Meta looks to turn popular messaging platform WhatsApp into a fresh revenue stream via advertisements and paid subscriptions. The changes centre on WhatsApp’s Updates tab, which hosts the app’s user status feature and has 1.5 billion daily visits globally. With the latest upgrade, this section will house advertisements and commercial content separate from users’ private chats.
A new channel subscriptions feature will allow users to pay a monthly fee to receive exclusive updates from selected channels, such as news providers or public figures. Meanwhile, promoted channels will enable users to discover new creators, while also giving channel admins the option to boost their visibility in the commercial directory. In addition, ads shown directly in the status section will allow users to engage directly with businesses promoting products or services.
In a statement, Meta emphasised that personal messages will remain ad-free and fully encrypted. The company explained that ad targeting will rely on general information such as location, language, followed channels, and user interaction with ads. For users who have linked WhatsApp with Meta’s Accounts Centre, ad preferences across the company’s services such as Instagram may also be used.
Meta stressed that it will not sell or share phone numbers with advertisers, and personal messages, calls and group activity will remain off-limits for ad targeting. Rollout of the new tools is set to take place over the coming months.
WhatsApp, acquired by Meta for $19 billion in 2014, has until now avoided traditional advertising, instead offering tools for small businesses such as shopping and digital payments. The update forms part of Meta’s push diversify revenue streams as it ramps up investment in AI; the company recently committed $14.8 billion for a 49 per cent stake in AI data-labelling company Scale AI.
Source: Mobile World Live
Image Credit: Stock Image/Meta