Social Networking Sites in the US - Market Research Report (2014-2029)
New York, United States
Last Updated: June 2024
NAICS OD4574Revenue
$105.0bn
Past 5-Year Growth
Profit
$XX.Xbn
Employees
145k
Businesses
23,984
Wages
$XX.Xbn
Social Networking Sites in the US industry analysis
Since going mainstream over a decade ago, hundreds of millions of Americans have embraced social networking sites, including Meta, X, LinkedIn and dozens more. People use these networks to maintain relationships with friends, follow the news and share photos and videos. By leveraging user data for targeted advertisements, where most revenue is derived, sites have been able to capitalize on the popularity of their platforms. As a result, industry revenue has surged at a CAGR of 13.8% over the past five years, including an increase of 15.5% to total an estimated $104.9 billion in 2024 alone. The industry has benefited from the continual shift of advertising spending to the internet, the proliferation of internet-connected mobile devices and more powerful networks.
Trends and Insights
- Social networking sites’ revenue has increased alongside accelerating internet usage. As the internet has become more interwoven with everyday life, more consumers have joined social networking sites.
- Casual social networking sites dominate, but saturation looms. With platforms like Facebook, TikTok and Twitter leading the pack, everyone wants to stay connected and share their lives. Yet, in the U.S., these sites are nearing their user capacity.
- Areas with many start-ups attract social networking sites to locate in a particular region or state. Support networks for start-ups and access to talented employees also attract companies to specific areas.
- Social networking sites compete on the size of their user base. Since advertisers want their advertisements to be seen by the most people, they will spend more money on more popular sites.
Industry Overview
Market size and recent performance (2014-2029)
Industry revenue has grown at a CAGR of 13.8 % over the past five years, to reach an estimated $105.0bn in 2024.
Trends and Insights
Ever-rising internet usage has driven growth
- Social networking sites have boomed as the number of mobile internet connections has boosted the percentage of services conducted online. This percentage, which is a valuable measurement of the rising influence of the internet, has grown as people have increasingly used mobile devices to access social networking sites and other media platforms.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2024-2029)
Market size is projected to grow over the next five years.
Trends and Insights
Mixed economic conditions will contribute to revenue growth
- Mobile platforms will continue to drive revenue as smartphone and tablet market penetration grows. Mobile devices are the primary way that people access social media platforms, so social networking sites can generate a significant amount of revenue from mobile advertising.
Biggest companies in the Social Networking Sites in the US
| Company | Market Share (%)
2024 | Revenue ($m)
2024 | Profit ($m)
2024 | Profit Margin (%)
2024 |
|---|---|---|---|---|
Meta Platforms, Inc. | 47,410.3 | 19,332.9 | 40.8 | |
Linkedin Corp | 4,464.9 | 1,801.5 | 40.3 | |
Twitter, Inc. | 2,645.4 | 113.0 | 4.3 |
To view the market share and analysis for all 3 top companies in this industry, view purchase options.
Products & Services Segmentation
Source: IBISWorld
Industry revenue is measured across several distinct product and services lines, including Casual social networks, Media social networks and Professional social networks. Casual social networks is the largest segment of the Social Networking Sites in the US.
Trends and Insights
Casual social networking sites remain the most popular
- Casual social networking sites account for the most monthly active users (MAU). This segment is dominated by the likes of Meta's Facebook, TikTok and X (formerly Twitter).
- More insights available in the full report
Widen you competitive advantage with related industries
Competitors
- There are no industries to display.
Complementors
- Software Publishing in the US
- Internet Service Providers in the US
- Internet Publishing and Broadcasting in the US
- Search Engines in the US
International industries
- Data Processing & Hosting Services in Canada
- Cloud Storage Services in Australia
- Cloud Hosting and Data Processing Services in Australia
- Data Processing and Web Hosting Services in New Zealand
- Data Processing & Hosting Services in the UK
Table of Contents
About this industry
Industry definition
This industry includes social networking website publishers and developers. The industry doesn’t include companies that predominantly develop blogs, games, internet content, messaging services, online dating websites, online recruitment websites, online forums or online videos.
What's included in this industry?
Casual social networkingProfessional social networkingMedia social networkingInterest social networkingCompanies
Meta Platforms, Inc.Linkedin CorpTwitter, Inc.Purchase this report to view all 3 major companies in this industry.
Related Terms
SOCIAL NETWORKING SITESMICROBLOGACCELERATORIndustry Code
NAICS 51913 - Social Networking Sites in the US
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
Social networking sites’ revenue has increased alongside accelerating internet usage. As the internet has become more interwoven with everyday life, more consumers have joine...
