TikTok generated US$1.7 billion globally in sales from TikTok Live in just one quarter in 2023, with more than US$400 million of that coming from the US, according to a newly unsealed lawsuit brought against the company in Washington.
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TikTok projected that the popular live-streaming feature would generate US$77 billion globally by 2027, the complaint claimed.
The numbers surfaced Monday were part of a lawsuit filed in October by District of Columbia Attorney General Brian Schwalb alleging rampant sexual and financial exploitation of children on Live, where TikTokers can broadcast in real-time to billions of strangers around the world.
Viewers can spend real money to send streamers digital tips in the form of lighthearted gifts like virtual ice cream cones and fluffy animals. Streamers can then redeem those gifts for cash while TikTok takes a cut.
The new financial data, which has not been previously reported, offers a unique glimpse into TikTok’s business as the company faces a possible ban in the US. As a private company, TikTok’s financial data is not public, which has made valuing the app and its US business a difficult task.
TikTok Live is one of the app’s most popular features, and has become even more central to the platform since the launch of TikTok Shop in late 2023 because sellers and creators are increasingly leaning on live streams to sell products.