Bluesky has reached 40 million users, up from 38 million in August. This growth is significant, but it highlights a trend of slowing momentum. After a rapid increase last year—where Bluesky jumped from 5 million to 20 million users in just a few months—its pace has dropped substantially. From November 2024 to March 2025, it gained 10 million users, and in the last seven months, it added 10 million more, averaging about 1.4 million new users each month now. This stark contrast to earlier peaks raises questions about its long-term viability, especially as it remains ad-free. While Bluesky has a dedicated user base, its position as a competitor in the social media landscape is diminishing. Threads and X have surged ahead, with Threads boasting 400 million users thanks to its integration with Instagram. Despite this, Bluesky still attracts a passionate community, focusing on intelligent discussions and niche topics. Recent features like improved media sharing and a new logo aim to enhance user experience. However, overall posting activity has been declining, signaling potential challenges in maintaining user engagement. For brands considering a presence on Bluesky, the decision hinges on their target audience. The platform has value for specific groups, but its reach is limited compared to larger competitors. Engaging with the community could yield benefits, especially if discussions on Bluesky translate to broader platforms. With the likelihood of introducing ads in the future, the app's current reliance on seed funding raises further concerns about its sustainability.