Meta Platforms(US:META) Z Finance·2025-04-19 06:31Group 1 - The core point of the article highlights the significant impact of TikTok on Instagram, revealing that Instagram's core functionalities have suffered due to strong competition from TikTok [1] - An internal analysis report submitted to the board indicates that Instagram's usage time for its feed and Stories features is projected to decline by 5% compared to 2019, with a cumulative decline potentially reaching 16% by 2023 [1] - This shift in user behavior has resulted in a revenue gap of $3.6 billion for Instagram, as the feed and Stories features contributed over 90% of the platform's revenue in 2020 [1] Group 2 - Instagram generated $22 billion and $32.4 billion in advertising revenue in 2020 and 2021, respectively, but the rise of TikTok is undermining the growth foundation of this core business [1] - In response to the challenges posed by TikTok, Meta has launched the short video feature Reels, aiming for Reels' user engagement to reach half of TikTok's 2020 level by 2024, which translates to an average of 77 minutes per daily active user, potentially generating $6 billion in revenue [1]