Before Jack Nader began sharing beauty videos on TikTok in 2023, he worked as a Starbucks barista in Chicago while residing with his parents. However, after Nader, now 21, started taking his videos seriously in April of that year, his TikTok account gained immense popularity. With over half a million followers, he was able to earn sufficient income through brand sponsorships and ad revenue, leading him to quit his job at the coffee shop and move into his own apartment.
“This is my full-time job,” Nader, who earns between $1,000 and $12,000 monthly as a creator, shared with CNBC. “This is how I make a living. This is how I pay for my groceries. This is how millions of small businesses earn their money.”
Despite his success, Nader faces uncertainty due to TikTok’s impending sale deadline set for Jan. 19, which could result in a ban if not met. Like many other creators, Nader has been encouraging his followers to connect with him on other social media platforms to safeguard against potential loss of audience and income.
The risk associated with TikTok has been looming for years but intensified in April following a law signed by President Joe Biden mandating ByteDance to divest the app this month. Failure to comply could lead to Apple and Google removing support for TikTok in the U.S. President-elect Donald Trump, who previously advocated for a TikTok ban, has shifted his stance and sought Supreme Court intervention to delay the ban.
Amidst this uncertainty, businessman Frank McCourt’s internet advocacy group, Project Liberty, has proposed to acquire TikTok from ByteDance, aiming to restructure the app on an American-owned platform with enhanced user safety measures. Nader, meanwhile, is proactively transferring his content to other platforms like Meta’s Instagram Reels and Alphabet’s YouTube Shorts to mitigate potential disruptions to his income stream.
Similarly, Danisha Carter, a 27-year-old creator from Los Angeles, has been preparing for the TikTok ban by redirecting her followers to YouTube, Instagram, and Patreon. Carter, who earns around $4,000 monthly from TikTok, emphasizes the platform’s impact on people’s lives and businesses.
If TikTok ceases operations in the U.S., experts predict that YouTube, Facebook, and Instagram will benefit the most from the fallout, given their larger user bases and ad revenues. The potential reallocation of ad dollars could amount to billions, with Meta and YouTube positioned to capture a significant share.
The situation mirrors India’s ban on TikTok in 2020, which led to increased user engagement on Instagram and YouTube. Social media creators are advised to diversify their audiences across platforms to mitigate risks associated with platform bans or disruptions. Despite the challenges ahead, creators like Nealie Boschma remain optimistic about adapting to changes and exploring new opportunities for growth beyond TikTok.
