TikTok generated US$1.7 billion globally from its TikTok Live feature in a single quarter of 2023, according to a lawsuit unsealed in Washington.

The lawsuit, filed by District of Columbia Attorney General Brian Schwalb in October, alleges financial and sexual exploitation of minors on the platform’s livestreaming feature.

The lawsuit cites projections from TikTok suggesting its Live feature could reach US$77 billion in global sales by 2027.

The feature allows viewers to purchase virtual gifts with real money, which streamers can redeem for cash, while TikTok takes a percentage.

A TikTok spokesperson responded to these claims, stating that the app has implemented measures such as default screen time limits for teens, livestream age restrictions, and parental supervision tools.

However, the spokesperson did not address inquiries about the lawsuit’s financial details.

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