ByteDance, TikTok’s Chinese parent, would rather shut down the short video platform than sell, if legal action in response to US government pressure fails, Reuters reported on Friday, citing four sources. The app, with 170 million American users, pushes them a constant stream of popular videos based on proprietary algorithms that Bytedance is loath to sell, said the report, given their core role in the app’s success and company’s operations. Selling the app with its algorithms is seen as “highly unlikely” according to the sources Reuters consulted. Since 2020, China’s Export Control Law has required content-recommendation technology to go through approval before export. Beijing-based ByteDance on Thursday evening denied any intention to sell a majority stake in its US business without its algorithms after tech outlet The Information reported the news earlier. [Reuters]
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