AI eats clicks, Google swings updates, China blocks TikTok’s sauce, and Spotify suddenly thinks it’s MSN Messenger.

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ChatGPT Traffic to Sites Plunges 52%

It’s always something with AI search. First AI steals our clicks from Google Search Console. Now it’s handing them to the biggest elephants in the room (Elephant noises intensify 🐘).

Referral clicks from ChatGPT collapsed in a month, as OpenAI shifts citations toward “answer-first” sources like Reddit (+87%) and Wikipedia (+62%).

Who’s Winning, Who’s Losing

Top 3 sites (Wikipedia, Reddit, TechRadar) now command 22% of citations. Branded websites are losing millions in potential visits.

Why It Matters

ChatGPT is rewarding content that answers questions directly while skipping conversion-focused pages (“Schedule a demo”).

The Playbook for Brands

To win citations, shift from sales-heavy content to answer-first, user-helpful content. Those who don’t make this shift risk vanishing from AI-driven traffic.

Google Rolls Out August Spam Update

Launched Aug 26, this is Google’s first spam update of 2025 and the first in 8 months.

Are you excited to see what it might bring? Of course, I know you are not. There isn’t a single marketer in the world that is excited for Google’s algorithm updates.

What to Expect

It’s a “normal” update, rolling out globally across all languages, and expected to take a few weeks to complete.

By the way, that “normal” part didn’t come from me. Google said it.

You can bet that it won’t be anything close to “normal” because of the volatility we are about to experience in the SERPs.

Why It Matters

If your rankings or traffic shift in the coming weeks, this update could be the cause even though Google hasn’t specified which types of spam it’s targeting.

Context

The last spam update was Dec 2024, which proved more volatile than June 2024’s rollout.

That update also tanked the traffic of several brands. So “normal” huh!

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When AI Flattens, Community Differentiates

Are you thinking of launching a community around your brand? Then just go ahead and do it. Never has there been a better time.

AI search makes answers sound the same. Communities give brands their individuality back through trust, lived experience, and authenticity.

UGC → UGT

It’s no longer just about user-generated content. What matters is user-generated trust real conversations that validate brands and influence search visibility.

Owned + Earned Communities

Discord servers, Reddit threads, and comment sections can’t be scraped or cloned. They build authenticity that AI-summarized content can’t replicate.

LEGO’s Lesson

Through LEGO Ideas, fans fuel product creation, spark viral visibility, and create an uncopyable moat of trust. That’s community power in action.

Bottom Line

AI will only get better at consensus but consensus isn’t differentiation. Community is the antidote that turns presence into preference.

China Refuses to Sell TikTok’s Algorithm

Over 200 days since the U.S. sell-off bill passed, China has doubled down: TikTok’s secret sauce the algorithm is not for sale. Sorry Trump.

The Twist

The White House just launched its own TikTok account, drawing fire from Chinese officials who call it hypocritical given U.S. security concerns.

Why It Matters

Without access to TikTok’s algorithm, any U.S. deal risks being a hollow shell leaving national security debates and platform influence unresolved.

The Bigger Picture

Beijing frames the issue as political propaganda, while the U.S. remains wary of data collection and potential pro-CCP content amplification. The standoff shows no signs of easing.

Spotify Adds In-App DMs

If you ever thought of saying out loud, “I’ll DM you on Spotify,” then you are one lucky person. Because that has never ever crossed my mind.

Free and Premium users (16+) can now send direct messages to share songs, podcasts, and audiobooks without leaving the app.

How It Works

Tap “Share” in the Now Playing view → pick a friend → send music with text and emojis. All exchanges live in a new Messages inbox.

Safety Features

Users can block, report, reject requests, or opt out entirely. Messages are encrypted and scanned for harmful content.

Why It Matters

Spotify is pulling music recommendations out of texts and socials, consolidating them into the app and hinting at a bigger social future.

Also, does this remind you of a certain social app from the past before Facebook dethroned it? At least for me it does.

Big investors are buying this “unlisted” stock

When the founder who sold his last company to Zillow for $120M starts a new venture, people notice. That’s why the same VCs who backed Uber, Venmo, and eBay also invested in Pacaso.

Disrupting the real estate industry once again, Pacaso’s streamlined platform offers co-ownership of premier properties, revamping the $1.3T vacation home market.

And it works. By handing keys to 2,000+ happy homeowners, Pacaso has already made $110M+ in gross profits in their operating history.

Now, after 41% YoY gross profit growth last year alone, they recently reserved the Nasdaq ticker PCSO.

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