Brian Moller is a self-described “master threader.”
Since Meta debuted Instagram Threads a day after the July 4 holiday, the radio personality and comedian, whose stage name is B Mo the Prince, has been cracking jokes and playfully bantering with other early adopters of the Twitter clone. In the past week, he’s made several quips about his new Threads compulsion taking precedence over certain life necessities, like sleep.
Moller has spent the last few years building an expansive presence on social media sites like TikTok, Instagram and YouTube as a creator of short comedy sketches, making fun of Gen Z and millennials and how they perceive one another. He now has roughly 3 million followers across social media and online video platforms.
The one major app that’s eluded him: Twitter.
“The vibe was off,” Moller said, regarding the reception to his jokes and posts about comedy sketches on Twitter. “It’s not really the platform for that.”
Power Instagram users like Moller are a big reason why Threads raced to the top of the downloads charts to become one of the fastest-growing consumer apps ever, topping 100 million users in its first week. With Twitter sputtering due to technical glitches and Elon Musk’s erratic behavior turning away many former loyalists, Meta CEO Mark Zuckerberg pounced on the opportunity to kick a rival while it was down.
The hard part is keeping users.
Threads skyrocketed out of the gate in large part because it was easy for existing Instagram users to create accounts on the new messaging service and connect with their established following. But the app is already showing signs of waning momentum, with online analytics firms Sensor Tower and Similarweb reporting a drop in engagement.
Moller is exploring how Threads could become a central service to his online existence and a potential avenue for reaching a bigger audience. He’s hoping that Threads has staying power and that people will continue to open the app throughout the day to engage with his jokes and other forms of entertainment.
Earlier this week, Meta rolled out its first big update to Threads, adding features that make it easier to see followers and a translate button so users can read text in other languages.
Still, Threads lacks key enhancements that could help creators build their audiences on the app beyond their existing Instagram following, said Caspar Lee, whose YouTube channel has more than 6.6 million subscribers. There’s not even a website for users to access via desktop.
“Threads is the really good looking new kid in class that everyone wants to talk to,” said Lee, who also has a venture firm and is co-founder of marketing firm Influencer. “Then over the next few weeks they got to work out whether there’s anything more to them.”
Currently, Threads users are unable to search for topics or hashtags that represent hot topics. The feed is algorithmic, based on who a user follows and content recommended by Instagram. There’s a feel of randomness and unorganized chaos to it. You’re not really part of a conversation.
“That’s a big thing that’s on Twitter, that’s on TikTok and YouTube, that you can jump on a topic, trend and you can get loads of people following you and consuming your content,” Lee said. “It’s going to be interesting to see if people can go from the initial boost they had in the first few days to a continuous growth in the next few months.”
The nicer Twitter
Instagram executives have started by positioning Threads as a kinder alternative to Twitter, discouraging chatter about news and politics and focusing more on entertainment and lifestyle content. Adam Mosseri, the head of Instagram, said Threads can cater to people interested in topics like fashion, sports, music and beauty who have never found like-minded communities on Twitter.
Conflict is a major draw on Twitter, which is often used by high-profile politicians to tout their views and slam those of their rivals.
Lee even created a popular YouTube video five years ago in which he read “mean tweets” with comedian Jack Whitehall. The video has been viewed more than 1 million times.
Moller said he finds Threads to be more welcoming than Twitter and enjoys being able to scroll through and post without having to engage in real-time arguments. One of the few things he does on Twitter is read about sports. Even then, comments can be “so argumentative” that they’re off-putting, he said, adding that the combative nature of discussions has only increased since Musk acquired the company late last year.
Threads, at least so far, “doesn’t have the same vitriol,” he said.
Thilina Kaluthotage | Nurphoto | Getty Images
Marcel Floruss, a fashion influencer with over 580,000 Instagram followers and more than 1 million YouTube subscribers, says it was a “smart move” for Meta to try capturing disillusioned Twitter users as well as people who have have deserted the app.
