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I wonder how it can afford Dubsmash over the tech giants - who seemingly wanted to buy TikTok.

Half of the internet-using world has heard of and is using TikTok, Dubsmash not so much

Probably because Dubsmash doesn't have a comparable user base. Fewer eyes -> fewer $$$

I'm honestly surprised Dubsmash is still around. I did a Dubsmash for a team-building thing four years ago and never looked at it again.

Indeed. The fact that CNN's article is titled "...TikTok rival..." highlights the difference in market penetration between the two.