ByteDance and the potential TikTok buyers have to come up with a deal acceptable to the Committee on Foreign Investment in the United States (CFIUS), an inter-agency group. Other companies, like Twitter, have also been rumored. Another factor is an update China made two weeks ago to export control laws that cover artificial intelligence technologies.
With the China-based parent company, Bytedance being under pressure to divest its USA operations, TikTok's future continues to hang in balance. Both Oracle and Microsoft have expressed interest in acquiring the business.
TikTok received a bid from Walmart, which has teamed up with Microsoft.
The main concern for the officials involved in the talks has been TikTok's data security and keeping U.S. user data out of the reach of the Chinese government.
TikTok has fought back against those claims.
The Trump administration blacklisted the aforementioned companies, along with a spate of others, barring them from selling their goods in the United States except to licensed purchasers over claims that they were closely linked with the country's Communist Party and that their equipment could be used for spying.
Meanwhile, commenting on the Chinese authorities' internal stance on the matter, ByteDance told Reuters that their government had never suggested that it should shut down TikTok anywhere in the world. First Vine and now TikTok - maybe short video apps are just cursed?
On Aug. 6, Trump signed an targeting TikTok.
"Even though we are in the midst of an uncertain environment, many companies from all over the world. continue to grow their operations in Singapore to serve Asia and worldwide markets", Kiren Kumar, executive vice president of Singapore Economic Development Board said.
Some cybersecurity experts say that TikTok's data collection practices are similar to other social media apps that depend on advertising revenue. The Chinese government previously denied similar spying accusations in relation to its tech giants Huawei and ZTE.
It is said that ByteDance's development plan in Singapore includes building a data center, whose business will cover TikTok and enterprise software Lark.