Good morning. We went down to Capitol Hill on Wednesday to talk with creators and witness the protest opposing the potential TikTok ban. Check out our rundown of the day here, and read on for more on the hearing.

— Hannah Doyle & Nate Graber-Lipperman

TikTok CEO Stumbles in Front of Congress

TikTok CEO Shou Zi Chew appeared for the first time yesterday before the House Energy and Commerce Committee, where lawmakers grilled him over TikTok’s efforts to protect U.S. users’ data—as well as its alleged ties to the Chinese government.

Why we’re here: The hearing is the culmination of a three-year will-they-or-won’t-they between the U.S. and TikTok. Most recently, the Biden administration called for TikTok parent company ByteDance to sell the platform or else face a nationwide ban. Already, TikTok has been banned on U.S. and U.K. government devices, multiple U.S. college campuses, and countries including India and Pakistan.

Why lawmakers care: TikTok doesn’t operate in China, but ByteDance is China-based. Given the Chinese government’s significant leverage over Chinese companies, U.S. lawmakers fear that ByteDance would be forced to comply should the Chinese government ask for TikTok data.

Did Chew convince lawmakers otherwise? Not exactly. 

• Chew said TikTok is committed to easing data security concerns through “Project Texas,” a $1.5 billion security proposal that would see U.S. user data “stored on American soil...overseen by American personnel.”

• But as reports emerged Thursday morning suggesting the Chinese government would strongly oppose a forced TikTok sale, Chew’s defense of TikTok as a minimal data risk were largely unsuccessful, with California Rep. Anna Eshoo responding “I don’t believe…that you have said or done anything to convince us.”

Outside of Congress’ halls: Some key players are attempting to sway the conversation.

• Rep. Jamaal Bowman: The progressive New York congressman held a press conference with roughly 20 TikTok creators outside the Capitol on Wednesday, stating that the government is moving too quickly to ban a platform where “5 million small businesses are selling their products and making a living.”

• The Heritage Foundation: In response to Rep. Bowman, the conservative think tank organized its own event Thursday in support of banning TikTok. There, Texas Rep. Troy Nehls claimed that the Chinese government “is spreading addictive and harmful videos to young Americans through [TikTok’s] algorithm.”

• Virginia Sen. Mark Warner: He suggested there are plenty of other platforms “where people can still be creative and earn that kind of living.”

• Creator Gohar Khan: “60% of my business’s revenue comes from TikTok. 90% of my brand deals happen on TikTok even though I have a comparable following on YouTube and a pretty sizable following on Instagram,” the education creator told us after Rep. Bowman’s rally. “So if that goes away, [all of] my brand deal income essentially evaporates. 60% of my business income evaporates.”

• Other TikTok creators: From Capitol Hill to interviews with press to echoing Chew’s sentiments on the FYP itself, TikTok creators have argued that taking away a platform with an estimated 150 million monthly American users is a violation of free speech.

Looking ahead: Even if Congress’s proposed RESTRICT Act—which would enable a TikTok ban by labeling it a product of a “foreign adversary”—does pass, TikTok plans to forge ahead with Project Texas. Still, the company finds itself on the thinnest ice yet.

News Roundup

It’s been a wild week in the creator world. The possibility of TikTok getting banned stateside has (deservedly so) dominated our feeds.

But plenty of other interesting, exciting things have happened in our industry while all eyes are on D.C. Here’s your rundown of the best bits from this week in creator news → 

Canoopsy goes old school.

The lifestyle and tech review creator is selling YouTube videos as VHS tapes in his latest product drop. His catchphrase for the collection? “Links fade away. Tapes are forever.”

Epic Games gives creators a W. 

As part of the gaming company’s revised Creator Economy 2.0 program, Epic will distribute 40% of Fortnite’s net revenue to eligible creators of in-game islands in Fortnite. Payment is based on engagement, retention, and attracting new players.

Is Hipstamatic the “Anti-Instagram?”

The Hipstamatic app (which used to be an Instagram competitor in the early 2010s) has returned with a BeReal-inspired value prop: no ads, videos, or algorithm-driven feeds. Plus, users can only have 99 followers each. 

MrBeast on FaZe Clan. 

MrBeast chimed in on a FaZe Clan tweet about the group’s plan to get together its “OGs” to address recent challenges. MrBeast’s response: “What is the brand without content? A logo.”

🔥 Press Worthy

• Leo Gonzalez, a TikTok creator known for impersonations, signs with WME.

• Kristopher London and other 2Hype members leave 100 Thieves.

• Production and distribution company Shorthand Studios launches with creator partners like David Dobrik and Elyse Myers.

• Adobe unveils its new generative AI tool, Firefly.

• Instagram encourages users to make more accounts.

• Twitter is removing its legacy verified program April 1—only Twitter Blue subscribers will have a blue check after that.

📚 Thank You For Pressing Publish

• Ali Abdaal gives a behind-the-scenes look at his staff, two of whom are former students from his Part-Time YouTuber Academy.

• “As long as one of us had money, we knew the power wasn’t going to get shut off.” Matt Damon and Ben Affleck talked about sharing a bank account when they were getting started in the entertainment industry on a recent episode of The Bill Simmons Podcast. 

• What happens when a bunch of Type A people in need of friendship sign up for a week-long travel excursion? The most productive (and tiring) vacation ever, Caity Weaver writes for The New York Times.

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