ByteDance Seems To Prefer TikTok Shutdown In The US Than Sell It

    • TikTok Ban: President Joe Biden signed into law this week a measure that could lead to a ban on TikTok in the United States if ByteDance doesn’t divest from the platform within a year.
    • First Amendment Argument: TikTok has cited the argument that banning or forcing the sale of the company would be a First Amendment violation.
    • National Security: The government’s argument in favor of taking action against TikTok has hinged on the interest of protecting national security.
    • ByteDance’s Stance: ByteDance has firmly stated that it has no plans to sell TikTok despite recent pressures from the U.S. government.
    • TikTok’s Stance: TikTok has yet to issue an official comment but has made it clear that it intends to contest the legality of the law, deeming it “unconstitutional” and signaling its readiness to challenge it in court.

    Yesterday, President Joe Biden signed a landmark national security package into law, which gives TikTok’s parent company, ByteDance, an ultimatum: sell TikTok’s US business to a local company within nine months or face a ban on the platform.

    ByteDance Refuses to Sell

    According to Reuters, ByteDance is unwilling to divest TikTok and would rather shut down the platform in the US than sell it. The company considers TikTok’s algorithms core to its operations, making a sale non-viable. ByteDance plans to appeal the ban in court and hopes to block the legislation.

    No Sale of Majority Stake

    Contrary to a report by The Information, ByteDance has denied exploring the possibility of selling a majority stake in TikTok without including its algorithm. The company clarified its stance in a press release on the Chinese media platform Toutiao.”

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