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Graphic showing the rise of Instagram Reels ad share in 2025
EconomyAI Analysis

Meta Instagram Reels Ad Share 2025: Short-form Now Powers Over Half of All Ads

2 min readSource

In 2025, Meta's Instagram Reels ad share surpassed 50%. Driven by AI recommendations, the short-form format now dominates the platform's ad volume. Read the full analysis.

Every other ad you see on Instagram is now a Reel. According to data from market intelligence firm Sensor Tower, more than 50% of all ads on Meta's Instagram ran within the Reels short-form video product in 2025. That's a massive jump from the 35% share recorded in 2024.

Meta Instagram Reels Ad Share 2025: A Dominant Shift

The numbers don't lie—users are addicted to vertical video. In the U.S., Reels accounted for 46% of time spent on Instagram in 2025, up from 37% the previous year. Even on the Facebook app, Reels usage climbed to 29%. This surge highlights how Reels has evolved from a TikTok clone into Meta's primary engine for engagement.

Metric20242025
Instagram Ad Share35%>50%
Time Spent on IG (US)37%46%
IG Monthly Active Users-3 Billion

The AI Advantage in Vertical Video

Meta's aggressive push into Artificial Intelligence is paying off. By refining its recommendation algorithms, Meta can serve increasingly relevant content, keeping users scrolling longer. Analysts suggest that this AI play is what's allowed Reels to scale its revenue run rate past the $50 billion mark as of late last year.

Eyes on Jan 28 Earnings Report

All eyes are on January 28, when Meta will report its Q4 and full-year results for 2025. Investors want to see if Reels has finally closed the monetization gap with YouTube Shorts and if Mark Zuckerberg's pivot away from direct creator payments has bolstered the bottom line.

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