However, he’s still trying to understand how Threads can help him. Floruss built an influencer career by giving fashion advice and tips, and he never found a way to “offer any value on Twitter,” which he says is more for news, live events and politics.
On Stories, Instagram’s time-limited messaging tool that’s akin to Snapchat, Floruss can share tips along with photos. He also creates content for TikTok, Instagram’s short-video service Reels, Snapchat and YouTube. Floruss said he’s going to “play around” with Threads, but he’s not ready to make it a priority given how much time he spends elsewhere.
“The potential benefit is outweighed by the amount of work that I feel like I need to put in,” he said.
Floruss isn’t alone in taking a wait-and-see approach.
Chas Lacaillade, CEO of influencer talent agency Bottle Rocket Management, said many of his creator clients are holding off with Threads until the app shows it can be a place that can bolster their careers.
“They aren’t looking to go zero to 100 miles on this other thing,” Lacaillade said. “It’s so important not to discredit what you got in search of something that is unproven or is the flavor of the month.”
Creators, Lacaillade said, would rather spend their time deepening existing relationships instead of working on a new social media service that could quickly lose steam.
Threads “had this really splashy entrance,” Lacaillade said. The true test, he said, will be Meta’s ability to find sustained momentum.
As it stands now, creators don’t have a way to monetize their presence on Threads. There’s no advertising, so brands aren’t looking for influencer partners, and it’s not clear if Threads can turn into a channel to help them steer people to sites where they can sell merchandise or promote their Patreon pages, he said.
A Meta spokesperson said in an email that the company’s priority “is to build consumer value first and foremost” in order “to explore how to build business value in a way that doesn’t compromise the consumer experience.”
The spokesperson also pointed to Mosseri’s previous public statements describing how Instagram “has been entirely focused on keeping the lights on and fixing bugs, but we’re starting to priorite the obvious missing features, like a following feed, the edit button, and post search.”
‘Starving for regular monetization’
Creators say YouTube remains the No. 1 outlet for influencers to build lasting careers.
“What other platform outside of YouTube has the ability to keep you or any viewer interested for longer than 30 seconds?” Floruss said. “You have the attention of people that’s worth a lot of money to advertisers.”
While Twitter struggles with advertisers, the site is trying to gain relevance among creators. The company recently began paying some verified users when ads are served in their conversations. That could entice some people to use Twitter over Threads, said Tameka Bazile, who works in artist relations and marketing at Time.
Bazile noted that some Twitter users have posted that they’ve received payments as high as $35,000, and she said that could be an attractive way to draw in “micro-influencers” or “nano-influencers,” who lack big audiences but have established some name recognition in certain communities.
“The creator economy is starving for regular monetization,” she said.
Twitter hasn’t revealed some important details of how it’s paying certain creators like the percentage revenue share they’re getting from ads, industry experts said.
Brendan Gahan, a partner and chief social officer at ad agency Mekanism, said Twitter’s system needs some transparency.
“It feels like right now Twitter has just granted a bunch of random accounts,” Gahan said.
Twitter didn’t provide a comment for this story.
Sasha Kaletsky, co-founder and managing partner of Creator Ventures, said in an email that it’s “almost impossible” for Twitter’s recent influencer payment plans to compete with brand deals from Instagram or YouTube.
Like with Threads, creators will wait to see how Twitter works for their peers before “spending much more time making content there,” Kaletsky said.
Marketing influencer Jack Appleby said his income is derived from a mix of brand sponsorships on platforms like Twitter and LinkedIn and his own newsletter as well as from speaking engagements.
For Threads to become important to creators, Appleby said the app needs to have better analytics so they can measure engagement and prove to brands that they have reach.
Appleby likes how Threads allows for posts to be up to 500 characters, which he said lets him write more complete thoughts. Tweets max out at 280 characters, except for paying subscribers, who can write messages with up to 25,000 characters. Appleby said he definitely doesn’t need that much space.
“My hope is that Threads allows us to like be a little more human,” he said.
As for Moller, the comedian, he’s hoping Threads continues to feel playful and fun. With time and some clever features, perhaps the engagement will be strong enough that it can help his entertainment career.
