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flag Instagram expected to generate over half of Meta's U.S. ad revenue by 2025, driven by Reels' success.

flag Instagram is expected to generate over half of Meta's advertising revenue in the US by 2025, largely due to the success of its Reels feature, which competes with TikTok and YouTube Shorts. flag User engagement on Instagram is increasingly video-focused, with nearly two-thirds of app time spent on videos. flag If TikTok is banned in the US in 2025, Instagram could capture up to one-fifth of TikTok's ad revenue. flag Instagram's ad revenue is currently mainly from Feed and Stories, but the share from Reels and Explore is projected to grow to 9.6% by 2025.

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