Instagram Projected to Contribute Over Half of Meta's US Ad Revenue in 2025

Short-form video content and potential TikTok ban drive Instagram's growth in Meta's advertising strategy.

Instagram is expected to account for 50.3% of Meta's US ad revenue in 2025, up from just 7% in 2015, according to Emarketer's forecast.
Reels, Instagram's short-form video product, has become a key driver of growth, with users spending nearly two-thirds of their time on the app watching videos.
If a TikTok ban is implemented in the US, Instagram could capture over 20% of the $12.34 billion in ad spending previously allocated to TikTok.
Revenue from Instagram's Feed and Stories is projected to decline as Reels, Explore, and possibly Threads increase their share to 9.6% of Meta's overall ad revenue in 2025.
Instagram's average revenue per US user now surpasses Facebook and TikTok, earning $223 per user compared to $191 and $109, respectively.