Isnt that pretty damn suspicious? We’d rather just shut down than sell it as a going concern?
It’s obviously pretty valuable. How would we feel if say, China decided Microsoft/Google/AWS/Oracle had to sell to a Chinese company on the grounds of national security? They’d rather pull out too, despite China being a very large market too. Or what happens if other countries starts demanding the same?
Pretty sure ByteDance would rather keep their IP.
And if they sell, do they keep the rights for the other countries or it belongs to the US now?
They don’t let our stuff operate there. It’s only fair we treat them the same.
To me this is the biggest thing.
I’m under no illusions that the US is pursuing this for altruistic reasons, but fundamentally I do think it’s ridiculous that China bans western competition, yet the west rolls over and allows Chinese companies, or even the Chinese government, to buy out western companies, to enter the market and compete, and to compete using massive state subsidies or slave labour that kill domestic competition.
IMO it’s entirely fair for a country to say “you’re banning our companies? Ok then we’re banning yours.”
And I do also agree that China uses the data they collect for nefarious purposes. Be it training language models so they can better track and shut down dissenting voices at home, or spreading misinformation amongst other nations. I just wish the US would also clamp down on the privacy policies of domestic companies too.
How would we feel if say, China decided Microsoft/Google/AWS/Oracle had to sell to a Chinese company on the grounds of national security?
But no one is saying that ByteDance has to sell TikTok to a US company. Just divest it to an owner that is not beholden to the Chinese government and obligated to share any and all data upon request. Compared to the legal requirements that China puts on US companies operating in China, this is a pretty tame ask.
Yeah but the 5 Eyes and their friends are everywhere outside of the CCPs borders. So if they really don’t want to let the US have that algorithm, and probe the interfaces the CCP propaganda arm used to access the TikTok backend, there’s few places overall that have a reason to buy it, and can also afford it.
AWS already had to effectively do this. AWS only exists in two regions in China because they licensed much of the AWS software to be run by a pair of Chinese-government affiliated ISPs inside China (that is, Amazon doesn’t run AWS in either of its China zones — it’s run by a pair of Chinese companies who license AWS’s software).
This is why the China AWS regions are often quite far behind in terms of functionality from every other region (they either haven’t licensed all the functionality, they don’t keep up-to-date at the same cadence as Amazon, or Amazon is holding certain functions back), and why you can’t really access them from the standard AWS console.
So in effect, Amazon did have to give their software to Chinese-government affiliated companies in order to continue operating in China.
Except that is what China already does. Cloud providers with regions in China have to utilize a local partner company which gives access to the whole tech stack. It’s a reason that AWS China regions were always so far behind in service offerings to the rest of the AWS regions.
I think it’s a gamble… Too many people love tiktok (don’t ask me why) that they know the pressure on the gov would be terrible
More importantly, a forced sale (with a time limit to boot) is bound to fetch them the worst deal ever
I think they are calling their bluff
And before anyone comes at me with some stupid fallacy, no I don’t love the Chinese government or I’m trying to imply tiktok has nothing to hide and it’s the source of rainbows and warm sweet buns
They love tiktok because the algorithm works extremely well.
No other social media actually targets you as well as tiktok does. Instagram is constantly trying to shove you in the direction of whatever makes them the most money even if it’s entirely unrelated to your interests. YouTube is clueless to what you like with shorts. Tiktok surfaces new content that is basically unseen anywhere else (thousands of views not millions) that perfectly fits your interests.
Could other platforms do the same thing? Probably: but they’re too short sighted to do so.
I don’t think “shortsightedness” is the difference. The sheer amount of privileges TikTok requires on your device speaks to Cambridge analytica levels of personal profile knowledge.
Couple that with the endless scroll, hot people doing thirst traps, flashy idiocy, flashing icons hugging the full screen image, no discernible window with controls tempting you to back out or log off…it’s the “perfect” tech product. One that’s endlessly addictive. That’s what makes tech good. They know you better than you know yourself, and they will shamelessly serve you exactly what you didn’t realize you wanted to see.
Good to know … I have honestly kept away from most social media after a stint in Reddit that pushed me here
I have never had a Facebook, insta, Google whatever social, tiktok, etc so I don’t really get what people like there
YouTube was going down that route but whole terriost pipeline deal durning the hight of the war on terror put big breaks on it. TikTok doesn’t. Its actually wild how vastly different friends of mines tiktoks could be. Just all the most extreme version of anything their into. Had them all asking completely nuts things thinking it was everywhere. Like no sis I don’t about the witches that are supposed to be doing something tonight, that was just an old qanon thread with new dates, wth is boy love anime?
The article talks about why they’d prefer to shut down if you take their word it. Essentially the US is such a tiny portion of ByteDances revenue, it would be more optimal to shut down then to risk the sale of their algorithm. Assuming they’re using relatively similar algorithms on Douyin, and they don’t want whoever they sell to to turn around and sell to their Chinese competition, which is where the real money is being made for ByteDance.
Bullshit, they’re bluffing at best.
Average revenue per user is a pretty common industry benchmark, and the US absolutely slaughters the rest of the world. We’re the fat, dumb, brainwashed cows the advertisers can’t get enough of.
Is that really justified, or an example of selection bias?
Does it matter to a shareholder?
Not really. It depends on what it is. There are entire games and items that aren’t available in the US, but make a killing in Asia.
Like, here’s Genshin Impact numbers from 2023.
On that game, the US comes in at 7th, is less than half of the top country (Japan) and is notably behind Switzerland.
For Tik Tok specifically, we can look at their annual reports.
Let’s look at average annual users per region. 682M in Asia Pacific, which does not include China. 192M in North America.
China’s numbers are 750M daily.
I don’t think most of their money comes from the US.
Makes the children screaming we are taking their toy away seem even more oblivious when the billion dollar corporation gives absolutely zero shits about losing the business.
No?
The way you are speaking it’s as if they mean to close down the whole thing. There is a whole rest of the world for them to operate in. Sure losing the US market would be a huge detriment, but the owners still might rather have it everywhere else, than keep it running in the US in someone else’s hands.
They aren’t being forced to sell their operations in the entire world, just the US. So, doesn’t it make better financial sense, if all legal options to keep control fail, that they sell their US operation to another company, and at least get billions of dollars before exit, than to just lose the market and get not billions?
But what if the US version becomes a different version than the rest of the world’s? What if the rest of the world wants that version and demands it?
A thing never mentioned in these debates is that noone in the world is buying tiktok without buying the underlying algorithm, the same algorithm the app runs on worldwide, the algorithm is the special sauce. They are not going to sell the basis for their app just for a single payday in the US market, which after buying it, they could rebrand and then once successful in the US, compete in the global market against tiktok but with the income of the most lucrative app market in the world behind them. It’s an extremely stupid business move.
