TikTok deal to sell US business could be announced as soon as today: Reports

  • by Staff@ TSD Network
  • September 1, 2020

Speculations on the sale of TikTok’s US operations may soon come to an end. As per reports, Chinese ByteDance-owned short video-sharing platform TikTok has chosen a bidder for its U.S., New Zealand, and Australian businesses. TikTok could announce the deal as soon as today itself.

The report from CNBC suggests Microsoft in partnership with Walmart, and Oracle is the top contender to buy TikTok. Meanwhile, the sale price is expected to be in the range of $20 billion – $30 billion.

But the deal could be slowed or derailed as the Chinese government updated its technology export list on Friday to include artificial intelligence technology used by TikTok. Earlier this, Bytedance already make it clear that it would need a license from the Chinese government before it can sell to a U.S. company.

Notably, China’s Ministry of Commerce and the Ministry of Science and Technology releases the list. This list added 23 items to export restrictions, and also revised the technical parameters of 21 items.

Why Walmart Shows Interest In TikTok Deal?

Walmart emerged as a surprise bidder. As per the company, the social media app would augment its e-commerce efforts. Walmart could be the bigged stakeholder in the deal. But the U.S. government wanted a tech company to lead the deal, according to sources.

Interestingly, TikTok’s CEO Kevin Mayer has already resigned last week. In his absence, TikTok executive Vanessa Pappas will be the interim boss.

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Staff@ TSD Network

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