“This came along, and I was like, I’m sure Zuckerberg is not putting out something half-assed,” he said.
Meta CEO Mark Zuckerberg appears at the Meta Connect event in Menlo Park, California, Sept. 25, 2024.
David Paul Morris | Bloomberg | Getty Images
Meta CEO Mark Zuckerberg slammed rival tech giant Apple for lackluster innovation efforts and “random rules” in a lengthy podcast interview on Friday.
“On the one hand, [the iPhone has] been great, because now pretty much everyone in the world has a phone, and that’s kind of what enables pretty amazing things,” Zuckerberg said in an episode of the “Joe Rogan Experience.” “But on the other hand … they have used that platform to put in place a lot of rules that I think feel arbitrary and [I] feel like they haven’t really invented anything great in a while. It’s like Steve Jobs invented the iPhone, and now they’re just kind of sitting on it 20 years later.”
Zuckerberg added that he thought iPhone sales were struggling because consumers are taking longer to upgrade their phones because new models aren’t big improvements from prior iterations.
“So how are they making more money as a company? Well, they do it by basically, like, squeezing people, and, like you’re saying, having this 30% tax on developers by getting you to buy more peripherals and things that plug into it,” Zuckerberg said. “You know, they build stuff like Air Pods, which are cool, but they’ve just thoroughly hamstrung the ability for anyone else to build something that can connect to the iPhone in the same way.”
Apple defends itself from pushback from other companies by saying that it doesn’t want to violate consumers’ privacy and security, according to Zuckerberg. But he said that the problem would be solved if Apple fixed its protocol, like building better security and using encryption.
“It’s insecure because you didn’t build any security into it. And then now you’re using that as a justification for why only your product can connect in an easy way,” Zuckerberg said.
Zuckerberg said that if Apple stopped applying its “random rules,” Meta’s profit would double.
He also took shots at Apple’s Vision Pro headset, which had disappointing U.S. sales. Meta sells its own virtual headsets called the Meta Quest.
“I think the Vision Pro is, I think, one of the bigger swings at doing a new thing that they tried in a while,” Zuckerberg said. “And I don’t want to give them too hard of a time on it, because we do a lot of things where the first version isn’t that good, and you want to kind of judge the third version of it. But I mean, the V1, it definitely did not hit it out of the park.”
“I heard it’s really good for watching movies,” he added.
Apple did not immediately respond to a request for comment from CNBC.
Mark Zuckerberg’s announcement this week that Meta would pivot its moderation policies to allow more “free expression” was widely viewed as the company’s latest effort to appease President-elect Donald Trump.
More than any of its Silicon Valley peers, Meta has taken numerous public steps to make amends with Trump since his election victory in November.
That follows a highly contentious four years between the two during Trump’s first term in office, which ended with Facebook — similar to other social media companies — banning Trump from its platform.
As recently as March, Trump was using his preferred nickname of “Zuckerschmuck” when talking about Meta’s CEO and declaring that Facebook was an “enemy of the people.”
With Meta now positioning itself to be a key player in artificial intelligence, Zuckerberg recognizes the need for White House support as his company builds data centers and pursues policies that will allow it to fulfill its lofty ambitions, according to people familiar with the company’s plans who asked not to be named because they weren’t authorized to speak on the matter.
“Even though Facebook is as powerful as it is, it still had to bend the knee to Trump,” said Brian Boland, a former Facebook vice president, who left the company in 2020.
Meta declined to comment for this article.
In Tuesday’s announcement, Zuckerberg said Meta will end third-party fact-checking, remove restrictions on topics such as immigration and gender identity and bring political content back to users’ feeds. Zuckerberg pitched the sweeping policy changes as key to stabilizing Meta’s content-moderation apparatus, which he said had “reached a point where it’s just too many mistakes and too much censorship.”
The policy change was the latest strategic shift Meta has taken to buddy up with Trump and Republicans since Election Day.
A day earlier, Meta announced that UFC CEO Dana White, a longtime Trump friend, is joining the company’s board.
