Nikhil Kamath explains why Instagram, despite its potential, couldn’t dethrone YouTube in the long-form video space. The Zerodha Co-founder recently shared his insights, highlighting how Instagram had all the right tools to compete but failed to capitalize on them.
He points out that social media platforms initially thrived because people loved sharing and consuming content from their friends. But to keep users engaged for longer, platforms needed dedicated content creators. YouTube had an inherent advantage—it was designed for content creation from the start. However, Instagram had something YouTube lacked: a built-in content distribution system through DMs and stories.
Kamath says that Instagram tried to leverage this advantage by launching IGTV in 2018, aiming to take on YouTube’s long-form dominance. But by 2022, IGTV was shut down. So, what went wrong?
According to Kamath, the fundamental issue was user intent. YouTube users come to the platform with a purpose—to learn, binge-watch, or seek entertainment. Instagram, however, thrives on mindless scrolling and quick dopamine hits. This made IGTV a misfit for Instagram’s audience. Long-form videos disrupted the fast-paced, addictive nature of the platform, leading to low adoption. Additionally, making IGTV a separate app only confused users and limited its reach.
Kamath believes that Instagram’s mistake was trying to change user behavior rather than enhancing what already worked. Meanwhile, YouTube stayed true to its core value—offering a space where creators and audiences connect through intentional content consumption. As a result, YouTube continues to dominate the long-form video landscape.
