Microsoft talks with TikTok suspended, further clarifications needed from the White House
Aug 03 2020
TikTok claimed in a statement it hasn't given any U.S. user information to the Chinese government and that the company has "no higher priority than promoting a safe app experience that protects our users' privacy".
Trump said on Friday night (July 31) that he plans on using an executive order to ban the app.
Pappas said: "We're not planning on going anywhere".
Trump told reporters he planned to take action "as soon as Saturday". Even so, some ByteDance investors based in the United States may still have an opportunity to hold a minority stake in the divested company.
In a statement yesterday, a White House spokesman said: "The administration has very serious national security concerns over Tiktok".
If ByteDance has indeed made that concession, as indicated by Reuters' sources, the move will test whether Trump was bluffing. The US has been locked in tense trade disputes with China over the past few years.
The threat met concern from users of the app, who have come to love the short-form video platform.
ByteDance had received a proposal from some of its investors, including Sequoia and General Atlantic, to transfer majority ownership of TikTok to them, Reutersreported on Wednesday. However, he opposed the deal by stating that Microsoft will only act as a background player with the majority of work will be carried out by Bytedance itself.
Prior to 2019, few in the world had heard of TikTok (formerly Musical.ly) - the Beijing based app that emulates aspects of Vine.
In a separate interview on Sunday, Treasury Secretary Steven Mnuchin said the Committee on Foreign Investment in the United States, which reviews the national security implications of foreign business deals, is looking at the matter. Reuters reported past year that CFIUS had opened an investigation into TikTok.
She has said security is the app's highest priority and called for users to continue their support.