Last updated on December 8th, 2022 at 02:25 pm
China is ready to stick in the wheels of the deal with the American business TikTok
For a long time, the promises of the Chinese authorities to give an adequate response to the American sanctions against Huawei remained only words, but the actively discussed deal to separate the American business of TikTok could give China an opportunity to demonstrate revanchist sentiments. Now, to sell TikTok assets in the United States, you will need to obtain permission from the Chinese authorities.
The developer of the popular TikTok service, the Chinese company ByteDance, got into an awkward situation. On the one hand, the American authorities are urging it to either cease operations in the United States, Canada, Australia, and New Zealand or sell this part of the business to a company or consortium that is trusted by the American government. The deal is estimated at $ 20 billion or $ 30 billion, with Oracle, Walmart, and Microsoft as potential buyers.
As reported in Saturday editions of The Wall Street Journal and The New York Times referring to the Chinese state media, Chinese authorities have updated export control regulations in such a way that the sale of technology assets such as TikTok foreign investors can now demand from ByteDance obligatory coordination with the competent authorities of China. Such a procedure could delay negotiations with potential buyers of the American TikTok business. The American authorities have also set tight deadlines for the implementation of the deal, so the situation may develop in such a way that TikTok will have to leave the American market.
