TikTok faces a U.S. divestment: what does the future hold for you?
April 24th.
The news that the United States will forcibly divest TikTok, a short video social platform owned by ByteDance, has attracted widespread attention.
This decision not only put ByteDance in an unprecedented predicament, but also made hundreds of millions of TikTok users around the world feel sorry.
Against this backdrop, we can't help but ask: where does TikTok go from here?
Let's take a look back at how this happened.
Since TikTok emerged in the U.S. market, it has quickly become one of the most popular short-form video social platforms in the world with its unique creativity, rich content, and wide user base.
However, as it grew in popularity around the world, the U.S. government began to question its data security and privacy protections.
After a series of investigations and scrutiny, the U.S. government finally decided to forcibly divest TikTok in order to safeguard national security and user privacy.
What is intriguing is that this proposal, which has already been finally approved by the US Senate, is irretrievable when it comes to the implementation stage.
The U.S. Senate passed a new bill to strip TikTok of bytes, and once the bill reaches Biden's presidential desk, he will sign it into law.
The new bill requires ByteDance to complete the divestiture in no more than 270 days and gives the president the power to extend a 90-day extension, extending the maximum period for ByteDance to sell TikTok to about a year.
For this strong buy and sell trade.
TikTok responded: "It is unfortunate that the U.S. House of Representatives has once again forcibly pushed a bill against TikTok under the guise of an important act of foreign and humanitarian assistance." The move would trample on the freedom of speech of 170 million Americans, severely affect 7 million businesses, and shut down TikTok, a platform that contributes $24 billion a year to the U.S. economy. ”
For ByteDance, this decision is undoubtedly a huge blow.
TikTok, as one of its core businesses, has brought huge profits and extensive influence to ByteDance.
Now, with TikTok's divestment in the U.S. market, ByteDance will face huge economic losses and market pressure.
In addition, this incident may also have a profound impact on ByteDance's global strategic layout, making it face more challenges and uncertainties in the international market.
However, for TikTok, this event does not necessarily mean the end of the world.
TikTok still has a large user base and a wide market presence around the world.
Even if the U.S. market is struggling, TikTok can continue to grow in other countries and regions.
Secondly, ByteDance can seek to work with partners in other countries and regions to address this challenge, and inject new vitality into TikTok's future development by introducing strategic investors and expanding new businesses.
Of course, no matter where TikTok's business goes, it is indeed a shame for the American business community to buy and sell this one thing about TikTok in the United States.
This may not be a good thing for all Chinese companies, even Chinese companies.
What do you think about what happened to TikTok in the United States?