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Omdia: Social media advertising to command nearly half of global online ad revenue by 2030 as market reaches $640 billion

Business

Omdia: Social media advertising to command nearly half of global online ad revenue by 2030 as market reaches $640 billion
Business

Business

Omdia: Social media advertising to command nearly half of global online ad revenue by 2030 as market reaches $640 billion

2026-05-12 16:44 Last Updated At:16:50

LONDON--(BUSINESS WIRE)--May 12, 2026--

Social media advertising revenue is projected to rise at a compound annual growth rate (CAGR) of 12% over the next five years, reaching $640 billion by the end of 2030, according to Omdia’s Social Media Advertising Market Landscape 2026 report, its first-ever research focusing exclusively on social media advertising.

This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20260511495182/en/

During the same period, social media’s share of total online advertising is expected to increase by 10 percentage points, from 33% to 44%, making it one of the fastest-growing advertising segments alongside retail media.

Rising user engagement, advertisers' growing preference for full-funnel solutions, and the proliferation of self-serve platforms are key factors underpinning social media platforms’ sustained performance.

Social media advertising revenue is increasingly being driven by video formats such as Reels, TikTok, Shorts, and Stories. In full-year 2025, video accounted for 60% of total social media advertising revenue. Platforms are not only expanding their video advertising revenue but also capturing budgets historically directed toward other digital channels, including online publisher inventory and broadcasters' digital offerings. Over time, increases in high-value video ad load, improved commerce capabilities, and clearer segmentation between performance-driven and premium formats will drive additional revenue growth for social platforms.

Crucially, 90% of global social media advertising revenue is generated by just half a dozen apps, namely Facebook, Instagram, Douyin, YouTube, TikTok, and WeChat, highlighting the segment’s highly concentrated market structure. Meta effectively dominates through ownership of both Facebook and Instagram apps. Together, they accounted for 54% of the social media advertising revenue in 2025, rising to almost 70% when China is excluded.

“AI-driven targeting and recommendation algorithms are turbocharging the advantage of these big players,” said Kia Ling Teoh, Principal Analyst at Omdia. “These capabilities favor ‘walled garden’ platforms with deep user data and sophisticated computing infrastructure, locking out smaller players and funneling ad dollars to the top.”

However, maintaining this dominance will require a balanced approach to both monetization and user experience. Over-saturating feeds with ads can alienate users and undermine long-term engagement. Sustained growth will depend on balancing AI‑driven ad optimization with preserving the user experience.

About Omdia

Omdia, part of TechTarget, Inc. d/b/a Informa TechTarget (Nasdaq: TTGT), is a technology research and advisory group. Our deep knowledge of tech markets grounded in real conversations with industry leaders and hundreds of thousands of data points, make our market intelligence our clients’ strategic advantage. From R&D to ROI, we identify the greatest opportunities and move the industry forward.

Global social and non-social media advertising revenue and shares, $bn and %, 2020–30

Global social and non-social media advertising revenue and shares, $bn and %, 2020–30

CARACAS, Venezuela (AP) — The U.S. military conducted a rapid response exercise involving Marines and military aircraft in Venezuela’s capital Saturday, over four months after the ouster of then-President Nicolás Maduro.

Two Marine Corps Osprey aircraft, which have characteristics of both a helicopter and a fixed-wing airplane, flew over the recently reopened U.S. Embassy in Caracas. They landed in the parking lot with the downdraft blowing tree branches. Forces then descended from the aircraft.

“Ensuring the military’s rapid response capability is a key component of mission readiness, both here in Venezuela and around the world,” the embassy said on Instagram.

Venezuela’s government had announced the drill earlier this week. Foreign Minister Yván Gil said the U.S. would conduct the exercise to prepare “in the event of medical emergencies or catastrophic emergencies.”

The drill comes almost two months after the U.S. formally reopened its embassy in Caracas. The reopening followed the restoration of full diplomatic relations with the South American country after Maduro 's ouster in early January.

Some Caracas residents Saturday gathered near the embassy to watch the aircraft, while a few dozen others gathered elsewhere in the city to protest the exercise. Protesters held a Venezuelan flag with the message “No to the Yankee drill” written over it.

U.S. military aircraft last flew over Caracas on Jan. 3, when elite forces rappelled down from helicopters and captured Maduro and his wife. Both were taken to New York to face drug trafficking charges. They have pleaded not guilty.

U.S. Embassy holds emergency and air evacuation drill in Caracas, Venezuela, Saturday, May 23, 2026. (AP Photo/Pedro Mattey)

U.S. Embassy holds emergency and air evacuation drill in Caracas, Venezuela, Saturday, May 23, 2026. (AP Photo/Pedro Mattey)

U.S. Embassy holds emergency and air evacuation drill in Caracas, Venezuela, Saturday, May 23, 2026. (AP Photo/Pedro Mattey)

U.S. Embassy holds emergency and air evacuation drill in Caracas, Venezuela, Saturday, May 23, 2026. (AP Photo/Pedro Mattey)

U.S. Embassy holds emergency and air evacuation drill in Caracas, Venezuela, Saturday, May 23, 2026. (AP Photo/Pedro Mattey)

U.S. Embassy holds emergency and air evacuation drill in Caracas, Venezuela, Saturday, May 23, 2026. (AP Photo/Pedro Mattey)

A soldier looks down from a military aircraft as the U.S. Embassy holds an emergency and air evacuation drill in Caracas, Venezuela, Saturday, May 23, 2026. (AP Photo/Pedro Mattey)

A soldier looks down from a military aircraft as the U.S. Embassy holds an emergency and air evacuation drill in Caracas, Venezuela, Saturday, May 23, 2026. (AP Photo/Pedro Mattey)

U.S. Embassy holds emergency and air evacuation drill in Caracas, Venezuela, Saturday, May 23, 2026. (AP Photo/Pedro Mattey)

U.S. Embassy holds emergency and air evacuation drill in Caracas, Venezuela, Saturday, May 23, 2026. (AP Photo/Pedro Mattey)

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