Microsoft is reportedly in talks to acquire TikTok’s business in India after the ban of the popular short video platform in countries like India and, potentially, the US. The US-giant has already confirmed that it has been exploring ways to acquire TikTok’s business in the US, Canada, Australia, and New Zealand.
The discussions come forth as China’s ties with countries have started degraded for multiple security-related reasons. Microsoft has stated that it will be completing and finalizing the discussions with the ByteDance owned firm by 15th September 2020.
As reported by FT (1), an investor pegged the value of TikTok’s Indian business at as much as $10 billion. A source close to ByteDance stated that there was a “deal in the works” with Microsoft for TikTok India, but if that does not work out, ByteDance might sell TikTok’s Indian business wither to foreign investors or Indian buyers.
Chinese app ban in India
Reliance Jio is one of the contenders who want to acquire TikTok’s India business and would be the first to show up if the deal with Microsoft doesn’t go through.
The Indian government banned over 59 Chinese apps, including famous apps like TikTok, ShareIt, Shein, Helo, Likee, CamScanner, etc. in a bid to protect the users as it stood as a threat to data sovereignty and security.
The Beijing headquartered company ByteDance, the owner of TikTok, earlier had plans to shift TikTok’s headquarters to another country where it could freely operate without being imposed upon with ban of Chinese products and services.