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2014-2023) and forecast (2024-2029)
- Employees, including historical (2014-2023) and forecast (2024-2029)
- Businesses, including historical (2014-2023) and forecast (2024-2029)
- Profit, including historical (2014-2024)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
Casual social networking sites dominate, but saturation looms. With platforms like Facebook, TikTok and Twitter leading the pack, everyone wants to stay connected and share t...
In this chapter
- Products & Services
- Major Markets
Key metrics
- Largest market segment and value in 2024
- Product innovation level
Charts
- Products & services segmentation in 2024
- Major market segmentation in 2024
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
Areas with many start-ups attract social networking sites to locate in a particular region or state. Support networks for start-ups and access to talented employees also attr...
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each state
- Share of population compared to establishments in each region in 2024
Tables
- Number and share of establishments in each state in 2024
- Number and share of revenue each state accounts for in 2024
- Number and share of wages each state accounts for in 2024
- Number and share of employees in each state in 2024
Detailed analysis
- Geographic spread of the industry across North America, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
Social networking sites compete on the size of their user base. Since advertisers want their advertisements to be seen by the most people, they will spend more money on more ...
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2019-2024
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
LinkedIn has grown to be an industry leader because of the company’s emphasis on growing connections. Users of the site are encouraged to add new connections to grow their pr...
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2020 through 2024
- Major companies in the industry, including market share, revenue, profit and profit margin in 2024
- Overview of Meta Platforms, Inc.'s performance by revenue, market share and profit margin from 2018 through 2024
- Overview of Linkedin Corp's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of Twitter, Inc.'s performance by revenue, market share and profit margin from 2018 through 2024
Detailed analysis
- Description and key data for Meta Platforms, Inc., and factors influencing its performance in the industry
- Description and key data for Linkedin Corp, and factors influencing its performance in the industry
- Description and key data for Twitter, Inc., and factors influencing its performance in the industry
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
Copyright and IP laws can cause headaches for social networking sites, but safe harbor protections offer some relief. Platforms can dodge legal trouble by promptly addressing...
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2014-2029)
- Assistance historical data and forecast (2014-2029)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
Depreciation is a significant expense for social networking sites. These companies constantly update their infrastructure to stay competitive, leading to hefty depreciation c...
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Investment vs. share of economy
Data tables
- Industry Multiples (2017-2022)
- Industry Tax Structure (2017-2022)
- Income Statement (2017-2022)
- Balance Sheet (2017-2022)
- Liquidity Ratios (2017-2022)
- Coverage Ratios (2017-2022)
- Leverage Ratios (2017-2022)
- Operating Ratios (2017-2022)
- Cash Flow & Debt Service Ratios (2014-2029)
- Revenue per Employee (2014-2029)
- Revenue per Enterprise (2014-2029)
- Employees per Establishment (2014-2029)
- Employees per Enterprise (2014-2029)
- Average Wage (2014-2029)
- Wages/Revenue (2014-2029)
- Establishments per Enterprise (2014-2029)
- IVA/Revenue (2014-2029)
- Imports/Demand (2014-2029)
- Exports/Revenue (2014-2029)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2014-2029)
- IVA (2014-2029)
- Establishments (2014-2029)
- Enterprises (2014-2029)
- Employment (2014-2029)
- Exports (2014-2029)
- Imports (2014-2029)
- Wages (2014-2029)
Methodology
How are IBISWorld reports created?
IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in the US include:
- US Census Bureau
- US Bureau of Labor Statistics
- US International Trade Commission
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
Learn more about our methodology and data sourcing on the Help Center.
Frequently Asked Questions
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Social Networking Sites in the US industry in United States in 2024?
The market size of the Social Networking Sites in the US industry in United States is $105.0bn in 2024.
How many businesses are there in the Social Networking Sites in the US industry in 2024?
There are 23,984 businesses in the Social Networking Sites in the US industry in United States, which has grown at a CAGR of 11.7 % between 2019 and 2024.
Has the Social Networking Sites in the US industry in United States grown or declined over the past 5 years?
The market size of the Social Networking Sites in the US industry in United States has been growing at a CAGR of 13.8 % between 2019 and 2024.
What is the forecast growth of the Social Networking Sites in the US industry in United States over the next 5 years?
Over the next five years, the Social Networking Sites in the US industry in United States is expected to grow.
What are the biggest companies in the Social Networking Sites in the US market in United States?
The biggest companies operating in the Social Networking Sites market in United States are Meta Platforms, Inc., Linkedin Corp and Twitter, Inc.
What does the Social Networking Sites in the US in United States include?
Casual social networking and Professional social networking are part of the Social Networking Sites in the US industry.
Which companies have the highest market share in the Social Networking Sites in the US in United States?
The company holding the most market share in United States is Meta Platforms, Inc..
How competitive is the Social Networking Sites in the US industry in United States?
The level of competition is high and steady in the Social Networking Sites in the US industry in United States.
