Is TikTok Preparing Itself For Sale? Reuters Thinks So

In one of the last times that I talked about TikTok, I mentioned this:

A Reuters report that was posted late yesterday has blown my mind. In short, ByteDance who’s back is against the way because of Congress all but banning TikTok if ByteDance doesn’t sell it, actually prefers that that the app be banned in the US if legal options fail 

The reason being is that TikTok’s Chinese corporate masters ByteDance doesn’t want anyone to get the algorithm that runs TikTok. Here’s my thoughts on that:

Assuming that this is true, I have to wonder what do those algorithms do? Every social network except Mastodon has them. But they’re usually to present you with stuff that you’re interested in. Or try to target advertising towards you. The cynic in me says that they do a lot more than that, and ByteDance doesn’t want anyone to find those details out. That also suggests to me that TikTok and ByteDance fighting to keep the app alive in the USA is not about users or free speech or anything like that. Which makes this ban the right decision as clearly ByteDance has something to hide that likely is counter to their core agreements.

Fast forward to today and according to Reuters, that might be changing:

TikTok is working on a clone of its recommendation algorithm for its 170 million U.S. users that may result in a version that operates independently of its Chinese parent and be more palatable to American lawmakers who want to ban it, according to sources with direct knowledge of the efforts.

The work on splitting the source code ordered by TikTok’s Chinese parent ByteDance late last year predated a bill to force a sale of TikTok’s U.S. operations that began gaining steam in Congress this year. The bill was signed into law in April.

The sources, who were granted anonymity because they are not authorized to speak publicly about the short-form video sharing app, said that once the code is split, it could lay the groundwork for a divestiture of the U.S. assets, although there are no current plans to do so.

The company has previously said it had no plans to sell the U.S. assets and such a move would be impossible.

TikTok initially declined to comment. After publication of this story, TikTok in a posting on X said “The Reuters story published today is misleading and factually inaccurate,” without specifying what was inaccurate.

That’s interesting. TikTok and ByteDance wouldn’t be doing this for giggles. And I can see them wanting to keep this on the down low as it undercuts one of their main arguments about the algorithm. All of this assumes that this is true. Which you have to at least consider that this story is at least plausible as I really cannot see any scenario where ByteDance simply allows TikTok to be banned in the US. Which in turn would likely lead to bans in other countries.Thus they have to have a plan B of some sort. Regardless, it’s not going to take long to find out if this is true or not.

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