Facebook launches Reels globally, betting on 'fastest growing' format

Facebook has launched its short video feature Reels globally, its owner Meta Platforms said on Tuesday, in a move to expand its fastest growing content format after reports that overall user numbers are down.

The social media giant, which recently announced a massive pivot into virtual reality products, lost a third of its market value after a dismal earnings report in February. It has highlighted Reels as a key priority to court younger users.

Meta launched Reels on Instagram in 2020 and on Facebook in 2021 as its answer to the explosively popular short-video app TikTok, which is owned by Chinese tech giant ByteDance.

The near-copy of the rival platform drew criticisms and allegations of anti-competitive behavior, as Facebook has a history of borrowing key features of its biggest rivals.

The company, which says video now accounts for half of the time people spend on Facebook, also announced new ways for creators to make money through the Reels feature.

It said it was expanding its program to pay creators bonuses to more countries and was testing overlay ads using banners and stickers for creators to earn ad revenue. It would roll out full-screen ads between Reels soon.

In its Tuesday announcement, Meta also said it would roll out updates for users to make and see Facebook Reels in new places, such as in its Stories feature, its Watch tab and at the top of the news feed. In some countries, users will also see suggested Reels in their feed.