ARTIFICIAL INTELLIGENCE: Facebook's Lasso clones Asia's TikTok to grab 500 million users

ByteDance is a $75 billion AI-powered Chinese attention gathering machine. Their marquee application TikTok -- a frankenstein formed from the combination of Vine-like videos and the acquisition of Musical.ly -- boasts 500 million users, and is currently ranked the #6 free app in China and #7 in the US. That position is ahead of Facebook (surely angering comic book supervillain Mark Zuckerberg), Snapchat and Messenger, having achieved this result in mere months since launch in the US market this past July.

TikTok engages teenagers with personalized content driven by ByteDance’s proprietary machine learning algorithms, emoji video commentary features, Snapchat-like augmented reality renders, and glitchy filters. Creators on the platform have the chance to make viral content, which is distributed at scale and mass-targeted at consumers by a machine. Using AI this way is a growing strength for Chinese companies. It is also a strength of recently beleaguered Facebook, which is fighting back by launching a clone called Lasso. The app features nearly identical gesture features, structures, endless content feeds, and hashtag groupings for browsing. The main differences lie in (1) video creation, where TikTok offers up to 60 second videos compared to Lasso’s 15 seconds, and (2) TikTok’s ability to customize content using filters, music, and lenses, which far outweigh the limited selection of Facebook's Lasso.
 
Two conclusions of note. First, Facebook has defended their turf before, and succeeded. For photos, it outright bought Instagram. For video stories, it failed at buying Snap but succeeded at building the feature into Instagram. For messaging, it bought Whatsapp and built Messenger. We wouldn't count it out in this case either. Second, these attention companies exist to deliver advertising and form consumer preference functions. In China, data about customer preferences already informs access to financial services, such as credit, payments and investing. In the US, increasingly Facebook is seen as a conduit for opinion manufacturing to the highest advertising bidder, with such data still a step away from being included in a financial underwriting decision. Yet as tech solutions and norms are exported between global jurisdictions, we expect that line to increasingly bend.

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Source: TikTok, Lasso, Slate on Facebook's Recent Allegations