It's a big year for AI. Several social media platforms are adding their own AI features for various uses like sticker creation or caption generators. TikTok has so far been experimenting with it the most. First, it was the music generator, and now the platform wants to add AI avatars for advertising.
AI Ads on TikTok
It might not be a good idea for TikTok to release a controversial feature right now, which is something that might take away ad revenue from influencers who advertise products and services, especially since the company needs everyone in its corner.
Reports say that the short-form video platform might add AI avatars that can serve as virtual influencers promoting ads. All advertisers have to do is provide scripts that the AI can read through text prompts and the AI would do the rest.
The Verge reports that TikTok employees have been testing the AI avatars. However, the feature is still in development and not ready for release, and they were said to attract fewer e-commerce sales than human influencers.
It makes sense since buyers would trust people who swear by the quality of a product or service more than a generated AI avatar who was given a script to dictate. Given that the feature is relatively new and has not even been released yet, it's not clear how it works monetarily.
For one, TikTok has yet to explain how sponsorship fees will be distributed among influencers once the AI avatar is released, and how it might become the preferred method of advertisement as it could be a cheaper way to promote products.
The company has also shut down its $1 billion creator fund, with users saying that they were not paid enough before it even happened. It might draw more backlash now that influencers will have to compete with AI for advertisements where they could've gotten paid instead.
A Disadvantage on Two Sides
TikTok is not in the best position right now in the US, especially since the looming ban is becoming more and more possible as it nears being passed into law. It's now up to the Senate whether the platform should be banned or not, and onto the last decision, which relies on the US President.
With that said, the company needs influencers on their side. Content creators have a certain amount of influence over their followers, which can help if they decide to fight for TikTok and urge users to protest against the ban as well.
It's not just getting in the good graces of the people who can secure the social media site's standing. As AI is advertised as a tool to help make tasks convenient, a lot of creators are fighting for their jobs and intellectual property.
With TikTok using AI avatars and potentially taking away business from influencers, it is doing exactly what many others are fighting against, which does not bode well for the company. Since the feature has yet to be released and may not even be released, TikTok has the chance to make more tweaks and make it sound less job-threatening.
