Would You like a feature Interview?
All Interviews are 100% FREE of Charge
Shortly after the passage of legislation that could potentially ban TikTok in the United States, the platform’s Beijing-based parent company ByteDance publicly said it had no plans to sell.
The law, signed by President Biden on Wednesday, gives ByteDance nine months to sell TikTok to a U.S. buyer, with the possibility of a three-month extension if the sale is pending. . If ByteDance does not comply, TikTok could be removed from app stores by January 19, 2025.
ByteDance said Thursday that if legal routes to fight the new law fail, it will shut down TikTok completely in the United States and remove the social media platform from its app store rather than sell it.
“Reports in foreign media that ByteDance is considering selling TikTok are not true.” ByteDance published in the statement to headband, a news aggregation app owned by the company.The post refutes Report with information It states that the company is considering sale options, and ByteDance even attached a screenshot of The Information’s article in its rebuttal.
TikTok CEO Shou Tze Chu. Credit: Anna Moneymaker/Getty Images
“ByteDance has no plans to sell TikTok,” the statement continued.
Related: TikTok ban bill signed — Here’s how long ByteDance is on sale and why TikTok is preparing for a legal battle
Four people who spoke Reuters He said Friday that TikTok’s algorithm is the foundation of ByteDance’s business and ByteDance has no intention of selling its “secret sauce” to competitors.
Disentangling the algorithm from TikTok’s U.S. assets before a potential sale would be extremely difficult and unlikely, the people said.
ByteDance does not release details about its overall financial performance, nor does it disclose the financial status of its divisions such as TikTok, a person close to the company said. Reuters ByteDance’s annual revenue increased from $80 billion in 2022 to $120 billion last year.
The U.S. contributed a quarter of TikTok’s overall revenue in 2023, but U.S. TikTokers made up just 5% of ByteDance’s daily active users worldwide, the source said.
These insiders insist that shutting down TikTok in the U.S. won’t have a noticeable impact on ByteDance’s business.
Related: Kevin O’Leary wants to buy TikTok, but says it’s worth far less than last year’s valuation
Why the TikTok ban bill was passed national security concernsTikTok has denied for a long time.
TikTok executives are first looking to the U.S. legal system to avoid a possible ban. call the law “It’s unconstitutional.”
Response to TikTok ban bill
“The facts and the Constitution are on our side, and we look forward to winning again,” TikTok CEO Hsu Chu said on TikTok on Thursday.
“There are also 7 million business owners in our community who make a living from TikTok,” he added.