As things stand, TikTok’s U.S. sales have stalled, andmedia see no point in selling businesses without algorithms. Last week, the state issued a “personalized information push service technology based on data analysis” clause restricting exports, which was later interpreted by industry insiders as directly targeting TikTok algorithm technology, knowing that TikTok’s core algorithms had been considered included in the deal until the new rules were introduced.
According tomedia reports, a source familiar with the negotiations said that for bidders, “TikTok without algorithms is like a luxury car with a cheap engine”, because a large part of TikTok’s value lies in its core algorithm, if the transaction does not include the algorithm, will completely change their vision of buying TikTok.
Another person close to the bidder said the deal was likely to go ahead if the algorithm could not be obtained through the acquisition. But it has also been revealed that one of the bidders could still buy TikTok, which does not contain algorithms, and write new algorithms for them.
Perhaps seeing TikTok not sell its U.S. business fast enough, the U.S. government said TikTok needed to reach an agreement with the acquirer by September 15 or close its TikTok business in the U.S.
In another reminder to speed up the sale, the US government said the Treasury should be compensated for the deal, which, according to previous information, was at least $10bn.
According to U.S. officials, it doesn’t mind whether Microsoft or other secure U.S. companies buy TikTok. Unless Microsoft or other companies can buy TikTok and strike a deal, TikTok will be forced to close its U.S. operations on September 15th, and as part of the deal, it should pay the federal government a “substantial amount of money” quickly.