This Week in Apps: TikTok Stories, Apple Safety & More

The Expanding App Universe: A Weekly Recap

Welcome to This Week in Apps, your regular source for the latest developments in mobile operating systems, applications, and the broader app economy.

The app industry demonstrates continued growth, achieving a record 218 billion downloads and $143 billion in global consumer spending in 2020. Android users alone spent 3.5 trillion minutes within apps last year. Currently, mobile device usage in the U.S. surpasses time spent watching live television; Americans now dedicate four hours daily to their mobile devices, compared to 3.7 hours for live TV.

Apps are not merely a source of entertainment; they represent a significant business opportunity. Mobile-first companies boasted a combined valuation of $544 billion in 2019, a figure 6.5 times greater than their non-mobile-focused counterparts. Investment in mobile companies reached $73 billion in 2020, marking a 27% year-over-year increase.

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Top Stories

Apple’s Initiative to Detect CSAM Imagery

Apple recently announced a substantial initiative focused on scanning devices for Child Sexual Abuse Material (CSAM). The company unveiled a set of features, scheduled for release later this year, designed to identify CSAM within its cloud services and report it to law enforcement. While companies like Dropbox, Google, and Microsoft already employ similar scanning practices, Apple previously allowed user data encryption before reaching iCloud. Now, Apple’s new NeuralHash technology will operate directly on user devices to detect known CSAM imagery—even if it has been altered—without requiring decryption.

Furthermore, Apple will introduce protections within the Messages app on iPhones and iPads. These protections will filter potentially harmful images sent to or from children’s accounts, alerting both the child and their parents. Children will see a grayed-out image instead of explicit content, and attempting to view the original image will trigger informative screens explaining the potential harm and notifying parents.

Some privacy advocates have expressed concerns about the potential for expansion of this system to encompass end-to-end encrypted photos, the possibility of false positives, and the potential for increased government surveillance. However, many cryptology experts believe Apple’s system strikes a balance between privacy and utility, and have endorsed the technology. Apple has also stated that all reports will undergo manual review before being submitted to the National Center for Missing and Exploited Children (NCMEC).

These changes may also prove beneficial for iOS developers who handle user photos and uploads, as the risk of CSAM being stored on iOS devices will be reduced.

In-App Events Now Visible on the App Store

Testers of the new iOS 15 operating system have gained their first look at a new App Store discovery feature: “in-app events.” Announced at this year’s WWDC, this feature will allow developers and Apple editors to showcase upcoming events within apps directly on the App Store.

These events can appear on the App Store homepage, on individual app product pages, or through personalized recommendations and search. Apple editors will curate certain events for featured placement, while developers will also have tools to submit their own in-app events. TikTok’s “Summer Camp” for creators was among the first in-app events to be highlighted, receiving prominent placement on the iPadOS 15 App Store.

Weekly News

Platforms: Apple

Apple is expanding support for student IDs on iPhone and Apple Watch in preparation for the fall semester. Tens of thousands more U.S. and Canadian colleges will now support mobile student IDs within the Apple Wallet app, including institutions like Auburn University and Northern Arizona University.

Concerns have been raised regarding Apple’s promotion of scam apps within the App Store’s featured section. While policing the store is a challenge, curating editorial lists that include fraudulent apps is particularly problematic. One example involved a slime simulator app with a $13 AUD per week subscription, and another app on the list was non-functional, suggesting a lack of testing by Apple’s editors.

Tax changes are impacting the App Store. Apple announced adjustments to taxes and pricing for apps and in-app purchases in South Africa, the U.K., and Eurozone countries, resulting in decreases. Increases will occur in Georgia and Tajikistan, while proceeds in Italy will increase to reflect a change in the Digital Services Tax rate.

Updates are also coming to Game Center. Apple announced that a new certificate for server-based Game Center verification will be available on August 4 via the publicKeyUrl.

Fintech

Robinhood’s stock experienced a significant jump of over 24% to $46.80 on Tuesday, following an initial decline after its initial public offering. The stock had previously traded below its opening price of $38.

