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Business Operations Business Models

How Does Brave Make Money (Business and Revenue Model)

The Brave browser business model

How Does Brave Make Money?
Here’s what you should know:
  • What is Brave, and how does Brave work?
  • How does Brave make money?
  • Advertising (Brave Ads)
  • Brave VPN (Subscription Revenue)
  • Selling Merchandise
  • Brave Talk Premium (Subscription Revenue)
  • Brave’s Subsidiaries, Acquisitions, and Exits
  • Brave’s profit and revenue
  • What is the Brave browser business and revenue model?
  • Brave’s funding and valuation

How does the Brave browser make money and how is it free to use? Well, here is a full, in depth, breakdown of their four (4) revenue streams and the different products and services they offer, as well as the Brave business model, their year over year revenue, and how Brave works.

What is Brave, and how does Brave work?

Brave is an open source, privacy focused web browser that blocks and disables website trackers and online ads automatically when users browse.

Founded in 2015 by Brendan Eich and Brian Bondy, Brave now has over 55 million monthly active users.

How Brave works is: To use Brave, users must first download Brave onto their mobile via the App Store or Google Play; or directly onto their PC.

Once downloaded, users can freely search and browse the internet. Brave tracks in real time how many trackers and ads they blocked for you, and how much time it saved you (visible on the Brave homepage).

Some of Brave’s competitors include Google, DuckDuckGo, Opera, Firefox, Yahoo!, Bing, and other web browsers.

Brave browser App in Apple App Store | Brave browser Business Model | How Does Brave browser Make Money? | How Does Brave browser Work?
Source: Apple App Store | Brave

How does Brave make money?

According to Brave’s 2021 recap, Brave has more than 55 million monthly active users who performed over 2.3 billion search queries in 2021 alone.

So how does the Brave browser make money off of all these users and searches?

Below is a breakdown of how much money the Brave browser makes and its revenue model. Including all revenue streams and how much they charge for their services.

Here are the 4 ways of how the Brave browser makes money (in 2022):

The Brave browser has a revenue model that makes money in four (4) ways – advertising, two (2) subscription services (Brave VPN and Brave Talk Premium), and selling merchandise.

#1. Advertising (Brave Ads)

Brave makes a bulk of its money from its advertising, Brave Ads. Which has more than 400 advertisers including big name brands such as Coinbase, Verizon, Crypto.com, Binance, BlockFi, and more.

Brave Ads uses both, a CPM and CPC ad model and offers three (3) types of ad unit formats: Push notifications, Sponsored images, and Brave News. All of which have their own separate costs. Which you can see below.

How much do Brave ads cost?

  • Push notifications cost: Minimum spend of $10,000+ for 30 days
  • Sponsored images cost: Minimum spend of $50,000 per day
How much do Brave ads cost? | Brave browser Business Model | How Does Brave browser Make Money? | How Does Brave browser Work?
Source: Brave

#2. Brave VPN (Subscription Revenue)

Brave also makes money through subscription revenue with its product, Brave VPN.

This subscription service allows users to encrypt and protect anything they do online throughout their entire device, beyond just the Brave browser – for a price, which you can see below.

Brave VPN Cost:

  • $9.99 per month or; $99.99 per year
Brave VPN Cost | Brave browser Business Model | How Does Brave browser Make Money? | How Does Brave browser Work?
Source: Brave

Note: Brave does not offer a freemium tier for this product.

#3. Selling Merchandise

In addition to advertising and subscription revenue, the Brave browser also makes money selling their own merchandise through its official online store Brave Swag Store.

Here, they sell Brave NFTs, branded apparel, and more ranging in prices up to $70+.

#4. Brave Talk Premium (Subscription Revenue)

Another subscription service and product Brave offers and makes money on is Brave Talk Premium.

With Brave Talk, users can host a video chat with up to four (4) people for free. But if a user is looking for additional features that the free plan does not have such as hosting calls with more than four (4) people or recording the calls, they can upgrade to Brave Talk Premium. Prices are below.

Brave Talk Premium Pricing:

  • $7 per month
Brave Talk Premium Pricing | Brave browser Business Model | How Does Brave browser Make Money? | How Does Brave browser Work?
Source: Brave

Brave’s Subsidiaries, Acquisitions, and Exits

To date, Brave Software Inc. has made a total of 1 acquisition.

Mergers and acquisitions business model
Source: Crunchbase | Brave

Brave’s profit and revenue

Brave has not released any official reports in regards to company earnings.

Note: Because Brave Software Inc. is a privately held company, they are not required to make their annual reporting, such as Form 10-K’s, pubic.

What is the Brave browser business and revenue model?

The Brave browser makes money through a few revenue models that they combine within their company, they are:

  • Advertising based business model
  • Subscription based business model
  • Freemium (upselling) business model
  • Transaction based business model
  • B2B2C (partnerships) business model
  • Mergers & acquisitions (M&A) business model

Brave’s funding and valuation

According to Brave’s Crunchbase profile, Brave has raised $42 million over 5 rounds and has a post-money valuation of $10 million to $50 million as of August 1, 2016.