TikTok has cut its outlook for advertising revenue for 2022 by US$2 billion as a broad economic slowdown continues to batter tech giants, Bloomberg reported, citing sources.
TikTok CEO Shou Zi Chew made the announcement to a few employees during an internal meeting recently. The ByteDance-owned company had earlier estimated its ad revenue forecast for the year to be US$12 billion and now expects US$10 billion.
This reduction in estimates, however, does not include small business verticals such as ecommerce. The social media titan had made US$4 billion in ad revenue in 2021.
Several tech giants such as Meta and Microsoft have recently reported slow revenue growth, which has hurt their valuations. Meta is reportedly eyeing large-scale layoffs in a bid to cut costs.
Editing by Miguel Cordon
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