TikTok, along with Douyin, Becomes the First Non-Gaming App to Surpass $6B in Annual In-app Purchase Revenue

TikTok, along with its Chinese competitor Douyin, became the first non-gaming app to earn $6 billion in annual in-app purchase (IAP) revenue in a single year in 2024. A recent estimate from app intelligence provider Sensor Tower states that TikTok’s gross in-app purchase (IAP) revenue hit a record high of $1.9 billion during the fourth quarter of last year.

According to the research, in just the fourth quarter of 2024, TikTok brought in an astounding $1.9 billion in gross IAP revenue.

According to the research, only YouTube and Google One’s subscriptions exceeded TikTok’s fourth-quarter total for the entire year.

TikTok more than twice the earnings of any other app or game throughout the year, generating $6 billion in IAP revenue. Over the same time frame, the second-ranked mobile game, the well-known Monopoly GO, amassed $2.6 billion.

TikTok’s annual revenue increased significantly from $4.4 billion in 2023 to the previous year.

TikTok is still accessible in US app stores after President Donald Trump decided to postpone a proposed ban on the app because of national security concerns. According to the report, an executive order was issued to postpone the prohibition for 75 days, with the option of additional extensions.

However, TikTok only ranked second in terms of downloads in Q4 2024, while Instagram topped the list. Temu, Facebook, and WhatsApp completed the top five after it.

Due to the inclusion of its separate Chinese sister app, Douyin, TikTok’s comparison to other apps is a little off. The two apps provide a distinct experience even though they share the same corporate parent, ByteDance. Due to Chinese regulations, Douyin’s content is more strongly focused on e-commerce, is more specifically targeted at the Chinese audience, and is subject to stronger controls. TikTok is more geared at a global audience, yet both platforms concentrate on short-form videos.

President Trump postponed a deadline to ban TikTok from the U.S. app market because of national security concerns, and the app is now back in the app stores. The ban was postponed for 75 days by an executive order, and Trump has indicated that it could be extended if necessary.

Another indication of TikTok’s growing significance to the creator economy is the app’s earnings. When users purchase virtual gifts from creators using real money, TikTok keeps half of the proceeds, which may then be exchanged for fiat money.

Before this, the short video app achieved several financial milestones, such as becoming the first non-game app to cross $10 billion in total user spending in 2023.