Snap Reports Growth Amid TikTok Uncertainty

Snapchat has reported that the uncertainty surrounding TikTok has had a positive effect on its business, with CEO Evan Spiegel noting a lift in user engagement during a brief period when TikTok was unavailable. He mentioned that the platform's public content ecosystem is thriving, reaching a milestone of one billion public posts a month, and that the number of creators engaging with the platform has grown by over 40% year-over-year. Snapchat aims to leverage this environment by promoting its Spotlight feature as an alternative to TikTok, expecting further growth should TikTok face accessibility challenges in the U.S. In the fourth quarter, Snapchat also reported a rise in daily active users, reaching 453 million, and an increase in revenue to $1.55 billion. The broader social media landscape is also experiencing engagement boosts, benefiting platforms like YouTube and Meta. However, despite the opportunities, some agency executives express caution about direct ad dollar shifts from TikTok to Snapchat.