TikTok says U.S. threatens ban if Chinese owners don't sell stakes

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TikTok says U.S. threatens ban if Chinese owners don't sell stakes
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The Biden administration has demanded that TikTok\u0027s Chinese owners divest their stakes in the popular video app or face a possible U.S. ban.

Wall Street Journal

“If protecting national security is the objective, divestment doesn’t solve the problem: a change in ownership would not impose any new restrictions on data flows or access,” Tiktok’s Oberwetter said in a statement.TikTok Chief Executive Shou Zi Chew is due to appear before the U.S. Congress next week. It is not clear if the Chinese government would approve any divestiture and the Chinese Embassy in Washington did not immediately respond to a request for comment.

TikTok and CFIUS have been negotiating for more than two years on data security requirements. TikTok said it has spent more than $1.5 billion on rigorous data security efforts and rejects spying allegations.

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