Threads users have dropped by over 50%
Mark Zuckerberg, the head of Meta (formerly known as Facebook), revealed that their new social media platform, Threads, has experienced a significant decline in users.
Initially, Threads had a soaring start, amassing over 100 million users within five days of its recent launch, positioning itself as a potential rival to Twitter. However, the platform failed to retain its user base, and more than half of those initial users have now departed.
In a call with employees, Mark Zuckerberg admitted, "If you have more than 100 million people sign up, ideally it would be awesome if all of them or even half of them stuck around. We're not there yet."
Despite the decline, Zuckerberg regarded the situation as "normal" and expressed confidence that user retention would improve with the addition of new features to the app.
Threads faced criticism for its limited functionality during its initial launch. In response, Meta has been actively working on improving the platform by introducing new features, including separate feeds for "following" and "for you," and expanding language translation capabilities for posts.
Meta's Chief Product Officer, Chris Cox, emphasised their focus on incorporating more "retention-driving hooks" to entice users back to the platform. One example he mentioned was ensuring that Instagram users could easily access and engage with Threads since the two platforms are closely linked.
Apart from Threads, Mark Zuckerberg also provided updates on the company's ambitious project, the Metaverse – a yet-to-be-created virtual reality world. He mentioned that work on the augmented reality (AR) and virtual reality (VR) technology needed for the Metaverse was on track, but he projected that it wouldn't become mainstream until the next decade.
There have been concerns about Meta's heavy investment in the Metaverse, particularly regarding its Reality Labs division, which has incurred multi-billion dollar losses due to its production of VR headsets and other products. Nevertheless, Meta's overall financial performance remains strong, with the company announcing a profit of $7.79 billion in the last quarter.
Regarding a rather lighthearted issue, Zuckerberg addressed the possibility of a cage fight with fellow tech magnate Elon Musk. Both had playfully hinted at the idea earlier in the year, but Zuckerberg appeared unsure during the call whether such an event would actually come to fruition.