The owner of “Tik Tok” records revenues of 34.3 billion dollars during 2020

«ByteDance» was founded in 2012. From the source

The Chinese company, ByteDance, owner of the TikTok video application, told its employees that the company’s revenue over the past year more than doubled, to reach $34.3 billion, strengthening the tech giant’s position as one of the most important emerging companies in the world.

The company reported that its total revenue grew 111% compared to 2019, while its gross profit rose 93% to $19 billion, according to a memo seen by The Wall Street Journal.

Beijing-based ByteDance revealed that it had about 1.9 billion monthly active users across all of its platforms, as of December 2020, noting that it incurred operating losses of $2.1 billion in the period from January to December 2020. But it announced an operating profit of $684 million.

Founding ByteDance

The Chinese businessman, Zhang Yiming, launched “Byte Dance” in 2012, by raising billions of dollars from global investors, at a time when the value of the company reached 180 billion dollars in late 2020, after a fundraising round that included “Fidelity Investments” and some of its shareholders. current ones.

The video-sharing application Tik Tok became a competitor to some of the most popular social media platforms in just a few years.

ByteDance is also considering listing it in Hong Kong or New York, but the company has not set any timetable for the initial public offering.

The Tik Tok application in China is seen as the most successful mobile Internet export in China, as the popular short video application has been downloaded more than 240 million times in the United States, where teens and adults alike post various videos that include Sing, dance, and even give financial advice.

The company's revenue comes mainly from Tik Tok ads.

The company is also expanding beyond social media into areas such as gaming and e-commerce.

The Tik Tok application competes with Alpha Bit, which owns YouTube, which confirmed last April that more than two billion users log into it to watch videos.

The company's current data reflects the success it has achieved in the global advertising market, as advertisers are increasingly shifting from traditional platforms to websites, to target consumers who spend more time online since the outbreak of the "Covid-19" pandemic.

China's digital advertising sales grew by more than 20% in the first half of 2020, to reach 300 billion yuan, equivalent to 46.9 billion dollars, at a time when short video platforms, e-commerce and social media were the most popular among Chinese marketers. Alibaba and ByteDance attracted the most digital advertising spend during this period.

political crises

Last year, ByteDance was caught in the crossfire of relations between the United States and China, when the administration of former US President Donald Trump considered the TikTok application a threat to national security and sought to ban it.

But current President Joe Biden rescinded the ban several days ago, issuing an executive order mandating a broad review of foreign-controlled apps.

ByteDance has also faced some turmoil in China, as authorities seek to crack down on the excesses of its technology sector.

Officials of the company were summoned by the authorities for wrongdoing, including improper use of data.

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