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As TikTok faces a possible U.S. ban for national security reasons, with CEO Shou Zi Chew testifying before Congress this week, analysts suggest advertisers explore other platforms to reach their audiences.
“But there is no need for immediate action just yet,” said Insider Intelligence analyst, Jasmine Enberg.
The U.S. accounts for roughly half of TikTok’s worldwide ad revenues, per Insider Intelligence estimates, so the platform has a strong incentive to reach an agreement with the U.S. government to avoid a ban.