TikTok Owner to Spend Billions in Singapore After US Ban

TikTok Owner to Spend Billions in Singapore After US Ban

This further led Donald Trump to threaten ByteDance, the parent company of TikTok, and he issued an ultimatum to ByteDance to sell off TikTok's usa operation to any investor before 15th September, otherwise, all its businesses in the usa will be banned. In August, Trump issued a pair of executive orders requiring ByteDance to sell TikTok's USA operations or shut them down, citing national security concerns.

This might eventually result in TikTok missing the deadline of sale and getting banned in the country - which China would prefer to see rather than a forced sale. TikTok has been struggling to keep its application in the USA region because now, Trump's administration has given a deadline to the app for selling itself to a U.S. business. The authorities of China said that the application must not be self forcefully to U.S. businesses. The order could also make it hard for other companies to do business with TikTok, such as buying ads or selling the company cloud services.

TikTok also faces a November deadline to divest its U.S. assets in an order based on a recommendation from the Committee on Foreign Investment in the United States. TikTok has previously stated that it does not and would not comply with any request to share user data with Beijing. Some analysts had predicted that the deadline would be extended because of the sale's complexity. This makes separating TikTok from ByteDance more complicated on a technical level. The TikTok parent firm, for its part, told Reuters that it hasn't seen any pressure by Beijing to shut down its US operations. First Vine and now TikTok - maybe short video apps are just cursed?

A potential sale of US operations of the popular app could also face difficulties because of new restrictions put in place by the Chinese government regarding the sale of algorithms. ByteDance is said to have generated more than US$3 billion of net profit on more than US$17 billion of revenue a year ago.

US Secretary of State Mike Pompeo has claimed the app and others, such as WeChat, were "feeding data directly to the Chinese Communist Party, their national security apparatus".

We have stated that TikTok has been negotiating with various technology giants to sell United States operations.

Beijing has said it firmly opposes Trump's executive orders and on August 28 moved to give itself a say in the process, revising a list of technologies that will need Chinese government approval before they are exported.

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