ByteDance will bill US$110 bi with TikTok in 2023 and surpass Tencent

ByteDance, owner of TikTok, earned more than US$110 billion in 2023, indicating a growth rate possibly higher than that of rival Tencent, according to Bloomberg.

According to experts interviewed by the report, ByteDance repeated the 30% increase in sales it achieved in 2022, when revenue exceeded US$80 billion. Competitor Tencent, considered the main global company in the gamesis expected to earn US$86 billion in 2023.

However, ByteDance’s profitability this year raised doubts in the market, according to Bloomberg. ByteDance, which is privately held, is not obliged to disclose the same data as publicly traded companies.

The news comes at a time when the company is in the crosshairs of governments around the world due to TikTok, the short video app that has become a phenomenon on social media. Authorities in the United States have been especially critical, saying Chinese ownership of TikTok could pose risks to the national security of the United States and other countries.

To resolve the problem, the company intends to create an independent entity in the USA to manage local user data, according to the report.

Elsewhere, the company’s Douyin division — the equivalent of TikTok in mainland China — has been adding more services to the platform that will allow access to other functions, such as ordering food and booking hotels. However, China’s post-pandemic recovery has remained sluggish, with consumer spending especially weak.

With information from Investing Brasil.