The Case for Triller: The TikTok Competitor Approaching Unicorn Status, And Getting Big Breaks

Sam Blake

Sam primarily covers entertainment and media for dot.LA. Previously he was Marjorie Deane Fellow at The Economist, where he wrote for the business and finance sections of the print edition. He has also worked at the XPRIZE Foundation, U.S. Government Accountability Office, KCRW, and MLB Advanced Media (now Disney Streaming Services). He holds an MBA from UCLA Anderson, an MPP from UCLA Luskin and a BA in History from University of Michigan. Email him at samblake@dot.LA and find him on Twitter @hisamblake

The Case for Triller: The TikTok Competitor Approaching Unicorn Status, And Getting Big Breaks

Fresh off of closing a $50 million round that valued the company at $300 million, Triller – headquartered in L.A. and with offices in New York, London and Paris – is now seeking $250 million at a valuation of $1.25 billion, according to executive chairman Bobby Sarnevesht. The short-form, user-generated video sharing app's momentum has picked up lately thanks to increased usage during the pandemic and the troubles of TikTok.


"The numbers look crazy recently," said Anis Uzzaman, chief executive of Pegasus Tech Ventures, which invested several million dollars in the $50 million round. Those numbers include 120 million total downloads and 60 million monthly active users, Sarnevesht told dot.LA.

Triller's user count is now close to what Musical.ly's (now TikTok) was back when it was acquired by Chinese conglomerate ByteDance in 2017, and as TikTok comes under more regulatory scrutiny, Uzzaman predicts that Triller will become "the American TikTok."

How Could It Get There?

Triller executive chairman Bobby Sarnevesht.

One clue lies in India. When Narendra Modi banned TikTok and 58 other Chinese apps in June amid escalating military tensions between the two countries, Triller's usage "went through the roof," Sarnevesht said. In early July, Triller CEO Mike Lu wrote that his company had become the top iOS app in India "without spending a dime."

"We're seeing (Indian) users say they prefer Triller to TikTok, but just didn't know about it," Sarnevesht said.

To Uzzaman, Triller's ability to handle the surge of Indian users proved the strength of the platform's underlying technology. "I'm sure many other platforms would have choked with the new volume of clients," he said. With the "possibility of the same thing happening in the U.S.," Uzzaman feels confident that Triller would be ready for another upswing.

Pegasus Tech Ventures chief executive Anis Uzzaman

Anis Uzzaman

TikTok, which is reportedly the subject of preliminary discussions for a sell-off, has a big head start. According to analytics firm SensorTower, it has been downloaded over 2 billion times. TikTok's global user count is estimated at over 800 million. And a recent Reuters piece pegged its valuation around $50 billion.

If TikTok is banned in the U.S. that would obviously put Triller in a place to pick up some ground. Four factors stand out that could shift the balance in Triller's favor.

Privacy & Security

The government isn't the only one concerned about privacy and security concerns, Uzzaman said.

"The market is getting more concerned about security and privacy," he said. "People are getting more vocal." Having Triller's teams based in "the top democracies in the world...definitely makes a huge difference."

Sarnevesht emphasized that Triller "treat(s) the face as an object – we don't map the face. Data is secure. We don't track geo-locations on where users are."

Concerns around whether TikTok shares data with the Chinese government, meanwhile, have been well documented.



Music First, Social Second

"Our business is music. It's in our DNA," said Sarnevesht. Uzzaman said this confers two key advantages.

One is Triller's product mix. Uzzaman pointed to Triller's "Step Up Challenge," a music battle where competitors can win prizes, and the TrillerFest virtual music festival, which attracted over 5 million viewers and participants this April.

"We have a music-centric, music-first app that has amazing creator tools," Sarnevesht said. "Amazing events. Concert series coming out in different locations and different genres. It's a very different destination for content users and producers and watchers."

That musical foundation has lately sprouted other kinds of content. "We're starting to see a tremendous influx of content…(like) cooking, practical jokes, and gaming," Sarnevesht added.

Another advantage to being music-first, Uzzaman said, is that musical stars like posting on the app. "Alicia Keys, Cardi B, Marshmello: they're regularly posting music videos in the app – we've never seen that in TikTok," he said. "Regular people can create music videos and have people watch them right next to Eminem…(It makes) people feel like they're celebrities."

"I think artists appreciate the organicness of Triller," Sarnevesht added.

