ByteDance's Preference: Shut Down Over Sale of TikTok
Apr/29/2024
Reuters reports that ByteDance, the Chinese corporation behind TikTok, would prefer to shut down its U.S. operations rather than sell the app. This development follows President Joe Biden's intent to sign a bill that would force ByteDance to either sell TikTok or face a ban. The legislation is aimed at mitigating risks associated with misinformation and surveillance, as highlighted by U.S. lawmakers, and sets the divestiture deadline to January 19, 2025, just days before the end of Biden’s term. Despite TikTok CEO Shou Zi Chew's commitment to "pursue all remedies available" and challenge the bill in court, citing constitutional grounds, most U.S. observers believe that ByteDance would rather close TikTok in the U.S. than comply with a forced sale. They point out that TikTok's U.S. operations account for only a quarter of its global revenue and a mere 5% of ByteDance’s daily active users, making the forced sale both unattractive and logistically complex. This infographic shows the world's most valuable brands in 2024 with a table highlighting global markets and institutions that banned TikTok partially or entirely in 2023.
