Photo Credit: Reddit
Reddit said on Sunday it has acquired short-form video sharing platform Dubsmash, becoming the latest company to expand in a space dominated by Chinese-owned TikTok. The financial terms of the deal were not disclosed, but a spokeswoman for Reddit said the acquisition was based on a combination of cash and stock.
The success of ByteDance's TikTok has prompted many social media companies to add short-video services to their platforms, with Snapchat rolling out Spotlight in November and Facebook launching Instagram Reels earlier this year.
“Dubsmash will bring two key strengths to Reddit,” the company wrote in the blog. “First, Dubsmash's mission is unique among social platforms, and is aligned with Reddit's own mission of bringing community and belonging to everyone in the world. Just as Reddit is a place for content you won't see anywhere else on the Internet, Dubsmash provides a welcoming platform for creators and users who are under-represented in social media.”
“Second, we will integrate Dubsmash's innovative video creation tools into Reddit, which will empower Reddit's own creators to express themselves in original and authentic ways that are endemic to our communities,” the post added.
The San Francisco-based company added that Dubsmash would maintain its own platform and brand. Reddit added that Dubsmash's communities are “driven” by diverse creators. “About 25 percent of all Black teens in the US are on Dubsmash, and females represent 70 percent of users.”
Dubsmash's entire team, including co-founders Suchit Dash, Jonas Drüppel, and Tim Specht, will join Reddit.
© Thomson Reuters 2020
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