Will Instagram and YouTube Reap Billions Following Potential TikTok Ban?

The possibility of TikTok being banned in the United States has sent ripples through the advertising world, with estimates suggesting that a staggering $11 billion in ad revenue is up for grabs. Industry experts are closely watching as Instagram and YouTube, with their respective short-video formats, Reels and Shorts, are well-positioned to capitalize on the situation—potentially claiming a significant portion of TikTok's advertising budget.Reuters reports. In a surprising turn of events, a new Chinese social media application has surged to the top of the US App Store, amassing nearly 3 million users in just one day. As the uncertainty surrounding TikTok's future mounts, advertisers find themselves scrambling to adjust their strategies. Should the ban become a reality, both Instagram and YouTube could experience a significant boost in ad revenue, particularly as advertisers look for efficient platforms where they can redirect their investments. Amidst this uncertainty, internally at TikTok, employees are reportedly left without clarity about the future following the impending decision. The company has proposed generous refund policies to advertisers if their campaigns are impacted by the potential ban.