TikTok parent company ByteDance lost billions of dollars last year, The Wall Street Journal (WSJ) reported on Thursday based on an internal company report.
The Chinese tech group behind the popular video-sharing app has grown rapidly but has also spent a great deal of money on marketing and developing new features.
The company's operating losses amounted to nearly $7.2 billion (€7.3 billion) for 2021, according to WSJ.
TikTok is currently one of the most popular apps among young people. Its turnover reportedly increased by 80% in 2021 to reach $61.7 billion, but its costs increased at the same rate.
ByteDance's results could see an improvement in 2022: the company posted an operating profit in the first three months of the year.
Besides TikTok, ByteDance runs several apps for the Chinese market, including the Douyin video platform, very similar to TikTok, and Toutiao, a news application.