And last week, Meta announced that it was replacing Nick Clegg, its president of global affairs, with Joel Kaplan, who had been the company’s policy vice president. Clegg previously had a career in British politics with the Liberal Democrats party, including as a deputy prime minister, while Kaplan was a White House deputy chief of staff under former President George W. Bush.
Kaplan, who joined Meta in 2011 when it was still known as Facebook, has longstanding ties to the Republican Party and once worked as a law clerk for the late conservative Supreme Court Justice Antonin Scalia. In December, Kaplan posted photos on Facebook of himself with Vice President-elect JD Vance and Trump during their visit to the New York Stock Exchange.
Joel Kaplan, Facebook’s vice president of global policy, on April 17, 2018.
Niall Carson | PA Images | Getty Images
Many Meta employees criticized the policy change internally, with some saying the company is absolving itself of its responsibility to create a safe platform. Current and former employees also expressed concern that marginalized communities could face more online abuse due to the new policy, which is set to take effect over the coming weeks.
Despite the backlash from employees, people familiar with the company’s thinking said Meta is more willing to make these kinds of moves after laying off 21,000 employees, or nearly a quarter of its workforce, in 2022 and 2023.
Those cuts affected much of Meta’s civic integrity and trust and safety teams. The civic integrity group was the closest thing the company had to a white-collar union, with members willing to push back against certain policy decisions, former employees said. Since the job cuts, Zuckerberg faces less friction when making broad policy changes, the people said.
Zuckerberg’s overtures to Trump began in the months leading up to the election.
Following the first assassination attempt on Trump in July, Zuckerberg called the photo of Trump raising his fist with blood running down his face “one of the most badass things I’ve ever seen in my life.”
A month later, Zuckerberg penned a letter to the House Judiciary Committee alleging that the Biden administration had pressured Meta’s teams to censor certain Covid-19 content.
“I believe the government pressure was wrong, and I regret that we were not more outspoken about it,” he wrote.
After Trump’s presidential victory, Zuckerberg joined several other technology executives who visited the president-elect’s Mar-a-Lago resort in Florida. Meta also donated $1 million to Trump’s inaugural fund.
On Friday, Meta revealed to its workforce in a memo obtained by CNBC that it intends to shutter several internal programs related to diversity and inclusion in its hiring process, representing another Trump-friendly move.
The previous day, some details of the company’s new relaxed content-moderation guidelines were published by the news site The Intercept, showing the kind of offensive rhetoric that Meta’s new policy would now allow, including statements such as “Migrants are no better than vomit” and “I bet Jorge’s the one who stole my backpack after track practice today. Immigrants are all thieves.”
Recalibrating for Trump
Zuckerberg, who has been dragged to Washington eight times to testify before congressional committees during the last two administrations, wants to be perceived as someone who can work with Trump and the Republican Party, people familiar with the matter said.
Though Meta’s content-policy updates caught many of its employees and fact-checking partners by surprise, a small group of executives were formulating the plans in the aftermath of the U.S. election results. By New Year’s Day, leadership began planning the public announcements of its policy change, the people said.
Meta typically undergoes major “recalibrations” after prominent U.S. elections, said Katie Harbath, a former Facebook policy director and CEO of tech consulting firm Anchor Change. When the country undergoes a change in power, Meta adjusts its policies to best suit its business and reputational needs based on the political landscape, Harbath said.
“In 2028, they’ll recalibrate again,” she said.
After the 2016 election and Trump’s first victory, for example, Zuckerberg toured the U.S. to meet people in states he hadn’t previously visited. He published a 6,000-word manifesto emphasizing the need for Facebook to build more community.
The social media company faced harsh criticism about fake news and Russian election interference on its platforms after the 2016 election.
Following the 2020 election, during the heart of the pandemic, Meta took a harder stand on Covid-19 content, with a policy executive saying in 2021 that the “amount of COVID-19 vaccine misinformation that violates our policies is too much by our standards.” Those efforts may have appeased the Biden administration, but it drew the ire of Republicans.
Meta is once again reacting to the moment, Harbath said.
