WhatsApp Introduces Targeted Ads in Updates Tab to Boost Meta Revenue

Photo: AP

In a major shift from its longstanding ad-free model, WhatsApp will soon display advertisements in its Updates tab—home to Status and Channels—beginning June 16. The move marks Meta’s most significant attempt to monetize the messaging app's vast user base, which now includes more than 3 billion monthly users and some 1.5 billion daily users engaging with Updates.

Meta assures users that core messaging spaces—private chats, voice and video calls, and personal statuses—remain untouched and end-to-end encrypted. Only the Updates tab, a separate section, will host ads. This aligns with WhatsApp’s commitment not to monetize user conversations. Targeting will rely on limited metadata such as country, language, followed Channels, and interactions with ads—not on private messages or phone numbers. 

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Alongside ads, WhatsApp is rolling out paid features within Channels. Creators and organizations can now charge subscription fees for exclusive content, while businesses can boost visibility through promoted Channels in the Explore directory. These initiatives echo Meta’s broader strategy to expand messaging into a commercial hub.

Investors responded positively—Meta's stock rose approximately 3% after the announcement. According to Investopedia, traders view the monetization of WhatsApp as critical amid slowing revenue growth across Meta’s core platforms. 

However, privacy advocates are raising alarms. The Electronic Frontier Foundation notes that while personal conversations remain private, the collection of metadata for ad targeting could still threaten user privacy and facilitate unwanted profiling. Critics warn that even a limited data set, when combined across platforms, can be used to identify individuals.

Signal’s president, Meredith Whittaker, mocked WhatsApp’s new direction, saying, “We lead; we don’t clutter our product with AI and ads,” reinforcing the platform’s positioning as a privacy-centric alternative.

Regulatory scrutiny is also on the horizon. European privacy groups argue Meta’s ad rollout may conflict with the EU's stringent data protection rules, even though personal messages remain encrypted. Meta contends that ads are compliant and user consent is obtained via the Accounts Center. 

The ad addition marks WhatsApp’s boldest step in shifting toward a WeChat-style model, integrating commerce and content alongside messaging. Meta aims to close revenue gaps as ad pressure mounts across its platforms. Time will tell whether users accept the change—or migrate to ad-free alternatives like Signal or Telegram.