Last updated on December 8th, 2022 at 02:21 pm
Chinese May Sell TikTok to US Investors to Avoid US Ban
It became known that American investors are considering buying the TikTok platform from the Chinese company ByteDance. The US government is threatening to block the social network in the country, but if the service goes into the hands of American investors, then sanctions may be avoided. The Telegraph writes about this, citing knowledgeable sources.
The main reason for the sale of the social network to American investors is the continued pressure from the US government amid deteriorating relations between China and the United States. It is worth noting that not so long ago, the CEO of the Chinese company ByteDance said that he does not exclude the possibility of selling TikTok if it is better for the future of the platform.
As for the potential buyers of the TikTok platform, according to the source, the American investment company General Atlantic and the venture capital fund Sequoia Capital can become them. However, it is too early to speak of this deal as a fait accompli, since it is noted that the negotiations are far from being completed.
Recall that the Beijing startup ByteDance is estimated at about $ 110 billion. On the home market, the company offers users an analog of TikTok called Douyin, which was created specifically for China, taking into account all censorship restrictions.
Earlier this month, it became known that the US government may ban TikTok in the country if it is proven that it is a threat to national security. This means that in the near future, American users of the popular service may lose the ability to interact with the application. Not so long ago, TikTok and dozens of other Chinese applications were blocked in India, whose authorities motivated this decision by protecting the state’s sovereignty.
