Remember Musical.ly? The karaoke app got acquired for $1 Billion!
Feeling old yet?
The popular with teens Karaoke singing app, Musical.ly got acquired by Beijing ByteDance Technology Co, a Chinese Media company, for almost $1 Billion. That is also the parent company of Jinri Toutiao, a Media startup. Toutiao aggregates news and videos from hundreds of media outlets and has become one of the world’s largest news services in the span of five years.
This is the biggest abroad acquisition by a Chinese startup, as ByteDance is now valued at $20 Billion (same as SpaceX). ByteDance has a viewer and reader base of 120 million, mainly based out of China. With the buying out Musical.ly, they get an additional 100 million users, of the teenage demographic, thus also giving them a presence in the US. Maybe, that’s what justifies their valuation: a strong user base in one of the hottest markets.
Musical.ly was launched in August of 2014, and has since risen through the Appstore rankings, and is the most downloaded free app in 30 countries. In 2016, they rolled out a new app, called Live.ly, which was a live video streaming app. It got numerous partnerships with the likes of Viacom inc., Comcast, and even Bloomberg.