According to those close to ByteDance, the algorithms TikTok uses to run its business are seen to be essential to the company’s entire operations, making the sale of the app doubtful.
According to them, the parent company would prefer to have the app closed down in the United States in the worst case situation rather than sell it to a possible American buyer since TikTok only contributes a tiny portion of ByteDance’s daily active users and overall income.
According to the unnamed insiders, who were not authorized to talk to the media, a shutdown would not have a significant effect on ByteDance’s operations and the firm would not have to give over its basic algorithm.
Responding to an article by The Information stating that ByteDance is investigating options for selling TikTok’s U.S. business without the algorithm that suggests videos to TikTok users, the company said late on Thursday in a statement published on Toutiao, a media platform it owns, that it had no plans to sell the app.
If the Chinese firm uses all of its legal resources to oppose legislation that would remove TikTok from U.S. app stores, its parent business, ByteDance, would rather shut down its loss-making app than sell it, according to four individuals.
According to those close to ByteDance, the algorithms TikTok uses to run its business are seen to be essential to the company’s entire operations, making the sale of the app doubtful.
According to them, the parent company would prefer to have the app closed down in the United States in the worst case situation rather than sell it to a possible American buyer since TikTok only contributes a tiny portion of ByteDance’s daily active users and overall income.
According to the unnamed insiders, who were not authorized to talk to the media, a shutdown would not have a significant effect on ByteDance’s operations and the firm would not have to give over its basic algorithm.
Responding to an article by The Information stating that ByteDance is investigating options for selling TikTok’s U.S. business without the algorithm that suggests videos to TikTok users, the company said late on Thursday in a statement published on Toutiao, a media platform it owns, that it had no plans to sell the app.