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Business Insights Daily > Insider > TikTok Ban Results In Huge Loss For NTC And Ncell In Revenue – A Loss Of Around Rs 3 Billion
Insider

TikTok Ban Results In Huge Loss For NTC And Ncell In Revenue – A Loss Of Around Rs 3 Billion

On November 13, 2023, Nepal government announced TikTok ban in Nepal as it is expanding different abnormal an inappropriate activities in social platform that harms the morality of people.

Business Insights Daily
Last updated: May 1, 2024 9:38 am
Business Insights Daily Published May 1, 2024
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TikTok Ban Results In Huge Loss For NTC And Ncell In Revenue - A Loss Of Around Rs 3 Billion
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Highlights
  • Internet service providers and experts say TikTok accounts for nearly 40 percent of internet bandwidth consumption in Nepal, and when it is banned, the internet consumption should have nosedived. But to the surprise of many, internet traffic has grown by 20 percent after the ban, according to data provided to the Post by internet service providers.

TikTok has gained widespread popularity in Nepal, especially among the younger generation, functioning as a hub for creative expression, entertainment, and social engagement. Its users share diverse content ranging from lip-sync performances and dance routines to humorous skits and educational tutorials. Despite intermittent controversies and a brief ban in 2020, TikTok continues to hold a significant presence in Nepal’s digital realm, providing Nepali content creators with avenues to exhibit their skills and engage with an international audience.

Social Medias like Facebook, Instagram, Snapchat, Twitter, Tiktok are common nowadays and most of the people use this. All this medias are very beneficial to us if used properly but are also time consuming and if we cant utilize them properly.

Over the past few years, TikTok has gained popularity across all age groups, including children, teenagers, and even the elderly. It provides a platform for users to share short videos, up to 5 minutes long, showcasing their talents to a wide audience. Many individuals have leveraged TikTok wisely to build careers, and it’s become a staple app on many people’s phones, particularly among girls.

Launched in 2016 by the Chinese technology company ByteDance, this renowned app was introduced to the public. Prior to this, there existed an app called ‘Musically’ which serves as TikTok’s predecessor. Since then, TikTok has experienced rapid global expansion. Its popularity surged around 2019, particularly during the COVID-19 pandemic when people spent extended periods at home.

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By 2022, TikTok had become a platform where people could make videos and earn a lot of money through live sessions. People got to know about this and various inappropriate activities were performed to earn money. Considering these things, Nepal government planned to ban TikTok in Nepal.

The main reason for the ban of this application in Nepal is due to videos which were intend to cause harm in social harmony that may have paved the younger generations in a wrong way. Also, nudity exposures were slowly increasing among the users and caused political issues as well since a female government officer from Nepal was found uploading a video cause harm to social harmony.

On November 13, 2023, Nepal government announced TikTok ban in Nepal as it is expanding different abnormal an inappropriate activities in social platform that harms the morality of people.

Due to this decision made by Nepal government, the famous data providers NCELL and NTC faced a big stepback in their revenue. NCELL faced a loss of around Rs 1.5 Billion due to the reduced bandwidth consumptions after tiktok ban as per reported by Vishal Upadhyaya , cheif regulatory and legal officer of NCELL.

Similarly, Nepal Telecom Communication (NTC) had to face the loss of around Rs 1.3 Billion after the social media platform, TikTok was banned in Nepal as the number of data users were decreased . As per Madhusudan Dahal, a senior engineer of NTC mentioned that the data users in NTC is 10 percent less than of NCELL as more loss was faced by NCELL rather than NTC.

The impact of reduced data consumption due to tiktok banned affected in the income of telecom companies. Also , according to Internet Service Providers Association Of Nepal (ISPAN) stated that the growth of internet consumption in the country over last four month has been stable following the government’s decision to ban tiktok.

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“For security reasons, the Nepalese government has implemented a ban on TikTok, with no indication of it being lifted anytime soon. Despite this, some individuals in Nepal manage to access TikTok both with and without VPNs. While TikTok can offer value and knowledge when used appropriately, the growing toxicity in user-generated content prompted the government to enforce the ban.” – Internet Service Providers Association Of Nepal (ISPAN)

The original statement highlights the ban on TikTok in Nepal due to security concerns and the persistence of some users accessing the platform despite the ban. It also mentions the potential benefits of TikTok when used responsibly, juxtaposed with the increasing toxicity in its content, which contributed to the government’s decision to ban it.

TikTok has emerged as a vibrant platform for creative expression and social engagement, particularly among Nepal’s younger generation. While TikTok offers opportunities for talent showcase and international exposure for Nepali content creators, the government’s decision underscores the growing challenges of maintaining online safety and social harmony.

As some individuals continue to access TikTok despite the ban, the debate surrounding its regulation persists, emphasizing the need for responsible usage and effective governance in navigating the complexities of modern social media platforms.

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TAGGED: insider, Ncell, NTC, TikTok Ban, TikTok Ban In Nepal

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