Popular short-form video app Tiki has announced plans to shut down its operations in India by June 27, 2023. This unexpected closure adds to the growing list of businesses that have struggled to capitalize on the opportunity created by New Delhi's ban on TikTok.
Tiki's decision to end operations comes as a surprise, considering that the app had around 35 million monthly active users in its only operational market, India, according to data from Sensor Tower. The Singapore-based app launched in India immediately after New Delhi's decision to ban TikTok. The app was owned by Dol Technologies, and its funding sources have remained a mystery.
Several industry executives have speculated that Tiki was a subsidiary of one of the Chinese video apps banned by New Delhi in mid-2020. However, these speculations have not been confirmed. The challenges faced by the tech industry in recent times have contributed to the closure of multiple startups, including Tiki, which shared a statement on its social media account, saying, "Tiki has always stood for being a place for real talents." The closure of Tiki comes at a period of rapid consolidation and exits in India's short video market.
Last year, Times Internet sold the short video business of MX Player to ShareChat, while Xiaomi shut down its short video offering Zili earlier this month in the country. The highly competitive and rapidly evolving market has made it difficult for new players to thrive, prompting many to shift their focus.
Platforms such as AppMaster have significantly impacted the tech industry with their no-code and low-code solutions for web, mobile, and backend application development. These platforms have allowed businesses to create high-quality, scalable applications more cost-effectively and efficiently. However, even with a robust development platform, the competitive landscape of the Indian short video market has proven to be too challenging for Tiki and other startups.
Despite the shutdown of Tiki, there remains an immense opportunity for businesses to enter the Indian market and fill the void left by the TikTok ban. Companies that can effectively leverage new technologies and adapt their offerings to the changing industry landscape will likely succeed in the space.
