[ad_1]
In particular, there is no agreement until the Chinese side signs the documents, and that is not certain.
In August, the president of the United States ordered a ban on the application of Tiktok in the United States.
For security reasons, the reason rang. For fear that the Chinese owner of the application, Bytedance, could reveal information collected to the ruling Chinese Communist Party.
The controversy over the application Tensions between the countries escalated at a time when disputes were already taking place over trade, the outbreak of coronary heart disease, the way China governs Hong Kong and how the authorities had forced more than a million Uighur Muslims into the called Xinjiang training camps.
Bytedance denies that the company shares information with the Chinese state.
Under the agreement that Trump has now approved, the new Tiktok company will be based in the United States. Oracle will store the application data and have responsibility for security. Walmart participates in the offer of its sales channels.
In light of that positive development, it was said in a statement from the US Department of Commerce, the deadline has been extended to September 27 to download the Tiktok app in the US. Otherwise, it would have been stopped for the weekend past.
The plans are great: it is expected to employ 25,000 people. The new Tiktok Global has promised to pay taxes in the United States of five billion dollars (44 billion crowns).
However, Chinese interests are not removed from the company, as Donald Trump previously said it was the goal of the campaign. And when he pointed out this weekend that the new Tiktok company “will be completely controlled by Oracle and Walmart,” the two companies objected, claiming that together they enter Tiktok Global with 20 percent.
During the initial phase Eighty percent will be controlled by Chinese interests, although changes are possible later, according to two sources to the New York Times.
The CEO of the Chinese-owned company Bytedance will also be on the board of the new company, according to another source speaking on behalf of the newspaper.
Therefore, the former Chinese owner continues to control the new Tiktok company. Everything looks more like a joint venture, describes the BBC.
The estimated 25,000 jobs and tax revenue are believed to have been enough patches on the wounds for Donald Trump to agree to the deal.
In another case involving Chinese apps, the US president suffered a setback last weekend. Just hours before a ban against China’s comprehensive app Wechat took effect, a California court decided to temporarily block the ban with reference to the Freedom of Expression Act.
Read more:
Trump blesses Oracle’s Tiktok deal
This is how the successful Tiktok app is controlled
