TikTok Rebounds After User Exodus Follows Ownership Change
TikTok has reclaimed its footing in the United States, rebounding to over 90 million daily active users following a turbulent period of instability. The platform’s user base had briefly dipped to between 86 and 88 million immediately after a group of American investors finalized their takeover of the app’s domestic operations.
Data from market intelligence firm Similarweb confirms that while a portion of the audience briefly migrated to competitors, the majority have since returned to the platform. The recovery highlights the resilience of the app’s user base despite a convergence of technical failures and policy controversies.
Rival Apps See Temporary Surge
The uncertainty surrounding TikTok’s transition provided a window of opportunity for emerging platforms. UpScrolled and Skylight Social both recorded rapid influxes of new users during the peak of the disruption.
UpScrolled reached a high of 138,500 daily active users on January 28, while Skylight Social saw its sign-ups climb to 380,000 by late January. However, both platforms have since experienced a cooling-off period, with UpScrolled’s daily activity dropping to 68,000 and Skylight Social falling to 56,300, according to Similarweb estimates.
Privacy Concerns and Technical Glitches
The exodus was fueled by a combination of fear and frustration. Users reacted sharply to an updated privacy policy that enabled precise GPS tracking, a move linked to the company’s tests of a “Nearby” feed. Further alarm was raised by language regarding the collection of “immigration status,” though the company clarified this was a standard disclosure required by the California Consumer Privacy Act (CCPA) regarding sensitive data shared within user-generated content.
Simultaneously, a multi-day data center outage caused by a winter storm severely hampered the app’s functionality. Users reported broken search features, malfunctioning likes and comments, and algorithmic disruptions. These technical failures led many to speculate that the app was censoring content, prompting a search for alternative platforms.
The company confirmed on Sunday that the infrastructure issues were resolved. While daily usage has returned to the 90-million mark, it remains below the peak of 100 million recorded between July and October 2025, suggesting a broader, gradual decline in engagement that predates the recent ownership change.