AI for Sale: TikTok’s parent company launches BytePlus

ByteDance, the parent company of the popular short-video platform TikTok, is making waves once again with their latest venture, BytePlus. Through this new division, ByteDance is set to sell the artificial intelligence technologies that power TikTok to other businesses.

These AI technologies include the recommendation algorithm that fuels the platform’s ForYou feed, computer vision tech, automatic speech-to-text and text-to-speech capabilities, as well as an array of data analysis tools. Alongside this venture, ByteDance is also testing a new AI chatbot called Tako, which is designed to enhance user engagement on TikTok.

BytePlus: Selling TikTok’s AI technology to other companies

The global popularity of TikTok can be largely attributed to its superior AI technology, which has taken video recommendations to a new level of accuracy. The BytePlus division is set to sell this technology, aiming to help other businesses enhance the personalization of their apps and websites. BytePlus’s recommendation engine, which has been fine-tuned through its use on TikTok, is likely to be one of the most sought-after offerings. This engine meticulously monitors user activity on the platform, including interactions with videos, hashtags, device type, and location, to make surprisingly accurate suggestions for new content.

The announcement of BytePlus has already sparked interest among various industry heavyweights. Notable interested parties include WeBuy, a leading e-commerce company, and GOAT, an upscale online marketplace for sneakers and streetwear. Wego, a Singapore-based travel booking platform, serves as one of the key case studies. They report significant improvements in the relevancy of their search results through the application of BytePlus Recommend’s machine learning algorithm. This resulted in a reported 40% increase in conversions per user.

However, entering the AI solutions market means BytePlus will be competing against tech giants like Microsoft, Amazon, IBM, and Google. On top of that, the potential for data privacy concerns adds another layer of complexity. As governments around the world are increasingly cautious about the use of Chinese technology over potential data privacy issues, companies may approach BytePlus’s solutions with caution.

Tako: TikTok’s new AI chatbot

In a parallel development, ByteDance is exploring AI technology through the development of a chatbot for TikTok. Named Tako, this chatbot will appear on the user interface of TikTok, ready to answer questions about videos and suggest new content based on natural language queries. This innovative application of AI is being tested in select markets and aims to enhance the user experience through interaction and personalization.

For instance, while watching a historical video about King Charles’ coronation, Tako might prompt users to ask about the significance of the event. If users are looking for new content to view, they could ask Tako for recommendations on specific topics, such as funny pet videos. The bot responds with a list of results, including the video’s name, author, subject, and links to suggested videos.

Despite its sophistication, Tako’s development is still in its early stages. A disclaimer upon its launch noted that the bot’s feedback “may not be true or accurate” and should not be relied upon for medical, legal, or financial advice. This is a common warning with modern AI chatbots as the technology continues to develop and improve.

Behind Tako’s operation is a third-party AI provider, customized by TikTok to meet their specific needs. This marks a departure from the in-house AI technology that powers ByteDance’s other ventures, including BytePlus. As with any use of AI technology, data privacy is a major concern. TikTok has ensured that users have the option to delete their chats with Tako, but the specifics regarding data retention and personal information remain unclear.

ByteDance’s new developments: What lies ahead?

ByteDance’s recent endeavors showcase the company’s ambitious vision for the future of AI. The company’s decision to sell TikTok’s AI and develop a chatbot is a significant move into an already competitive industry, where they will contend with established players and navigate data privacy concerns.

However, ByteDance’s proven track record with TikTok, coupled with its innovative use of AI, may well position BytePlus and Tako for success. This expansion into AI solutions and services further establishes ByteDance as a global tech giant, as the company continues to shape the future of AI.

As the world continues to watch ByteDance’s expansion, the question remains: will other tech companies follow in ByteDance’s footsteps and start offering their own AI technologies to other businesses?

ByteDance’s strategic shift into the AI solutions market is not just an interesting development for the tech industry, but also a testament to the growing importance of AI across various sectors. Only time will tell how BytePlus and Tako will perform, but one thing is certain – ByteDance’s innovative approach to AI is making a serious wave in the game.