ByteDance's 2025 Net Profit Reportedly Plunges Over 70% Due to Surge in AI Investments

According to sources familiar with the matter, ByteDance's overseas revenue grew nearly 50% in 2025, far outpacing its domestic revenue growth of about 20%. However, the company's net profit for 2025 fell by more than 70% year-on-year, largely due to a significant increase in investment in AI businesses in the third and fourth quarters of last year. Following the heavy investments in the last two quarters of 2025, sources revealed that ByteDance expects to further ramp up its technology resource investments in 2026. Coupled with the impact of the newly established data security joint venture in the U.S. market, the company’s net profit margin is expected to remain under pressure in the near term.