China consider selling Tik-Tok to Musk to avoid ban
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Beijing may sell TikTok's US operations to Elon Musk to avoid a ban, as Biden's law seeks the divestment of the billion-dollar empire..
Tik Tok sales rumors
According to a rumour released by Bloomberg, Beijing is reportedly considering selling TikTok’s U.S. business to Elon Musk to circumvent a possible ban on American soil. The strategic move comes while the Supreme Court is considering whether to uphold a law signed by President Biden last April calling to divest the Chinese popular social media business by Jan. 19.
Role of the Chinese government
ByteDance, the mother company of Tik Tok, is not a State-owned enterprise but a private one, yet the Chinese government plays a pivotal role in the agreement: Chinese export controls require government approval for the sale of internally developed algorithms to recommend content to foreign entities.
Unclear intentions and opportunities
It’s unclear whether ByteDance is aware of the Chinese government's intentions or whether Musk and Tik Tok have already engaged in conversations with Beijing. Ultimately, an agreement with the most prominent ally in Trump’s entourage presents a fascinating opportunity to Beijing’s eyes. Not to mention, Musk’s appeal to the Chinese government. Meanwhile, Trump has urged the Supreme Court to delay its decision until he takes office to find a “political resolution”.
ByteDance: from apartment startup to global giant
Zhang Yiming, the main cofounder of ByteDance, “started in 2012 in a four-bedroom beijing apartment” quoting Forbes; now is a giant worth 225 billion dollars with more than 1 billion users worldwide.
Tik Tok sales rumors
According to a rumour released by Bloomberg, Beijing is reportedly considering selling TikTok’s U.S. business to Elon Musk to circumvent a possible ban on American soil. The strategic move comes while the Supreme Court is considering whether to uphold a law signed by President Biden last April calling to divest the Chinese popular social media business by Jan. 19.
Role of the Chinese government
ByteDance, the mother company of Tik Tok, is not a State-owned enterprise but a private one, yet the Chinese government plays a pivotal role in the agreement: Chinese export controls require government approval for the sale of internally developed algorithms to recommend content to foreign entities.
Unclear intentions and opportunities
It’s unclear whether ByteDance is aware of the Chinese government's intentions or whether Musk and Tik Tok have already engaged in conversations with Beijing. Ultimately, an agreement with the most prominent ally in Trump’s entourage presents a fascinating opportunity to Beijing’s eyes. Not to mention, Musk’s appeal to the Chinese government. Meanwhile, Trump has urged the Supreme Court to delay its decision until he takes office to find a “political resolution”.
ByteDance: from apartment startup to global giant
Zhang Yiming, the main cofounder of ByteDance, “started in 2012 in a four-bedroom beijing apartment” quoting Forbes; now is a giant worth 225 billion dollars with more than 1 billion users worldwide.