While there might be a change of leadership happening in the US, that switch won’t happen until January and, unfortunately for TikTok, it doesn’t have that long to wait.
Wait for what? To sell off a stake of its business to remain active in the US.
The battle to have TikTok banned in the US began in August when outgoing president, Donald Trump, argued that private data of US citizens could be siphoned off by China.
Despite TikTok assuring Trump and his administration that it would never do that, the push to ban TikTok persisted.
In September, there was a light at the end of the tunnel as a deal was forged with Oracle and Walmart to buy a stake in TikTok but that deal has stagnated.
The reason the deal hasn’t moved anywhere is because, as Bloomberg reports, the Committee on Foreign Investment in the US (CFIUS) a panel led by the US Treasury hasn’t approved the deal.
The deal comes after the panel received a revised submission relating to the sale. Because of this submission, the Treasury has decided to extend the deadline of the sale to next week, 4th December.
It is unclear what this revised submission contains and an extension of this nature isn’t all that strange given how huge this matter is.
There’s also the matter of President-elect Joe Biden. As of time of writing it isn’t clear if banning TikTok is something Trump wants or something America as a whole wants.
We’d tend to believe it’s the latter as Biden has come out this week to declare that he hopes to reverse Trump’s “America First” rhetoric and work more closely with America’s allies.
Whether TikTok is an ally remains to be seen but for now, TikTok has until 4th December to sell a stake in its business.