As the threat of a ban from the United States looms over video-sharing app TikTok, reports indicate that China would rather see the company close its U.S. operations than sell them.
Three sources with “direct knowledge of the matter” said that the Chinese government believes a sale under pressure from the U.S. would make it appear weak, Reuters reported Friday.
China is willing to use its own means to delay a deal with the platform, two of the sources said. Reuters has previously reported that it would be possible for ByteDance, TikTok’s parent company, to make the sale without China’s approval by selling it without key algorithms.
ByteDance said that the Chinese government has never suggested that it would be willing to shut down the platform.
Privacy advocates and opponents of the Chinese government are concerned that the app presents a security risk to U.S. consumers. Because ByteDance is a Chinese company, it is legally required to give information to the Chinese government that would otherwise be private, should it be requested. ByteDance insisted, however, that users’ private information is not accessible by China.
As China’s relationship with the U.S. has soured amid the coronavirus pandemic, President Trump has threatened to ban TikTok from the U.S. unless it is sold to an American company. Since then, Walmart and Microsoft have become prospective buyers for the digital platform.
