Business

Reliance can buy Indian business of TikTok, ByteDance in conversation with Mukesh Ambani’s company

Reliance and ByteDance started negotiation in late July; India imposed ban in June, US have also banned TikTok

Tiktok is desperate to come back to India, which was the second-largest market in terms of users. TikTok’s parent company ByteDance plans to sell its Indian operation. According to media reports, ByteDance may sell short video app TikTok to Indian businessman Mukesh Ambani, owner by Reliance Industries Limited (RIL). Negotiations have begun between the two companies in late July. However, the two companies have not come to a conclusion yet. Reliance, ByteDance and TikTok have not responded to this.

India has banned China 106 app including TikTok.

After the border dispute in the Galvan Valley of Ladakh, the Indian government had banned 59 apps of Chinese companies. This included popular apps such as TikTok, WeChat, Alibaba Group’s UC Browser and UC News. After this, the government had also banned 47 Chinese apps in July. It mostly had clones of most previously banned apps. Thus, the Indian government has banned 106 apps from China. TikTok’s Indian business is valued at around $ 3 billion.

Last week, the US approved the ban on TikTok

Last week, the US also approved a ban on the Chinese app TikTok. President Donald Trump has signed a resolution in this regard. However, the US has given a chance to ByteDance till September 15 to sell TikTok’s US business to an American company. If ByteDance is unable to make a deal by September 15, then the country will ban TikTok.

Microsoft-Twitter is in the conversation for American business

Microsoft was the first company who came forward to buy TikTok’s US business. Microsoft CEO, Satya Nadella had informed President Donald Trump. Trump has also supported Microsoft’s offer. There is no final deal between Microsoft and ByteDance to sell TikTok’s US operation. Meanwhile, last week it was also reported that Twitter is also in touch with ByteDance to buy TikTok’s US business. TikTok’s US business is valued $ 30 billion approximately.

ByteDance earned 43.7 crores from India in 2019

By 2019, ByteDance did a business of Rs 43.7 crore in India. The company earned a profit of Rs 3.4 crore. The company had a revenue of 650 crores from the US. At the same time, the company received revenue of Rs 2500 crore from China. India is not among the top 10 countries in ByteDance’s list in terms of business revenue. According to reports, TikTok’s user base is growing rapidly. As of April 29, TikTok was downloaded 200 million times worldwide. TikTok has 800 million active users worldwide.

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