Partnerships

In line with Triller's music origins, it has long-term deals with the big three music labels and numerous music publishers. This enables Triller users to include songs from those rights holders' extensive catalogs without having to worry about copyright issues.

"What differentiates Triller is we've always had music licenses in place," said Sarnevesht. "It gives artists a platform to have their content in a place where it's not being stolen."

Conversely, TikTok has mostly operated via short-term deals with labels and publishers. It does, however, have a long-term deal with Believe, a big independent music company, and it recently forged an agreement with the National Music Publishers' Association. NMPA's President and CEO David Israelite isn't done negotiating; he posted a warning earlier this week on his Instagram that Triller should 'watch out,' later elaborating that the company "must legitimize its business by properly licensing all music on its platform."

Triller also has partnerships with Spotify and Apple Music. Jack Warning of Pegasus Ventures said these help boost user engagement. If a Triller user likes a song on the app, for instance, they can add it to a Spotify or Apple Music playlist. And users can pull songs from Spotify and Apple Music into Triller to make videos.

But "the biggest partnership that really got our attention," Uzzaman said, "was with Billboard." Alongside charts like the Billboard Hot 100, it has begun publishing weekly charts of top songs from the Triller app.

Technology

There is "more technology behind (Triller) than people understand," said Uzzaman, who likened Triller to the earlier days of Google, when it was chasing the heels of Yahoo. He pointed to Triller's AI tools for editing videos, and protocols for helping brands advertise on the platform.

Among other features, Sarnevesht pointed to new, "game-changing" recommendation algorithms, and highlighted how Triller's 2019 acquisition of UK-based MashTraxx came with "13 employees, 11 Ph.D's, all specializing in AI. One of them wrote a thesis on recommendation engines and AI in the short-form video space."

TikTok has no shortage of technology, which it has recently begun to share more openly. But it is currently being sued by Triller for patent infringement, and potentially for antitrust as well.

TikTok has highlighted its relationships with creators as a competitive advantage, which it is hoping to entrench with its recently announced creator fund. But reports have indicated that TikTok creators are beginning to look elsewhere, including to Triller.

Meanwhile, as Facebook builds its own TikTok competitor on Instagram called Reels, it has reportedly offered big deals to entice TikTokkers to defect. TikTok CEO Kevin Mayer has called Reels a copycat product, and pointed out that Facebook's previous "copycat Lasso failed quickly."

"The same thing can happen for Reels," noted Uzzaman. "Until they are playing in the market, there is no guarantee...Triller is already far ahead of anyone else in the U.S. market."

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Sam Blake primarily covers entertainment and media for dot.LA. Find him on Twitter @hisamblake and email him at samblake@dot.LA

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Fuel Innovation: 7 Unforgettable Team Building Experiences in LA
Image Source: Discover LA

In today's competitive business landscape, team building activities have emerged as a crucial tool for fostering a positive work environment, enhancing productivity, and crucially, improving employee retention. Studies have shown that such activities help employees feel valued, with one report indicating that 93% of those who felt appreciated were more motivated at work. Importantly, team building events may improve retention rates, as employees who feel connected to their colleagues and company culture are more likely to stay long-term. With these benefits in mind, let's explore some of the most engaging and effective team building activities available in Los Angeles.

Pickleball

Image Source: Modern Luxury Angelino

Pickleball is a fantastic team bonding activity because of the easy-to-grasp rules and gentle pace make it perfect for everyone, regardless of age or fitness level. The game thrives on communication and teamwork, as players must collaborate and strategize to outplay their opponents, boosting team cohesion. Plus, the lively, fast-paced action sparks friendly competition and laughter, creating a fun and spirited atmosphere that brings everyone closer together. Los Angeles boasts numerous pickleball courts that are easy to rent if you have your own equipment. If you need additional assistance organizing your pickleball outing, there are plenty of full-service companies ready to handle every detail for you.

Resources: Pickle Pop, Corporate Pickle


Escape Room

Image Source: The Escape Game

Escape rooms are a great way to build camaraderie. They require participants to work together, combining their problem-solving skills and creativity to overcome challenges and puzzles. The immersive and time-sensitive nature of escape rooms fosters collaboration and communication. Additionally, the shared experience of tackling complex tasks and reaching a common goal helps build trust and foster positive emotions among colleagues.

