ByteDance may be waiting to find out what’s happening with its proposed divestment of TikTok in the US, but business is going pretty well back home in China.
Reuters reported that the company is “on track to generate at least 180 billion yuan ($27.2 billion) in advertising revenue in China this year”, making it the second biggest player in the digital ads market there behind Alibaba Group.
The report went on to suggest that TikTok’s Chinese version, Douyin, accounts for nearly 60% of that advertising revenue (so around $16.3bn, which is a startling enough figure in its own right).
The report also offered some predictions for ByteDance’s non-TikTok strategy in 2021, including longer-form videos through its Xigua app in China. “It plans to invest around 10 billion yuan, including the value of traffic and advertising support to partners, on Xigua next year, its longer form video app, with the aim of increasing the number of daily active users to over 100 million,” claimed Reuters.