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Can Trump kill the TikTok ban?
Plus, Zuckerberg and T-Pain form a musical duo.
TOGETHER WITH
It’s Thursday and Netflix & Chill is facing some competition. A new feature will allow Meta Quest users to co-watch YouTube videos in VR with their special friend (or up to seven special friends, if that’s more your thing).
Today’s News
👨⚖️ Will Trump overturn the upcoming TikTok ban?
📈 Kids and Shorts climb the YouTube charts
📺 Netflix’s ad tier surges to 70M monthly subscribers
🎄 Nicki Minaj and the D’Amelios join TikTok Shop’s holiday push
🎤 Mark Zuckerberg records a cover with T-Pain
DIVEST, BAN, OR OVERTURN
Will Donald Trump overturn the “divest-or-ban” TikTok law?
The law: Donald Trump’s next term could prove to be the lucky break TikTok’s been looking for. According to The Washington Post, Trump’s subordinates expect him to press the undo button on the Protecting Americans From Foreign Adversaries Act (PAFFAA), which President Biden signed into law this past April .
While the “ban-or-divest” law is broad enough to regulate any number of apps with ties to foreign powers, it was specifically drafted to force a divestiture of TikTok by ByteDance. If the Bejing-based parent company doesn’t comply, TikTok could be banned in the U.S. as a result.
The campaign promise: Now, however, that outcome is beginning to look unlikely. While Trump attempted to strip TikTok’s Section 230 protections during his first term, his animosity toward Meta CEO Mark Zuckerberg made him an unexpected TikTok ally on the 2024 campaign trail. Ahead of his electoral win, Trump forged connections with TikTok brass like CEO Shou Zi Chew and explicitly promised to “save” the app. Now, a spokesperson for the president-elect’s transition team, Karoline Leavitt, says he “will deliver” on that vow.
The process behind that promise is less clear. PAFFAA has already been signed into law, so Trump can’t block it via veto. Passing a repeal in Congress could also prove tricky, since many legislators have worked to limit TikTok’s power. Ultimately, it’s possible that TikTok’s lawsuit against the United States will be PAFFAA’s undoing. Once he’s back in the White House, Trump could order his attorney general to forgo the case or tip the scales to ensure TikTok’s victory. Either way, it’s likely the move will grant Trump some goodwill among Gen Z—especially the young male voters that showed up for him on November 5.
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HEADLINES IN BRIEF 📰
LearnToon – Learn & Play went from 0 to 4.6 billion views in less than 9 months. The shiny new YouTube channel looks a lot like other chart-topping staples and viral hits from TheSoul Publishing, which seems to very much know what it’s doing. (Tubefilter)
YouTube’s latest test feature—an FYP-like feed of long-form videos—could be the edge it needs in its rivalry against TikTok. (The Verge)
In just one month, Bluesky has exploded from 9 million users to 15 million—a growth spurt that corresponds with the latest exodus of users from X. (Engadget)
Viewers can expect to see ads on Threads as soon as January 2025. (The Information)
A D.C. District Court Judge has rejected Meta’s request to dismiss an antitrust lawsuit from the Federal Trade Commission (FTC). (The Verge)
INDUSTRY UPDATE
Netflix’s ad tier now has 70 million monthly active users. It’ll lead to more measurement.
The rise: It’s only been two years since Netflix launched its first ad-supported subscription option—but according to Netflix President of Advertising Amy Reinhard, the tier has already reached 70 million monthly active users.
That’s a meteoric rise by any measurement: the number of Netflix subscribers watching with ads has nearly doubled since May, when the streamer reported 40 million ad-based customers.
The context: Things haven’t always been smooth sailing for Netflix’s ad-based tier. After fast-tracking the subscription option for launch in November 2022, Netflix encountered agency resistance, inventory issues, and negative reactions to its advertising rates. Ultimately, it had to refund some advertisers after falling short of volume projections. So, how did the streamer reverse course?
A crackdown on password sharing proved to be a lifesaver for Netflix’s ad-based tier. When the streamer informed customers that they could no longer share login info with users in other locations, signups went through the roof—especially for the cheapest tier. According to Reinhard, that ad-based option now claims half of new signups in regions where it’s available.
Next steps: As ad-supported tier figures become increasingly important to current and potential advertisers, Reinhard says her team has partnered with Nielsen to provide ratings for its upcoming Christmas Day NFL slate. Netflix has also teamed up with measurement firm VideoAmp on top of releasing its biannual “What We Watched” reports, which offer exhaustive viewership data for the streamer’s entire library.
SEASON OF GIVING
TikTok is making a big holiday shopping push. Nicki Minaj and the D’Amelios are on board.
The campaign: As the holidays approach, TikTok is going all in on shoppable live streams. A star-studded slate of TikTok LIVE streams will take place from November 14 to December 2, with celebrity hosts like Nicki Minaj and the D’Amelio Family sharing their favorite TikTok Shop finds.
Those gift guides will include items from some of the 500,000+ U.S. sellers who have joined Shop as of May 2024, but fans can also expect to see a number of creator products. The D’Amelio stream, for example, will showcase the family’s footwear brand, while Minaj plans to highlight items from her Pink Friday Nails line.
The rapper is set to go live on the Sunday before Thanksgiving, after which Stormi Steele will key in TikTok viewers on Black Friday (November 29). SimplyMandys will then wrap things up with a Cyber Monday shopping event on December 2.
The context: TikTok’s shoppable holiday streams are reminiscent of creator-hosted broadcasts on YouTube, which the rival platform has used to promote its shopping hub and associated features. TikTok is taking additional steps to ensure the success of its own Western ecommerce ambitions. In addition to its holiday push, the Bytedance-owned app has formed partnerships with brands and agencies to stock its virtual shelves and is actively educating Shop partners about ecommerce tactics that thrive in Asia.
LISTEN UP 🎙️
Mark Zuckerberg and T-Pain just released their first musical collab. (Yes, you read that right.)
The cover: Mark Zuckerberg might be the founder of Facebook, but he’s also a verified wife guy. Not long after commissioning a massive statue of his partner, Priscilla Chan, the Meta CEO has unveiled another romantic gesture—and this time, he’s pulled T-Pain into his amorous scheming.
Spotify listeners can now tune into Zuck and T-Pain’s very own iteration of Lil Jon’s “Get Low,” which was recorded as a “date-aversary gift” to Chen. The cover marks the musical duo’s first collab as “Z-Pain” and apparently pays homage to Zuckerberg and his wife’s first meeting at a college party in the early aughts.
Check it out here.
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Today's newsletter is from: Emily Burton, Drew Baldwin, Sam Gutelle, and Josh Cohen.