lack of a text-based conversation app with over 1 billion users, highlighting Threads as a unique anomaly in the tech industry. This sentiment aligns with his previous comments on both Threads itself and during an interview with Lex Fridman.

Threads achieved 100 million signups faster than any other consumer software product in history. However, it has not yet reached the 1-billion-user milestone. Although its initial rush of signups has slowed down and engagement has decreased, Zuckerberg stated that tens of millions of people still use the app daily.

Zuckerberg’s primary focus for Threads, aside from adding essential features, is to improve user retention. He expressed confidence that once these improvements are implemented, the app will experience significant growth. Meta has not yet promoted Threads on Instagram or Facebook or invested in its marketing efforts. Elon Musk also aims to achieve 1 billion users for his X super-app concept, but his approach differs greatly.

Zuckerberg shared that the history of standalone app attempts has not been successful for Meta. He speculated that the situation with Threads could be an atypical case influenced by various factors surrounding Twitter or X (as it is now called).

Meta’s second-quarter earnings showed significant recovery. The company reported better-than-expected earnings, resulting in a rise in its stock price. The total revenue was $32 billion, with a net income of $7.78 billion. However, the Reality Labs division experienced a net loss of $3.7 billion. Management cautioned investors that these losses would increase due to ongoing product development efforts in augmented and virtual reality, including the upcoming release of the Quest 3 headset.

Despite the significant losses in the Reality Labs division, Meta does not feel pressured to monetize Threads in the near future. Its established social networks – Facebook, Messenger, Instagram, and WhatsApp – continue to grow, with Facebook surpassing 3 billion monthly users.

Zuckerberg stated that Threads will not introduce ads until it reaches “hundreds of millions” of users. He emphasized the company’s focus on seizing the unexpected opportunity and acknowledged that there is a long road ahead.