Square’s Cash App nearly doubled its gross profit to $546 million in Q2, but also reported a $45 million impairment loss on its Bitcoin holdings.

Coinbase’s app now supports cryptocurrency purchases using Apple Pay. The company previously integrated its Coinbase Card with Apple Pay in June.

Social

An anonymous app called Sendit, which utilizes Snap Kit, is gaining traction in the U.S. App Store following Snap’s suspension of similar apps, YOLO and LMK. Snap faced a lawsuit from a parent following a child’s suicide linked to bullying on those apps. Sendit also allows for anonymity, but has also received complaints regarding bullying. Snap previously faced legal action related to a “speed filter” that critics argued encouraged unsafe driving, resulting in multiple fatalities.

TikTok is testing a Stories feature. As Twitter’s Fleets integration is discontinued, TikTok confirmed it is experimenting with a similar feature. TikTok Stories appear in a left-hand sidebar and allow users to post ephemeral images or videos that disappear after 24 hours. Users can also comment on Stories, which are visible to mutual friends and the creator. Stories may be a more natural fit for TikTok, given its creative focus and potential for integrating effects and advertisements.

Facebook has again reorganized its privacy settings. The company frequently adjusts the location of its privacy features, ostensibly to improve accessibility. However, this necessitates users relearning the location of tools they have already memorized. The settings have now been grouped into six categories, with “privacy” settings dispersed among them.

A VICE report details “ban-as-a-service” operations that allow individuals to harass or censor online creators on Instagram. One operation reportedly charged $60 per ban.

TikTok has merged personal and creator accounts. All non-business accounts now have access to creator tools, including Analytics, Creator Portal, Promote, and Q&A, within Settings.

Discord now allows users to customize their profiles on its iOS and Android apps, adding descriptions, links, emojis, and profile colors. Paid subscribers can also use images or GIFs as banners.

Twitter Spaces has added a co-hosting option, allowing up to two co-hosts to join live audio chat rooms. Spaces can now have one host, two co-hosts, and up to 10 speakers. Co-hosts have the same moderation abilities as hosts, but cannot add or remove other co-hosts.

Messaging

Tencent has reopened user sign-ups for its WeChat messaging app after temporarily suspending registrations for “technical upgrades.” The company, like other Chinese tech giants, is addressing new regulations from Beijing regarding data handling, antitrust behavior, and other issues.

WhatsApp is adding a feature for sending photos and videos that disappear after a single viewing. However, unlike Snapchat, it does not notify users if a screenshot is taken.

Telegram’s update expands group video calls to support up to 1,000 viewers. It also announced improved video message quality, expanded regular video playback speeds, screen sharing with sound, and more.

Streaming & Entertainment

American Airlines is offering free access to TikTok aboard its Viasat-equipped aircraft. Passengers can watch videos for up to 30 minutes for free and download the app. The addictive nature of TikTok may make long flights more enjoyable—or less productive.

Chinese TikTok rival Kuaishou saw its stock fall by over 15% in Hong Kong, the largest decline since its IPO. The company is affected by market uncertainty related to China’s crackdown on tech companies. Kuaishou also shut down its controversial app Zynn, which paid users to watch short-form videos, including stolen content.

Twitch overtook YouTube in consumer spending per user in April 2021, with $6.20 per download compared to YouTube’s $5.60.

Spotify is testing a new ad-supported tier called Spotify Plus, priced at $0.99 per month. This tier offers unlimited skips and the ability to play specific songs, unlike the free version. Spotify also announced it is discontinuing support for AirPlay2 due to audio driver compatibility issues.

Mark Cuban-backed audio app Fireside asked its users to invest in the company via email, without disclosing deal terms. The app has yet to launch.

YouTube launched its $100 million Shorts Fund to compete with TikTok, offering creators cash incentives for top videos, ranging from $100 to $10,000.

