In the five days after TikTok was reinstated on Apple Inc.’s App Store and Alphabet Inc.’s Google Play, downloads of the social app Xiaohongshu, also known as Rednote, fell dramatically by 91%, as reported by Sensor Tower. Often considered China’s equivalent to Instagram, Xiaohongshu saw a surge in popularity when concerns about a potential US ban on TikTok intensified. Despite the significant drop in downloads, daily active users on Rednote remain approximately 25% higher than before TikTok’s removal, according to Sensor Tower.
In contrast, TikTok experienced a more than twofold increase in downloads upon its return, while its competitors—including YouTube, Snap, Facebook, and Instagram—faced declines following TikTok’s brief absence. This hiatus came at a significant cost for ByteDance, with Appfigures estimating a loss of around $142 million in US consumer spending during the app’s time off the major platforms.
The situation for TikTok in the US is still uncertain, as President Donald Trump has granted a temporary extension of 75 days—until early April—for ByteDance to sell its US operations or risk a ban. So far, the company has declined to consider a sale, although potential bidders, including Perplexity AI and former Los Angeles Dodgers owner Frank McCourt, have emerged. Trump has expressed a desire to reach a deal that aligns with US interests. Currently, gross consumer spending on TikTok in the US averages around $4.7 million per day, which is slightly below the spending rate before its removal, according to Appfigures. The app’s impact reaches far beyond its 170 million users in the country, prompting competitors like YouTube and Instagram to adjust their interfaces and emphasize short-video content to better rival TikTok’s appeal.
