> Are people locked into the influencer economy because of the "polish" of the videos?
Yes. Influencers with big production and marketing budgets will usually create more content that has the "wow" factor. With AI people can add the same "wow" factor in their videos with little to no budget. This should slowly erode the value of a platform like Instagram as AI content gets better.
Why would it devalue the platform? The more time people spend watching, the more attention that can be monetized. More content, or higher quality content, or content produced more cheap does not detract deon that? The algorithms will pick winners anyway, and can shape things into the familiar power law of popularity, if that is the desired mode. People parasocial needs can be exploited by human creators to differentiate from AI generated content. Modern social media is like a casino, the house always wins.