Has ByteDance found the ultimate parade to escape a TikTok ban in the United States? To eliminate any suspicion of espionage on behalf of Beijing, the leaders of the Chinese application are indeed considering separating it from its parent company ByteDance, reports Bloomberg. This split could materialize by a sale or an IPO, but this option is only considered as a last resort, and could only be done subject to the approval of the Chinese government, assures the economic agency.
For several years, first under the presidency of Donald Trump, then under that of Joe Biden, TikTok has been in the crosshairs of American authorities who accuse it of compromising national security through the massive collection of user data. Americans and interference campaigns aimed at manipulating public opinion. The leaders of the short video application, which has more than 100 million users in the United States, hoped for a lull with the arrival in power of the former Democratic vice-president, but nothing came of it.
The American branch of TikTok valued between 40 and 50 billion dollars
The situation has even worsened in recent months, with several bills presented to Congress risking leading to the banning of TikTok on American territory. In addition, this mistrust in the country of Uncle Sam is spreading to Europe, Brussels having decided to ban the Chinese application from the devices of the European Commission. TikTok is playing big on the Old Continent, where the nugget of ByteDance claims more than 150 million active users per month.
Nevertheless, TikTok’s potential, especially at the advertising level, is stronger in the United States, where the activities of the Chinese application could be worth between 40 and 50 billion dollars, according to Bloomberg. As for ByteDance, the parent company, it is valued at 220 billion dollars, against 300 billion a few months ago. Faced with the strategic weight of TikTok in its activities, ByteDance must therefore make a difficult choice, while the Texas project of the Chinese application, which notably involves Oracle, does not seem to be enough to reassure the American authorities.
