Tiktok (Photo: ShutterStock)
The Biden administration is putting pressure on ByteDance, TikTok's parent company, to sell the successful video platform.
This, days before an appearance by the CEO of TikTok before Congress. The new demand, which TikTok confirmed to Reuters, is a significant blow to a company that has been in talks with the administration for two years, with the Committee on Foreign Investment in the United States regarding the future of its operations there. These talks led to the income of A third party to the company's information retention procedures, in the form of Oracle, as Tiktok executives told us last week in a press briefing.
Now, according to Tiktok, a new demand has arisen for Beatdance to dispose of its holdings in Tiktok altogether.
If she does not do so, she may face being banned from operating in the United States.
Both the House of Representatives and the Senate proposed bills that would make it easier for government officials to limit the activities of Tiktok and other services considered a risk to the national security of the United States (in the administration, Tiktok is believed to be used as a means of espionage for the Chinese government).
TikTok did not respond to the news agency's request, but the company previously announced that breaking away from its parent company would not address concerns about information security.
At the same time, a Bloomberg report this week claims that the possibility of saying goodbye to Bytedance is indeed being considered by Tiktok executives.
This will of course not be the first time that activity restrictions are imposed on Chinese companies in the United States, due to the fear that their products are being used for espionage by the Chinese.
The Trump administration also tried to pressure Tiktok to be sold and, as we know, completely banned the activities of Huawei, which has ties to the Chinese government, within the United States and prohibited American companies from doing business with it.