ByteDance, the owner of TikTok, would rather shut down the app in the US than sell it, according to anonymous sources.
This comes after the company exhausted legal options against a US law banning the app from app stores.
Selling TikTok would be difficult because the app's core algorithm is crucial for ByteDance's overall operations.
While TikTok is popular in the US, it represents a small portion of ByteDance's revenue and users. Shutting it down would have minimal impact on the company.
ByteDance previously denied plans to sell TikTok, but this was in response to a different scenario (selling without the algorithm).
TikTok's CEO remains confident about a legal challenge against the ban.
US Security Concerns Drive Ban
he US government banned TikTok due to concerns about user data security and potential Chinese surveillance.
The law gives ByteDance until January 19th, 2025 to sell TikTok or face a ban.
ByteDance's Financial Situation
ByteDance's financials are not public, but sources say most revenue comes from China, with TikTok contributing around 25% in 2023.
ByteDance's overall revenue grew significantly in 2023, reaching nearly $120 billion.
TikTok's US user base is also relatively small compared to ByteDance's global audience.
This comes after the company exhausted legal options against a US law banning the app from app stores.
Selling TikTok would be difficult because the app's core algorithm is crucial for ByteDance's overall operations.
While TikTok is popular in the US, it represents a small portion of ByteDance's revenue and users. Shutting it down would have minimal impact on the company.
ByteDance previously denied plans to sell TikTok, but this was in response to a different scenario (selling without the algorithm).
TikTok's CEO remains confident about a legal challenge against the ban.
US Security Concerns Drive Ban
he US government banned TikTok due to concerns about user data security and potential Chinese surveillance.
The law gives ByteDance until January 19th, 2025 to sell TikTok or face a ban.
ByteDance's Financial Situation
ByteDance's financials are not public, but sources say most revenue comes from China, with TikTok contributing around 25% in 2023.
ByteDance's overall revenue grew significantly in 2023, reaching nearly $120 billion.
TikTok's US user base is also relatively small compared to ByteDance's global audience.