How does Telegram make Money?

An image illustration of how Telegram makes money
How the telegram app Makes Money
  • Almost 500 million people use the encrypted messaging software Telegram worldwide.
  • Both desktop computers and mobile devices can use Telegram.
  • Telegram operates on a not-for-profit business model, making no money at all.

In 2013, Nikolai and Pavel Durov, brothers from Russia, founded Telegram, which has its main office in Dubai, United Arab Emirates.

Almost 500 million people use the encrypted messaging app Telegram globally.

The business has a desktop application and makes its services available to users of Android and iOS.

Telegram’s lack of a business model, in contrast to many other chat programs, is one of its most intriguing features.

That implies that Telegram has no revenue.

How does Telegram work?

Telegram swiftly surpassed 40 million users after going live in 2013, setting itself apart from other messaging services by providing users with an encrypted, private, and safe platform for online conversation.

Many used Telegram to avoid the persistent tracking and eavesdropping of other messaging programs like Facebook Messenger, which led to its success in the messaging industry.

In addition to initially promising that there will be no in-app advertising, Telegram does not track any user data.

Telegram developed a reputation as a platform where neither a corporation nor a government could eavesdrop on your communications.

Following controversies involving Facebook and WhatsApp snooping on their users, Telegram grew quickly and added 25 million new registered users in the months that followed the controversy.

By 2021, the firm had amassed 500 million users, making it a formidable rival to WhatsApp.

The company has continued to see fast development.

How does Telegram make money?

Telegram initially operated on a not-for-profit business model, making no money at all.

However, to achieve its development objectives, the business has since solicited financing from investors through ICO investment rounds.

The company just secured $1.7 billion in funding from predominantly Arab partners in the UAE.

Telegram’s founders, the Durov brothers, contributed money to its early stages of development, but they needed higher investments to achieve their development objectives.

Telegram also attempted to introduce a cryptocurrency to encourage producers to utilize its network and generate income through peer-to-peer transaction fees and fees for distributed file storage systems.

However, the SEC intervened in the creation and introduction of its coin, putting a stop to the activities related to its commercialization.