US- China Trade War: Who will buy Tiktok?

TikTok has chosen buyers to sell their businesses in the United States. New Zealand and Australia may be the potential buyers of Tiktok. However, the name of the buyer has not been announced yet.

The announcement may come soon. This information was given by the US media, CNBC quoting the sources related to the crisis. Microsoft and Walmart are jointly in the race to purchase TikTok. Oracle has also shown interest in paying for TikTok. Apart from this, two more companies have shown interest in TikTok also.

Price is too much higher

According to a CNBC report, the price of Tiktok could be between twenty to thirty billion US dollars. However, even if the Tiktok fixes their buyer, the sale process will be delayed. This is because the Chinese government has imposed special restrictions on such agreements.

Last Friday, China updated its technology export list to seek permission to export artificial intelligence technology.
US-China Trade War: Who will buy Tiktok?

ByteDance, the maker of TikTok, said it would need a Chinese government license to sell TikTok to a US company. Last week, Walmart showed curiosity in buying TikTok in a hurry.

They say social networking apps like TikTok will be useful for their e-commerce efforts. Walmart originally wanted to acquire a majority stake of TikTok in a consortium with Google's parent company Alphabet and Softbank. Later Alphabet and Softbank moved away from the decision.

Then Walmart formed an alliance with Microsoft. Walmart will now have a majority stake in the deal with TikTok. The Trump administration has threatened to ban the popular app if it is not sold to a US company by 20th September. They are hoping that a US company will make a deal to buy TikTok.

Kevin Mayer, the company's chief executive, resigned last week after the sales deal was finalized. He worked for the company for only a few months. Vanessa Pappas, the executive of the company, is currently in charge of Tiktok. He told CNBC, she saw Walmart's goal match with TikTok.

However, no official statement has been made by Microsoft, Walmart or TikTok regarding buyer selection for the app and no one has commented. According to a report in the Financial Times, Oracle, a US technology company, appeared on the scene in mid-August as a probable buyer of TikTok. Twitter also showed interest in bartering TikTok.

However, they do not have financial consistency. A source close to Oracle told the Financial Times that Oracle had held preliminary talks with China's ByteDance Inc., the owner of Tiktok. The company also confessed it would work with multiple investors who have shares in ByteDance.

Scapegoat of trade war

Last month, US President Donald Trump instructed ByteDance to bring the resources it had in support of TikTok to the United States. He set a time limit of 90 days for this.

Trump claims the data collection process of Tiktok is a threat to its national security. Microsoft Corporation in the United States has said in the past that it is continuing its efforts to buy the popular short video making app TikTok from ByteDance.

They expect to complete the agreement by 15th September. Though Bargaining is going on to buy the app still now. Microsoft wishes to buy TikTok at very low cost. The South China Morning Post says that the price that Microsoft is pushing to buy TikTok will not make it possible for them to purchase.

According to an executive order signed by Trump on 6th August, the information that TikTok collects may pass to the Chinese Communist Party, which could monitor the personal and institutional information of U.S. citizens.
US-China Trade War: Who will buy Tiktok?

The Chinese app that is verily a threat to national security and the economy. "Tiktok is a concern for us," Trump asserted. Earlier, US security officials feared that China could use the app to steal personal information from US citizens.

Tiktok authorities have been explaining such suspicions are baseless from the beginning. They say the app is not regulated by the Chinese government and they do not exchange information with the Chinese government.

TikTok's parent company, ByteDance, is headquartered in Beijing and has spread worldwide since it became popular in China. As its popularity grew, so did its criticism. Tiktok has been the most criticized in the United States. 

Several senators in the country called for an investigation. On June 30, India shut down 59 Chinese apps,including Tiktok and WeChat.

New Delhi has decided to shut down these apps, accusing them of being harmful to the country; However, Delhi made the decision on 15 th June after 20 Indian troops were killed in a border clash with China in Ladakh.

TikTok opened an office in Silicon Valley, Mountain View, California in October last year. ByteDance, the creator of TikTok, has been accused of poaching Facebook employees by putting up with offices near Facebook. In the meantime, several Facebook employees have also joined in Tiktok.
US-China Trade War: Who will buy Tiktok?

According to the BBC, Kevin Meyer, the chief executive of the Chinese-owned company, left Tiktok before the US embargo began. He resigned in two months after taking office due to US sanctions.

Meyer served as top executive of Disney's streaming service before joining as CEO of TikTok in last June. In a letter to staff, the mayor said, "Recently, the political situation has changed dramatically .

In such a situation, I have worked on what kind of changes need to be made in the corporate structure and how it will be reflected in my work.

In a situation where we are striving for an immediate solution, I am sorry to announce that I have decided to leave the company. "

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