Meta Subscriptions Could Drive $20B Revenue by 2030, Analysts Say
TFC•Meta's new Instagram, Facebook, WhatsApp and AI subscriptions, priced between $2.99 and $19.99 monthly, could attract over 360 million subscribers and generate $20 billion in revenue by 2030. Truist projects these subscriptions will contribute about 5% of Meta's sales and reiterated a Buy rating with an $840 target.
1. Subscription Launch
Meta introduced paid plans for Instagram, Facebook and WhatsApp last month alongside subscriptions for its AI chatbot. Facebook Plus and Instagram Plus cost $3.99 per month, WhatsApp Plus is $2.99 per month, Meta AI basic tier is $7.99 and premium tier is $19.99.
2. Truist Revenue Forecast
Truist analysts estimate more than 360 million subscribers by 2030, driving about $20 billion in annual revenue, roughly 5% of Meta's sales. This projection underscores Meta's strategy to diversify beyond digital advertising.
3. Subscription Impact on Growth
Meta's total revenue grew 33% to $56.3 billion last quarter, the fastest since December 2021, with subscriptions poised to add a new growth tailwind. The subscription model complements Meta's core ad business by providing recurring revenue streams.
4. Analyst Rating and Outlook
Truist maintained a Buy rating with an $840 price target, implying 44% upside from recent levels. The firm suggests future subscription offerings could include hardware-related services for devices like Meta glasses.
