The leadership of the short video platform TikTok is weighing up legal options before considering any form of divestment of assets that belong to Chinese company ByteDance, if US enacts law against the service.
ByteDance views the sale of the popular app as an extreme resort, according to Bloomberg, citing anonymous sources. Any sale of the platform would also require approval from the Chinese government, which last year indicated it would take strong action against forced divestment of assets. The company’s plans are subject to change, and will depend on how future events pan out.
The day before, TikTok’s CEO Shou Zi Chew headed to Capitol Hill to start negotiations with American lawmakers. Two House committees have tabled a bill on the forced sale of TikTok’s assets last week – a vote on the document is due today. The platform’s management will also try to convey their position to Senate members – the lawmakers of the upper house did not participate in drafting the bill.
A TikTok representative declined to comment officially on the company’s plans, but pointed out that the bill implies a “pre-determined outcome – a total ban on TikTok in the United States”. In March last year, the platform considered the possibility of separating from ByteDance to avoid a US blockade.
This post was last modified on 03/13/2024