The Beijing-based internet behemoth not only mitigated the effect of TikTok’s ban in India, but also saw a significant increase in its user base.
In a staff meeting on Thursday, new CEO Liang Rubo claimed TikTok owner ByteDance’s sales for 2020 increased by 111 percent year over year to $34.3 billion. Despite a difficult year, the Beijing-based internet giant’s real business increased. The business not only weathered the effect of TikTok’s suspension in India, but it also saw a significant increase in its user base.
At the end of the year, ByteDance’s applications, which include TikTok, its Chinese counterpart Douyin, and news aggregation Jinri Toutiao, had 1.9 billion monthly users.
ByteDance’s biggest income generator was Douyin. The user base of the Chinese tech giant grew as a result of COVID-19 lockdowns across the world, which left individuals searching for new ways to amuse themselves online.
Also read: ByteDance’s bank accounts have been frozen in India due to suspected tax fraud.
According to The Wall Street Journal, ByteDance’s net loss increased to $45 billion due to an adjustment made for an increase in the fair value of its convertible redeemable preference shares.
At the conclusion of the year, the business employed 110,000 people. In December of last year, ByteDance raised $5 billion at a $180 billion value. According to CB Insights, a market research company headquartered in the United States, the Beijing-based tech behemoth is the world’s most valuable startup.
Also see: ByteDance introduces ‘Volcano Engine’ to market the TikTok success algorithm
On Thursday, Liang Rubo, the successor to ByteDance co-founder Zhang Yiming, delivered his first all-hands staff meeting address. Â
Zhang has announced that he would stand down as CEO of the business at the end of this year in order to concentrate on innovation and “longer-term projects.”
In India, there is a prohibition on TikTok.
Following a temporary app ban on June 29, 2020, the Indian government filed a notification to TikTok in January this year about the app’s permanent prohibition in the nation.
In June 2020, the government prohibited 59 Chinese applications, followed by 47 more in July 2020, 118 more in September 2020, including the PUBG mobile game, and another 43 in November 2020.
Unauthorized applications have been banned by the Ministry of Information Technology.