TikTok owner Bytedance made over $3 billion in net profit last year, according to a report by Bloomberg. Inside sources told the publication that the company made $17 billion in revenue last year, which is double what the company made in 2018. This also makes the startup worth over $100 million.
In comparison, Facebook-owned Instagram posted revenues worth $20 billion last year, while Google’s YouTube posted $15 billion revenues.
The growth is of course propelled by TikTok, which has quickly become a formidable competition for platforms like Instagram. In fact, the short video platform popularised by TikTok has been copied by Instagram in certain countries, and there have even been other platforms that offer a similar experience.
According to reports, TikTok has over 119 million users in India and over 800 million users worldwide. The Bloomberg report says Bytedance has over 1.5 billion monthly active users across all of its apps, which includes names like Helo, Vigo Video, Xigua Video, Douyin, and the recently launched music streaming service, Resso.
That said, TikTok recently suffered a setback of sorts in India, when users took to Twitter calling for the app to be banned. It resulted in a number of one star ratings on the Google Play Store, which brought the app’s own rating down to one. Earlier today, Google took down millions of negative reviews for the app, bringing the rating back up slightly. At the time of writing this story, the rating stood at 2.9.
According to industry estimates, TikTok’s advertising revenue in India grew by 50% in one year, but the company is yet to bag a significant share of India’s Rs. 17,000 crore digital advertising market.
The company recently hired Kevin Mayer, who was the chairman of direct-to-consumer and international at Disney, as its chief operating officer (COO). The company had hired Nikhil Gandhi, ex-President and COO at Times Internet as its India Head earlier.