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The news: Funding for US-based creator economy companies hit a four-year high in Q1 with $928 million in investments, per The Information, up about 140% YoY.

Meta and TikTok recently asked an appellate court to dismiss claims that the platforms harm teens, and Texas launched an investigation in December into 15 different companies and platforms, including Instagram, TikTok, and Reddit, over alleged mishandling of underage user data and privacy.

It combines Reels, long videos, and live videos, similar to TikTok. Snap has redesigned its app. It combines Stories and Spotlight into a unified entertainment feed that is separate from the chat tab and camera. Some 117.9 million US TikTok users could be up for grabs in 2025. Our estimate doesn鈥檛 include the over 7 million US businesses that TikTok says also use the platform.

Altman responded by clarifying that 鈥淥penAI鈥檚 mission is not for sale,鈥� adding that Musk 鈥渋s probably just trying to slow us down. He obviously is a competitor.鈥�. Meta is reportedly planning to add a social feed to its upcoming standalone AI assistant app, which will rival ChatGPT. When reports of this plan first came out, Altman stated on X that 鈥渕aybe [OpenAI will] do a social app.鈥�.

With TikTok in limbo, Neptune is pitching itself as a mental-health-conscious, creator-first alternative, but it鈥檒l need more than good vibes to scale

Meta argues that it鈥檚 not a monopoly, that those acquisitions fueled its growth, and that it faces strong competition from players like YouTube, TikTok, X, Apple, and more. If the court agrees with the FTC, a separate trial could force Meta to divest Instagram and WhatsApp. Looking back: When Meta purchased Instagram in 2012 for $1 billion, the app only had about 30 million users.

Trump鈥檚 鈥淟iberation Day鈥� provides little clarity: The tariff announcements, while far-ranging and punitive for the 鲍厂鈥� largest trading partners, failed to lift the cloud of uncertainty hanging over businesses and consumers.

Even though its future in the US is more uncertain than ever, advertisers were completely unfazed by the prospect of a TikTok ban in 2024. And they鈥檙e heading toward the new year quite confident that the platform will be around in 2025.

Click here to view our full forecast for US creator economy revenues. Predictions. Audio services will battle for podcast creators. In 2025, US podcast listeners will spend 1 minute more per day on podcasts than US TikTok users will spend on TikTok, per our forecasts. The talent agency landscape will shift to accommodate creators.

Nearly three-quarters (72%) of US Gen Zers find new media content on platforms like TikTok and Instagram, per Toluna. The competition: Instagram has an opportunity to successfully move into the search space that鈥檚 dominated by Google, with other platforms closing in. Google may be reexamining its future as the default search provider as social platforms eat into its engagement.

K-beauty demand is soaring: South Korea outpaced France as the top source of US cosmetics imports in 2024.

Poshmark and ThredUp may benefit from rising merchant prices on TikTok Shop and Amazon, where many third-party sellers get their items from China. Hubs for online ad spending鈥攊ncluding Facebook, Pinterest, and TikTok鈥攃ould see revenues decline if international companies like Temu and Shein reduce their budgets.

The trend: US generations differ on what types of apps they download, with social media and music apps taking the lead among younger generations, per a YouGov survey. Gen Zers, millennials, and Gen Xers all download social media and music apps the most, with messaging/email and gaming apps close behind. Baby boomers prefer weather apps the most, followed by social media and messaging and email apps.

Luxury brands are grappling with downturns in the US and China, the largest markets for personal luxury goods, and will have to seize opportunities for growth from new markets and product innovation.

The news: Gen Z and young millennials are aggressively saving to retire by 40鈥攃hallenging stereotypes of overspending on luxury and leisure鈥攆ollowing the advice of TikTok influencer Mia McGrath, per Yahoo Finance. The details: McGrath is an advocate for the FIRE (financial independence, retire early) movement, which has gained popularity across social media.