Tech
Congress Considers Bill To Force Sale Of TikTok
TikTok offices in Culver City, California (Mario Tama/Getty Images)

By some measures, TikTok has grown bigger than Facebook or Instagram in the US

Oracle’s potential TikTok takeover is a big deal to US competitors like Meta and Snap.

There’s more at stake with Oracle’s potential control of TikTok’s US operations than national security and geopolitical harmony. The fate of some of America’s biggest social media companies, like Meta, Snap, Reddit, and Pinterest, also hangs in the balance.

And judging by the latest data from Similarweb, reported exclusively by Sherwood News, TikTok is in some respects more popular among Americans — a very lucrative social media demographic — than its competitors.

Meta doesn’t break out user numbers anymore for its individual properties, and TikTok, a company owned by privately held ByteDance, last disclosed that it had 170 million monthly US users in March 2024, so Sherwood asked Similarweb, a digital market intelligence company, for more recent estimates.

Since TikTok briefly went dark and then was resurrected early this year, the platform has pulled ahead of Instagram and Facebook as far as app monthly active users (MAUs) in the US. In August, TikTok had 183 million monthly active users on iOS and Android, according to Similarweb, up 16% from a year ago. That’s more than Pinterest and Snapchat combined.

TikTok’s daily active users (DAUs) grew 19% year over year to 102 million, just shy of Facebook’s 107 million daily users — a testament to how ingrained the older social network has become for some Americans over the years. Facebook leads TikTok by a small margin on desktop and mobile web as well, but the audiences there are smaller than in the apps.

The details of the spin-off are still being hammered out and a lot could change. But what’s certain is that there’s plenty of potential value to be found in TikTok’s American user base for those who own it.

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Rani Molla

Tesla investors like the idea of merging with SpaceX

Tesla is trading up about 2.5% in early trading Friday after reports Thursday that the Elon Musk-led company was considering a merger with SpaceX, another of Musk’s many companies.

That’s a better showing than the stock’s reaction to its better-than-expected earnings a day earlier, after which shares closed down 3.5%. Acquiring a very valuable, entirely different company, it turns out, is a more attractive prospect than watching an existing one’s revenue and profit decline.

Musk is also reportedly considering merging SpaceX with xAI, his artificial intelligence company, which recently combined with his social media platform, X.

Musk is also reportedly considering merging SpaceX with xAI, his artificial intelligence company, which recently combined with his social media platform, X.

tech
Jon Keegan

WSJ: OpenAI plans Q4 IPO in race to be the first AI startup to enter public markets

OpenAI was the first to the generative-AI market with ChatGPT, and now it hopes to be the first of its AI startup cohort to pull off an initial public offering, according to a report from The Wall Street Journal. The $500 billion startup is in a race against its $350 billion competitor Anthropic, which has also been exploring an IPO.

Per the report, OpenAI is in talks with banks to try for a fourth-quarter IPO this year, which has the potential to be one of the largest IPOs ever in a year that is expected to see many record-breaking tech companies tap into public markets to raise sizable new rounds of capital.

Ahead of a potential public listing, OpenAI is reportedly attempting to raise a massive round of private investment. The company is reportedly aiming to raise $100 billion, with Amazon potentially accounting for up to half of that target. Other investors in talks with OpenAI over the private fundraising round include Nvidia, Microsoft, and SoftBank.

Per the report, OpenAI is in talks with banks to try for a fourth-quarter IPO this year, which has the potential to be one of the largest IPOs ever in a year that is expected to see many record-breaking tech companies tap into public markets to raise sizable new rounds of capital.

Ahead of a potential public listing, OpenAI is reportedly attempting to raise a massive round of private investment. The company is reportedly aiming to raise $100 billion, with Amazon potentially accounting for up to half of that target. Other investors in talks with OpenAI over the private fundraising round include Nvidia, Microsoft, and SoftBank.

tech
Rani Molla

SpaceX is actually considering a merger with Tesla or xAI: Report

Bloomberg reports that Elon Musk’s SpaceX is considering merging with Musk’s Tesla. Earlier today, Reuters had reported that SpaceX was thinking of potentially merging with xAI ahead of SpaceX’s IPO this year.

From Bloomberg:

The firm has discussed the feasibility of a tie-up between SpaceX and Tesla, an idea that some investors are pushing, the people said, asking not to be identified as the information isn’t public. Separately, they are also exploring a tie-up between SpaceX and xAI ahead of an IPO, some of the people said.

Musk’s companies already have numerous relationships between themselves, including most recently Tesla’s $2 billion investment in xAI. At Tesla’s shareholder meeting last year, shareholders voted to invest in the company but the board didn’t approve the measure due to significant abstentions.

In 2024, SpaceX incurred about $2.4 million in expenses under commercial, licensing, and support agreements with Tesla, and Tesla incurred about $800,000 in expenses for Musk’s use of SpaceX’s jet.

From Bloomberg:

The firm has discussed the feasibility of a tie-up between SpaceX and Tesla, an idea that some investors are pushing, the people said, asking not to be identified as the information isn’t public. Separately, they are also exploring a tie-up between SpaceX and xAI ahead of an IPO, some of the people said.

Musk’s companies already have numerous relationships between themselves, including most recently Tesla’s $2 billion investment in xAI. At Tesla’s shareholder meeting last year, shareholders voted to invest in the company but the board didn’t approve the measure due to significant abstentions.

In 2024, SpaceX incurred about $2.4 million in expenses under commercial, licensing, and support agreements with Tesla, and Tesla incurred about $800,000 in expenses for Musk’s use of SpaceX’s jet.

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