TikTok parent company ByteDance has earned the faith of adventurous investors, Bloomberg reports. The app’s riotous Gen Z following has secured it a boosted valuation of approximately $100 billion USD, according to stock market insiders.
In 2018, ByteDance finalized a funding round that attracted companies like SoftBank and General Atlantic, eventually securing an approximate valuation of $75 billion USD — the latest whispers among secondary market traders hint that the Chinese tech company is now worth closer to $100 billion USD, even going as high as $140 billion USD, according to one source.
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Note that one mustn’t necessarily take these secondary valuations at face value, given that secondary market trading is less liquid and therefore less concrete than primary shares. Nevertheless, it’s a sign of swelling confidence behind ByteDance, which welcomed former Disney direct-to-consumer and streaming chairman Kevin Mayer as its chief operating officer this week. Mayer, who will also join TikTok as CEO, is best known as the brain of Disney+ development and as one of the guiding hands behind four major acquisitions: Pixar, Lucasfilm, Marvel Studios and 21st Century Fox.
Further spurring TikTok’s good fortunes, the app and its Chinese equivalent, Douyin, crossed two billion downloads in the past quarter, a landmark number for any smartphone application. Buoying the optimistic news are fears over TikTok’s potential security flaws.