ByteDance, the parent company of TikTok, is preparing a new employee share buyback that could value the company at more than $330 billion. The move comes as the Chinese technology giant continues to post strong revenue growth and strengthen its financial position.
The company is expected to offer employees $200.41 per share in the buyback program. This figure represents a 5.5 percent increase from the $189.90 per share offered six months ago. That earlier offer had valued the company at approximately $315 billion. The upcoming buyback is likely to launch this autumn and reflects ByteDance’s effort to reward employees while showcasing financial strength.
Consolidating Global Leadership in Social Media
ByteDance is now the world’s largest social media company by revenue. Its second-quarter earnings rose 25 percent year-on-year, reaching an estimated $48 billion. Most of this revenue was generated from the domestic Chinese market, though the company continues to face political scrutiny abroad.
In comparison, Meta recorded $42.3 billion in first-quarter revenue. Although both companies maintained growth above 20 percent in the second quarter, ByteDance has secured the top position in terms of sales.
ByteDance conducts buybacks twice a year, allowing employees to cash out part of their holdings. This practice is common among late-stage private companies. Unlike others such as OpenAI or SpaceX, which often rely on external investors to fund repurchase programs, ByteDance uses its own balance sheet. This approach signals healthy margins and strong financial flexibility.
Investments in Artificial Intelligence
Beyond social media, ByteDance has emerged as one of China’s leading players in artificial intelligence. The company has invested heavily in Nvidia chips, advanced infrastructure, and AI model development. These investments not only support its core business but also position ByteDance as a serious contender in the global AI race.
TikTok’s Uncertain Future in the United States
Despite revenue success, ByteDance still faces regulatory challenges in the United States. Lawmakers in Washington continue to raise concerns over its Chinese ownership. A law passed last year requires ByteDance to divest TikTok’s U.S. assets or face a nationwide ban.
The deadline for divestment has been extended to September 17, 2025, although further delays remain possible. While the company is profitable overall, TikTok’s U.S. business remains unprofitable. This has created uncertainty among employees and investors alike.
If the sale of TikTok’s U.S. operations is finalized, a joint venture is expected to take control. ByteDance would maintain a minority stake, while major American investors, including Susquehanna International Group, General Atlantic, KKR, and Andreessen Horowitz, would become primary owners.
Meanwhile, ByteDance has reportedly explored the possibility of developing a standalone app for the U.S. market. However, no official plans have been confirmed, as the company continues to navigate ongoing trade negotiations between Washington and Beijing.
Strengthening Employee Morale
The latest buyback could help stabilize morale among ByteDance’s global workforce, particularly in the U.S. where uncertainty about TikTok’s future remains high. By offering employees liquidity through the buyback, ByteDance demonstrates commitment to retaining talent while signaling long-term stability.
ByteDance’s valuation growth highlights its dominance in the global social media industry. Despite ongoing political pressure in the United States, the company continues to expand revenue, strengthen its balance sheet, and invest in advanced technologies. As it surpasses Meta in revenue, ByteDance is proving its ability to lead the next phase of digital innovation while navigating regulatory hurdles.
