Caixin Explains: Five Things to Know About TikTok’s Future

ByteDance Ltd.’s short-video app TikTok has 1 billion global monthly active users, exceeding half the combined total of Facebook, Instagram, Messenger and WhatsApp, and many more than the 680 million of its Chinese twin Douyin. But the massive user base hasn’t brought in as much revenue as Douyin.

In 2021, TikTok’s total revenue reached 30 billion yuan ($4.18 billion), only 8% of ByteDance’s total. Revenue came mainly from gaming, advertising and livestreaming, indicating that the platform’s commercialization is still at an early stage. Douyin relies more on e-commerce clients selling products on the platform through influencers.