Resources: The Escape Game, 60Out


Day Trip to Catalina Island

Image Source: Love Catalina

Catalina Island is a perfect day trip for a team because it provides a break from the usual work environment, allowing team members to relax and connect in a new setting. Shared experiences during the trip, such as exploring new places and participating in fun activities, help build stronger relationships and foster a sense of camaraderie. There are numerous team-building activities such as an arboreal obstacle course, an island tour, scavenger hunts and more.

Resources: Catalina Island Group Activities


Top Golf

Image Source: Topgolf

Topgolf is an excellent team building event because it provides an inclusive, relaxed atmosphere that accommodates players of all skill levels, fostering personal connections and improving team morale. The unique blend of competition and entertainment creates an ideal setting for building trust, enhancing communication, and revealing hidden skills among team members. Additionally, Topgolf offers structured team building packages with guided activities, discussion prompts, and lessons on culture, change, collaboration, and strategy, making it a versatile and effective platform for strengthening relationships and boosting overall team performance.

Resources: Topgolf El Segundo


SoFi Stadium Tour

Image Source: Discover LA

A SoFi Stadium tour offers a unique, behind-the-scenes experience of one of the world's most advanced sports venues, allowing team members to explore exclusive areas like premium suites, team locker rooms, and the player tunnel together. The tour provides a shared, memorable experience that can foster camaraderie and spark conversations among team members, regardless of their interest in sports. Additionally, the stadium's state-of-the-art features and impressive architecture can inspire creativity and innovation, while the group setting encourages interaction and collaboration, making it an engaging and enjoyable activity for teams of various sizes and backgrounds

Resources: SoFi Stadium Group Tours


Corporate Volunteering

Image Source: L.A. Works

Volunteer work serves as an excellent team building activity by uniting employees around a shared, meaningful cause, fostering a sense of purpose and collective accomplishment. It provides opportunities for team members to collaborate in new ways, often revealing hidden strengths and leadership qualities that may not be apparent in the regular work environment. Additionally, engaging in community service can boost morale, enhance the company's reputation, and instill a sense of pride among employees, leading to improved workplace relationships and increased job satisfaction.

Resources: Habitat for Humanity, L.A. Works, VolunteerMatch


Corporate Improv Sessions

Image Source: Improv for the People

A corporate improv class encourages spontaneity, creativity, and quick thinking, skills that are valuable in the workplace. It promotes active listening and collaboration, as participants must work together to create scenes and respond to unexpected situations, fostering better communication and trust among team members. Additionally, the playful and often humorous nature of improv helps break down barriers, reduces stress, and creates a shared positive experience that can improve team morale and cohesion long after the event.

Resources: Improv-LA, Groundlings, Improv for the People

🎬 Paramount and Skydance Are Back On
Image Source: Paramount

Happy Friday Los Angeles! Hope you all had a fantastic Fourth!!

🔦 Spotlight

Paramount and Skydance Media have rekindled talks to merge after negotiations abruptly halted in June. The proposed deal, contingent on approval from Paramount’s board, aims to combine Paramount’s extensive media holdings—including CBS, MTV, and Nickelodeon—with Skydance’s film expertise showcased in hits like "Top Gun: Maverick." This merger signals a potential transformation in the media landscape, positioning the new entity to compete more effectively amid challenges from streaming services and the decline of traditional cable TV.

Led by Shari Redstone, Paramount’s controlling shareholder via National Amusements, the deal represents a pivot towards revitalizing Paramount’s strategic direction amidst financial struggles and shareholder concerns. The involvement of major investors like RedBird Capital Partners and David Ellison underscores the financial backing aimed at stabilizing Paramount’s operations and addressing its $14 billion debt burden. Importantly, the agreement includes provisions to protect National Amusements from potential legal challenges, addressing previous hurdles that stalled earlier negotiations.

The deal also includes a 45-day period for Paramount to explore alternative offers, highlighting continued interest from other potential buyers like Barry Diller’s IAC and media executive Edgar Bronfman Jr. This flurry of activity underscores the significant stakeholders’ interest in Paramount’s future and its potential as a key player in a rapidly evolving media industry.


🤝 Venture Deals

LA Companies

  • Sidecar Health, a startup that offers personalized health insurance plans to businesses that allow members to see any doctor and pay directly at the time of service, raised a $165M Series D led by Koch Disruptive Technologies. - learn more

LA Venture Funds


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