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Home App

Reports suggest China's government considers banning TikTok a better option than selling its US operations

Author: Mash Yang
2020-09-12
in App, Market dynamics, audio and video, network, observe
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As US President Trump reiterated that he would not postpone the September 9 deadline for TikTok to split its US operations, ByteDance is also facing the recent pressure from the Chinese government.Adjust regulations, requiring companies to obtain approval from the Chinese government before exporting for resale.

In the current Sino-US trade war, the Chinese government obviously believes that TikTok's business is being forced to sell.It is better to choose to be banned by the US government, so as not to be seen as bowing to the US government, and it seems to leave ByteDance with little room for retreat.

Reports suggest China's government considers banning TikTok a better option than selling its US operations

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However, ByteDance later stated that it had not received any "advice" from the Chinese government regarding the sale of its overseas business.

However, judging from the current situation, if ByteDance chooses to further apply technologies such as data analysis and artificial intelligence to TikTok's US business and simply sells the US business, it will obviously affect the acquisition intentions of buyers in the United States. After all, without the supporting technology behind the service, the acquisition attractiveness of the service itself will be sharply reduced.

Given ByteDance's current situation, the Chinese government will naturally not agree to its sale of technologies such as data analysis and artificial intelligence. It may even hope to further expand the situation under pressure from the US government, putting ByteDance in a dilemma.

On the other hand, if US President Trump gives TikTok a deadline of September 9 to split its US business (which may be based on Microsoft’s previousstatement將在9月15日前完成討論收購TikTok事宜),但字節跳動則是依照美國總統川普正式簽署行政命令日期,亦即以8月6日後45天作為計算,認為限期為9月20日。但若以美國海外投資委員會 (CFIUS)給予建議,TikTok至少在11月拆分美國業務。

According to current reports, ByteDance expects to complete preliminary discussions on the sale of its US business by September 9, and plans to complete the sale transaction by December this year. However, ByteDance will face more challenges due to the Chinese government's proposal of a new adjustment bill.

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Tags: ByteDanceTikTokSino-US trade warByteDanceTrumpVibrato
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Mash Yang

Mash Yang

Founder and editor of mashdigi.com, and student of technology journalism.

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