“There wasn’t a business risk here in Silicon Valley to be more right-leaning,” Harbath said.
While Trump has offered few specific policy proposals for his second administration, Meta has plenty at stake.
The White House could create more relaxed AI regulations compared with those in the European Union, where Meta says harsh restrictions have resulted in the company not releasing some of its more advanced AI technologies. Meta, like other tech giants, also needs more massive data centers and cutting-edge computer chips to help train and run their advanced AI models.
“There’s a business benefit to having Republicans win, because they are traditionally less regulatory,” Harbath said.
Meta’s CEO Mark Zuckerberg reacts as he testifies during the Senate Judiciary Committee hearing on online child sexual exploitation at the U.S. Capitol in Washington, U.S., January 31, 2024.
Evelyn Hockstein | Reuters
Meta isn’t alone in trying to cozy up to Trump. But the extreme measures the company is taking reflects a particular level of animus expressed by Trump over the years.
Trump has accused Meta of censorship and has expressed resentment over the company’s two-year suspension of his Facebook and Instagram accounts following the Jan. 6 attack on the Capitol.
In July 2024, Trump posted on Truth Social that he intended to “pursue Election Fraudsters at levels never seen before, and they will be sent to prison for long periods of time,” adding “ZUCKERBUCKS, be careful!” Trump reiterated that statement in his book, “Save America,” writing that Zuckerberg plotted against him during the 2020 election and that the Meta CEO would “spend the rest of his life in prison” if it happened again.
Meta spends $14 million annually on providing personal security for Zuckerberg and his family, according to the company’s 2024 proxy statement. As part of that security, the company analyzes any threats or perceived threats against its CEO, according to a person familiar with the matter. Those threats are cataloged, analyzed and dissected by Meta’s multitude of security teams.
After Trump’s comments, Meta’s security teams analyzed how Trump could weaponize the Justice Department and the country’s intelligence agencies against Zuckerberg and what it would cost the company to defend its CEO against a sitting president, said the person, who asked not to be named because of confidentiality.
Meta’s efforts to appease the incoming president bring their own risks.
After Zuckerberg announced the new speech policy Tuesday, Boland, the former executive, was among a number of users who took to Meta’s Threads service to tell their followers that they were quitting Facebook.
“Last post before deleting,” Boland wrote in his post.
Before the post could be seen by any of his Threads followers, Meta’s content moderation system had taken it down, citing cybersecurity reasons.
Boland told CNBC in an interview that he couldn’t help but chuckle at the situation.
“It’s deeply ironic,” Boland said.
— CNBC’s Salvador Rodriguez contributed to this report.
Apple is losing market share in China due to declining iPhone shipments, supply chain analyst Ming-Chi Kuo wrote in a report on Friday. The stock slid 2.4%.
“Apple has adopted a cautious stance when discussing 2025 iPhone production plans with key suppliers,” Kuo, an analyst at TF Securities, wrote in the post. He added that despite the expected launch of the new iPhone SE 4, shipments are expected to decline 6% year over year for the first half of 2025.
Kuo expects Apple’s market share to continue to slide, as two of the coming iPhones are so thin that they likely will only support eSIM, which the Chinese market currently does not promote.
“These two models could face shipping momentum challenges unless their design is modified,” he wrote.
Kuo wrote that in December, overall smartphone shipments in China were flat from a year earlier, but iPhone shipments dropped 10% to 12%.
There is also “no evidence” that Apple Intelligence, the company’s on-device artificial intelligence offering, is driving hardware upgrades or services revenue, according to Kuo. He wrote that the feature “has not boosted iPhone replacement demand,” according to a supply chain survey he conducted, and added that in his view, the feature’s appeal “has significantly declined compared to cloud-based AI services, which have advanced rapidly in subsequent months.”
Apple’s estimated iPhone shipments total about 220 million units for 2024 and between about 220 million and 225 million for this year, Kuo wrote. That is “below the market consensus of 240 million or more,” he wrote.
Apple did not immediately respond to CNBC’s request for comment.