The deadline for the approval of the deal on TikTok may be shifted from November 12

0
168

The deadline for the approval of the deal on TikTok may be shifted from November 12

The categoricalness of Donald Trump’s statements about the ban on TikTok in the United States was offset by a court decision, which gave the parties the opportunity to negotiate until November 12. By that time, the US presidential elections should have already taken place, and therefore the TikTok problem for the current leader of the nation is now receding into the background.

trump_01
trump_01

As Bloomberg notes in the next information summary on this topic, the Chinese company ByteDance is now interacting with the representatives of the American side involved in the negotiation process of the deal, and so far a number of key questions remain unanswered. Information security, the share of Chinese capital in TikTok Global, and the possibility of donating $ 5 billion to the education support fund – these are the issues that still cause controversy among representatives of the Chinese and American sides.

Informed sources explain that the negotiators assess the situation soberly, and therefore cannot yet guarantee the conclusion of the deal by November 12. Given that the American president has more important concerns, ByteDance and its American counterparties are counting on the postponement of this milestone to a later date.

Recall that the preliminary terms of the transaction mentioned the transfer of 12.5% ​​of TikTok Global shares to Oracle, 7.5% was claimed by the American retail chain Walmart, and one of five seats on the company’s board of directors was allocated to it. The Americans and the Chinese interpreted the fate of the remaining 80% of the shares in different ways. ByteDance believed that it would retain operational control over the company, the Americans preferred to take into account the shares of investment companies from the United States in the capital of ByteDance itself. The latter is not yet ready to transfer the key recommendation algorithm to Oracle, since the Chinese authorities insist on this. Negotiations will not progress quickly, so the deal may still be pending by mid-November. The parties are counting on a delay.

Also Read:   Google adds to the YouTube mobile app the ability to choose which video quality to launch by default