Facebook Inc will spend $1 billion on social media creators through the end of 2022 in a fight for top talent announced, when TikTok became the first rival mobile app to hit 3 billion global downloads. Facebook’s investments will include bonus programs, that is to pay creators who hit certain milestones on its apps. Which including photo-sharing service Instagram, and fund users to produce content.
The social media giant is opening its wallet to woo creators with major fan followings from platforms like Alphabet Inc’s YouTube and short video app TikTok. Multiple major tech platforms are on the offensive to attract and keep social media personalities with new payments and services. TikTok has committed to spending $2 billion to support creators over three years. Snap Inc’s Snapchat used to pay creators a total of $1 million per day.
Mobile insights firm Sensor Tower said that with the 3 billion install milestone, TikTok is the fifth non-game app to join a tier that’s historically been the exclusive domain of Facebook. Facebook said its bonuses so far are by invitation only. On its main platform video creators and online gamers will receive a monthly bonus if they hit milestones. Instagram’s bonus programs will include incentives to use Reels. The company said that the creators will earn money based on how their Reels videos perform.
