How Telegram makes money despite free messaging services:Company reels under mounting losses; India is the biggest market

Instant messaging app, Telegram is once again in the news for all the wrong reasons. The Central Government had ordered the temporary removal of Telegram from the Google Play Store until 22 June, 2026. The move was made to stop people from sharing leaked question papers for the NEET-UG medical entrance exam. Telegram has 15 crore users in India इमेज विजेट। विजेट के बाद टाइप करने के लिए Enter दबाएँ या विजेट से पहले टाइप करने के लिए Shift + Enter दबाएँ। With over 15 crore users in India (according to an ‘X’ post by Telegram’s CEO Pavel Durov himself), many are wondering: how will government’s decision affect Telegram’s revenue, and how does a free app make money anyways? How much money will Telegram lose from the Indian ban? The parent company of the messaging app, Telegram Messenger Inc, will have very little impact in the short term from the government ban as it is only effective until 22 June. India is Telegram’s biggest market While this means new Android users in India cannot download the app right now, Telegram’s CEO Pavel Durov stated on social media that existing users can still use it. Because the ban is temporary (lasting about a week), it will not severely damage Telegram’s long-term earnings. However, India is Telegram’s biggest market by user count, so a permanent ban in the future would hurt its global growth. How does Telegram make money if it is free? For many years, Telegram did not make any money. Today, it is turning into a massive revenue machine. According to financial reports published by ‘The Financial Times’ and shared via ‘Binance Square’, Telegram made a whopping $870 million (₹8,265 crore) in just the first half of 2025—a 65% jump from the year before. Telegram’s 3 main income sources: Selling Cryptocurrency: This is Telegram’s biggest money-maker. Telegram has a deep partnership with a blockchain token called Toncoin (TON). Telegram makes money by selling these tokens and setting up exclusive business deals around them. Telegram Premium: Launched in 2022, this is a paid subscription ($5 or ₹475 a month) that gives users extra features like faster downloads and larger file uploads. According to tech data site Resourcera, the messaging app now has over 12 million or 1.2 crore paid subscribers out of its 1 billion or 100 crore total global users. In-App Advertisements: Telegram displays ads of large corporates and charges commission. Is the company profitable? No, it is currently losing money. Even though Telegram brought in $870 million in early 2025, it reported a net loss of over $220 million or ₹2,090 crore for that same period. According to the business daily, Telegram did not lose money because its business failed. It lost money because it holds a lot of Toncoin (the cryptocurrency). When the price of Toncoin dropped in 2025, the value of Telegram’s corporate assets dropped along with it. How Telegram was founded? Telegram was established in 2013 by two Russian brothers: Pavel Durov and Nikolai Durov. Before this company, they had established VKontakte (VK), which became the ‘Facebook of Russia.’ Initial struggles leaving Russia Pavel Durov clashed heavily with the Russian government because he refused to give them the private data of VK users. In 2014, the daring entrepreneur was forced out of his own company and had to sell his shares. He left Russia permanently with around $300 million (₹2,850 crore) in his pocket. He used that exact money to fund the early days of Telegram. Where is Telegram headquartered? Telegram is headquartered in Dubai, UAE, and incorporated in the British Virgin Islands, according to the market research portal, ‘Revenue Memo.’ Telegram focused heavily on privacy, speed, and massive group chats. It quickly became the go-to app for people who desired uncensored communication. By 2024, its total revenue hit $2.4 billion or ₹22,800 crore, according to ‘Revenue Memo,’ and today, it has reached 1 billion or 100 crore monthly active users worldwide, according to ‘Revenue Memo.’ How much is Telegram valued? The instant messaging service platform’s valuation has been estimated at over $30 billion or ₹2.85 lakh crore, as per Revenue Memo Past controversies surrounding Telegram Telegram’s ultra-private nature has frequently landed it in hot water with governments globally: Movie Piracy: Top Bollywood production houses have repeatedly dragged Telegram to courts. Channels are frequently used to distribute high-definition copies of newly released movies within hours of hitting theaters. The crypto battle (2019-2020): Telegram tried to launch its own official cryptocurrency system (TON) and raised $1.7 billion or ₹16,150 crore. The US government sued the platform, calling it illegal. Telegram had to back down and return $1.2 billion to investors. (Later, an independent community restarted the project, which Telegram uses today). The CEO’s arrest in France (2024): In August 2024, Pavel Durov was arrested by French authorities at an airport. The French government accused Telegram of failing to cooperate with police to stop illegal activities on the app, such as fraud, drug trafficking, and cyber-bullying. NEET exam paper leak scam (2026): The app was removed from Google Play due to concerns that people were using hidden Telegram channels to leak national exam papers. Despite these endless battles with global authorities, Telegram’s user base continues to stay strong at 100 crore users, cementing it as one of the most powerful, and controversial tech platforms on the planet.