{"id":62801,"date":"2019-12-02T01:31:09","date_gmt":"2019-12-02T01:31:09","guid":{"rendered":"https:\/\/www.thefastfashion.com\/?p=62801"},"modified":"2019-12-02T01:31:09","modified_gmt":"2019-12-02T01:31:09","slug":"tiktok-owner-bytedance-moves-distance-app-china-amid-us-probe","status":"publish","type":"post","link":"https:\/\/www.thefastfashion.com\/?p=62801","title":{"rendered":"TikTok owner ByteDance moves to distance app from China amid US probe"},"content":{"rendered":"<p>ByteDance has stepped up efforts to separate its social media app TikTok from much of its Chinese operations, amid a US national security panel\u2019s inquiry into the safety of the personal data it handles, people familiar with the matter said.<\/p>\n<p>The Chinese technology company is seeking to provide assurances to the Committee on Foreign Investment in the United States (CFIUS) that personal data held by TikTok, which is widely popular with US teenagers, is stored securely in the United States and will not be compromised by Chinese authorities, the sources said.<\/p>\n<div class=\"e3lan e3lan-in-post1\"><\/div>\n<div class=\"e3lan e3lan-in-post2\"><p style=\"text-align: left;\"><strong><em>Adv<\/em>.<\/strong><\/p>\r\n\r\n<ul>\r\n \t<li style=\"text-align: left;\"><a href=\"https:\/\/www.bagfactory.com.hk\/216\" target=\"_blank\" rel=\"noopener\"><span style=\"color: #ff0000;\"><strong>Sun Winning Ind Co<\/strong><\/span><\/a>: Manufacture of Canvas Bag, Recycle Bad in China<\/li>\r\n \t<li><span style=\"color: #ff0000;\"><strong><a style=\"color: #ff0000;\" href=\"https:\/\/www.theunitravel.com\/\" target=\"_blank\" rel=\"noopener\">TheUniTravel.com<\/a><\/strong><\/span> : Find the latest\u00a0<em>travel<\/em>\u00a0and tourism\u00a0<em>news<\/em>\u00a0from around the world. Stay informed with\u00a0<em>travel news<\/em>\u00a0and\u00a0<em>updates<\/em><\/li>\r\n \t\r\n<\/ul>\r\n\r\n<\/div>\n<p>CFIUS, which reviews deals by foreign acquirers for potential national security risks, is looking into ByteDance\u2019s $1 billion acquisition of social media app Musical.ly in 2017, which laid the foundations for TikTok\u2019s rapid growth, Reuters reported earlier this month.<\/p>\n<p>ByteDance\u2019s response represents a key test of corporate China\u2019s ability to operate businesses in the United States that handle personal data, as President Donald Trump\u2019s trade war with China fans suspicion between the world\u2019s two largest economies.<\/p>\n<p>ByteDance is hoping to avoid the fate of Chinese gaming company Beijing Kunlun Tech, which said in May it would agree to a CFIUS request to divest popular gay dating app Grindr following concerns about the security of personal data. It is also exploring exiting its investment in Grindr through an initial public offering.<\/p>\n<p>ByteDance started to separate TikTok operationally before CFIUS approached it in October, because it wanted some of its staff to focus on TikTok, according to the sources.<\/p>\n<p>It completed the separation of TikTok\u2019s product and business development, marketing and legal teams from those of its Chinese social media app Douyin in the third quarter of this year, according to the sources, who requested anonymity to discuss the company\u2019s internal arrangements.<\/p>\n<p>During the summer, it also hired an external consultant to carry out audits on the integrity of the personal data it stores, the sources added. The company has said US user data is stored entirely in the United States, with a backup in Singapore. It has also said that the Chinese government does not have any jurisdiction over TikTok content.<\/p>\n\n<p>Following the approach by CFIUS, TikTok is making a new push to set up a team in Mountain View, California, that will oversee data management, according to the sources. This team will determine whether Chinese-based engineers should have access to TikTok\u2019s database, and monitor their activity, the sources said.<\/p>\n<p>TikTok is also hiring more US engineers to reduce its reliance on staff in China, according to the sources.<\/p>\n<p>It is not clear how effective these changes will be in appeasing CFIUS. A spokeswoman for the Treasury Department, which chairs CFIUS, said it does not comment on information relating to specific CFIUS cases.<\/p>\n<p>\u201cShifting a company\u2019s operations away from China, geographically and technically, can give CFIUS more comfort that the company is really independent of its Chinese owner and the Chinese government,\u201d said Nevena Simidjiyska, a partner at law firm Fox Rothschild who advises companies on CFIUS reviews and is not involved in the TikTok case.<\/p>\n\n<div style=\"font-size: 0px; height: 0px; line-height: 0px; margin: 0; padding: 0; clear: both;\"><\/div>","protected":false},"excerpt":{"rendered":"<p>ByteDance has stepped up efforts to separate its social media app TikTok from much of its Chinese operations, amid a US national security panel\u2019s inquiry into the safety of the personal data it handles, people familiar with the matter said. The Chinese technology company is seeking to provide assurances to the Committee on Foreign Investment &hellip;<\/p>\n","protected":false},"author":1,"featured_media":62802,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[38],"tags":[4003],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v19.7.1 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>TikTok owner ByteDance moves to distance app from China amid US probe - TheFastFashion.com<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.thefastfashion.com\/?p=62801\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"TikTok owner ByteDance moves to distance app from China amid US probe - TheFastFashion.com\" \/>\n<meta property=\"og:description\" content=\"ByteDance has stepped up efforts to separate its social media app TikTok from much of its Chinese operations, amid a US national security panel\u2019s inquiry into the safety of the personal data it handles, people familiar with the matter said. 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