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TikTok Allows US Android Users to Download App Through Its Website

On Friday, TikTok announced it would enable U.S. Android users to download the app directly from its website using package kits. This move aims to bypass the ongoing restrictions on the platform in the U.S., where Apple and Google have not reinstated TikTok to their app stores.

Since January 19, a new U.S. law has required TikTok’s Chinese parent company, ByteDance, to either sell the app or face a potential ban due to national security concerns. Although President Donald Trump signed an executive order that delayed enforcement of the law by 75 days, discussions continue regarding the future of TikTok, which has around 170 million U.S. users.

Trump also signed an order to create a sovereign wealth fund, which could be used to potentially purchase TikTok. U.S. officials have raised concerns about the potential misuse of American data under ByteDance’s ownership.

While some lawmakers argue in favor of banning TikTok, citing security risks, free speech advocates have opposed such measures. TikTok counters that its content recommendation system and user data are stored in the U.S. on cloud servers operated by Oracle. The company also maintains that decisions regarding content moderation for American users are made in the U.S.

TikTok’s Chinese Owner Appears to Delay Sale Negotiations, Awaiting Chinese Government Approval

TikTok’s parent company, ByteDance, seems to be delaying the sale of the popular short video app as it awaits approval from the Chinese government, according to a report by the Washington Post. Despite efforts by President Donald Trump’s allies to broker a deal to sell TikTok to an American buyer, ByteDance appears to be stalling negotiations.

The Chinese government is expected to take a hard-line stance, possibly allowing TikTok’s U.S. operations to shut down rather than approving a sale. China reportedly hopes to leverage the situation into a broader deal with the Trump administration that includes significant concessions on trade and technology policy.

This development comes amid escalating tensions between the U.S. and China, as the trade war intensifies. In retaliation to U.S. tariffs on Chinese imports, China imposed its own tariffs on U.S. goods. Meanwhile, TikTok, which has 170 million American users, was temporarily removed from app stores in the U.S. just before a law that would have mandated its sale took effect on January 19.

Trump signed an executive order the day after taking office, delaying enforcement of the law for 75 days. The legislation was introduced on national security concerns over the potential misuse of American user data by ByteDance.

 

Snap Beats Profit Estimates on Advertising Platform Strength

Snap Inc. (SNAP) exceeded Wall Street’s quarterly profit expectations on Tuesday, benefiting from significant improvements to its advertising platform. This growth helped boost its shares by 6% in after-hours trading. Amid growing uncertainty about a potential ban of TikTok in the U.S., analysts believe Snap could capitalize on the situation.

CEO Evan Spiegel stated that the uncertainty surrounding TikTok has been beneficial to Snap, as advertisers are focused on diversifying their ad spend and contingency planning. Snap is also considering increasing the price of its Snapchat+ subscription service to further raise its average revenue per user. The company reported a significant jump in Snapchat+ subscribers, which doubled to 14 million in the fourth quarter.

Snap has been heavily investing in artificial intelligence and machine learning tools to create more personalized ads. A notable shift in its strategy has been an emphasis on direct response ads, designed to prompt specific actions like app downloads or website visits, particularly as brand awareness ads show signs of weakness. These efforts have allowed Snap to tap into small- and mid-sized businesses, which have become the largest contributors to the company’s advertising revenue growth in 2024.

The company is also planning to expand its advertising formats, such as Sponsored Snaps (video ads in users’ inboxes) and Promoted Places (business location highlights on Snap Map), into additional markets.

“Snap’s diligent work on its ad platform and diversifying its revenue streams through subscriptions have paid off,” said Jasmine Enberg, principal analyst at eMarketer.

Snap reported adjusted earnings per share of 16 cents for the fourth quarter, surpassing analysts’ average estimate of 14 cents. The company also saw a 9% increase in daily active users, reaching 453 million, slightly surpassing the expected 450.8 million. For the first quarter of 2024, Snap forecasts revenue between $1.33 billion and $1.36 billion, with adjusted EBITDA expected to range between $40 million and $75 million, which is slightly below analyst expectations of $78.1 million.

Quarterly revenue rose 14% to $1.56 billion, marginally surpassing the average forecast of $1.55 billion.