Dating

Match Group announced plans to add audio and video chat, including group live video, to several of its brands over the next 12-24 months. These developments will be powered by innovations from Hyperconnect, which Match acquired for $1.73 billion. Match is currently testing group live video on Tinder, but a launch is not imminent. Two brands will see Hyperconnect-powered integrations in 2021.

Photos

The Photo & Video category on U.S. app stores experienced strong growth in the first half of the year, with consumer spending among the top 100 apps increasing 34% year-over-year to $457 million in Q2 2021, with 83% of revenue generated on iOS.

Gaming

Epic Games revealed that Ariana Grande will host its in-app Rift Tour event, running from August 6-8.

Pokémon GO influencers threatened to boycott the game after Niantic removed COVID safety measures that facilitated social distancing. Niantic’s move was poorly timed, given the resurgence of COVID cases due to the Delta variant.

Health & Fitness

Apple removed the app Unjected from the App Store. The app billed itself as a community for the unvaccinated, allowing users to connect for dating and friendships. Apple cited violations of its COVID-19 content policies.

Google Pay expanded support for vaccine cards in Australia, allowing users to add their COVID-19 digital certification to their device for easy access.

COVID Tech Connect, a U.S. nonprofit, launched its TeleHome app to provide free video calls to patients, particularly those affected by the Delta variant.

Journaling app Day One, recently acquired by Automattic, rolled out a “Concealed Journals” feature allowing users to hide content from others.

Edtech

Duolingo is developing a math app for kids. The company will share more details at its annual conference, Duocon, later this month.

Pearson launched an app offering access to 1,500 titles for a monthly subscription of $14.99. The Pearson+ app also offers single textbook rentals for $9.99 per month.

News & Reading

Quora is entering the subscription economy. The company announced two new products allowing creators to monetize their content: Quora+ ($5/month or $50/year) and Spaces. Quora+ allows subscribers to pay for individual content pieces, while Spaces allows creators to publish paywalled content similar to Substack.

Utilities

Google Maps on iOS added a live location-sharing feature for iMessage users, allowing them to easily share their ETA and battery life. The feature competes with iMessage’s built-in location sharing and includes a dark mode.

Security & Privacy

Citizen launched a $20 per month “Protect” service, offering live agent support and the ability to connect users with 911 if needed. The service has drawn controversy due to Citizen’s past actions, including launching private security fleets and offering a reward for an innocent person.

Funding and M&A

Square acquired AfterPay for $29 billion, valuing the Australian “buy now, pay later” firm at a 30% premium. Apple has also partnered with Affirm in Canada in the BNPL space.

Zynga acquired Chinese game developer StarLark, the team behind Golf Rival, for $525 million in cash and stock.

U.K.-based Humanity raised $2.5 million for its app aimed at slowing down aging, bringing its total funding to $5 million.

YELA, a Cameo-like app for the Middle East and South Asia, raised $2 million led by Tinder co-founder Justin Mateen and Sean Rad.

London-based Palta raised $100 million for its health and wellness apps, including Flo.Health and Zing Fitness Coach.

Emoji database Emojipedia was acquired by Zedge, the phone personalization app.

Mental health app Revery raised $2 million led by Sequoia Capital India’s Surge program.

Nigerian fintech startup Kuda raised $55 million in a Series B round led by Valar Ventures and Target Global.

Vietnamese payments provider VNLife raised $250 million led by General Atlantic and Dragoneer Investment Group.

Downloads

Mastodon for iPhone

Fans of decentralized social media now have a dedicated iPhone app for Mastodon, the open-source social network. The app simplifies access to the network, allowing users to find and follow people, post content, and receive notifications.

Xingtu

TikTok users are turning to the Chinese App Store to access Xingtu, an iOS app offering advanced photo and video editing tools. The app allows users to edit their appearance, apply makeup, and add filters.

Tweets

Facebook still dominating top charts, but not the No. 1 spot:  

Not cool, Apple: 

This user acquisition strategy: 

Maybe Stories don’t work everywhere: