ByteDance Denies Plans to Sell TikTok in Response to US Law
TikTok’s parent company, ByteDance, is refuting claims that they plan to sell the popular video app. This comes after the US passed a law forcing ByteDance to either sell TikTok’s US operations or face a ban. “ByteDance doesn’t have any plans to sell TikTok,” the company declared on its social media platform Toutiao. This statement directly contradicts a recent report suggesting ByteDance was exploring a potential sale, minus TikTok’s core recommendation algorithm. ByteDance went a step further, labeling the report a “false rumor.”
TikTok to Fight the Law in Court
Earlier this week, TikTok announced its intention to challenge the law in court, deeming it “unconstitutional.” The law, signed by President Biden, gives ByteDance nine months to find a US buyer for TikTok or face a potential ban.
Security Concerns Drive US Legislation
The US government has expressed concerns about the Chinese government’s potential access to user data through TikTok. ByteDance has consistently denied these claims, emphasizing its commitment to data security.
ByteDance Emphasizes US Investment and Leadership
In a video posted on TikTok, CEO Shou Zi Chew reassured users that the company has significant US investment and leadership. He highlighted that American firms hold a majority stake in ByteDance and three of the company’s five board members are American.
China Warns Against Ban, But US Offers Grace Period
The Chinese government has dismissed US concerns as unfounded and warned of potential repercussions if a ban is enforced. While the law mandates a potential ban, it offers a nine-month window for a sale, with an additional three-month grace period. This means a final decision on TikTok’s fate in the US is unlikely before 2025.
Philips Babatunde