There are a few reasons why TikTok has faced threats of bans and restrictions in the US:
1. National security concerns: In this regard, people express concern that the TikTok’s parent company ByteDance, as it is often on the line to be forced by Chinese authority to censor content or access user data. Being a widely used TikTok in the US, this trend is unhealthy when it comes to monitoring and information gathering. Of course, the United States government believes that the Tiktok owners are the Chinese government and the type of businessman that is a risk to national security.
2. Data privacy issues: Critics have been reported to be charging TikTok with the harvesting of a vast amount of data off the users of the platform and the absence of provisions on protecting children’s privacy. One of the issues referred to is the possibility that US user data might be accessed and manipulated.
3. Political tensions between US and China: A ban of TikTok could be seen as an effective tool of the US in making political hardball against China amidst the surface of broader political disagreements between the two countries on trade, technology, etc. Ban on TikTok serves those who wish to curb power of China which is among the emerging countries.
4. Spread of misinformation: Ratings have been concerned that TikTok might be a transmission of falsehoods or may serve as a weapon in the hands of foreign powers to manipulate American voters. It can be made as an obstacle for inconsistent information which would be an inevitable consequence of Allowing it.
Nevertheless, the underlying bans or even the challenges are far from being resolved as those continue to be discussed in court. TikTok, on the contrary, puts the efforts to ensure that the privacy of its consumers is through and through besides. However, security questions continue to linger over the app and the politics of the US-China relationship also add meaning to the storyline.
How much is TikTok worth?
At 2024, we have an estimate of TikTok being at around $50 billion based on current data available. This valuation is based on calculating net income for tiktok. Here are some key details about TikTok’s valuation:
– The parent company of TikTok called ByteDance has not revealed TikTok’s earnings or profit business-like details to the public, which makes the valuation a hard question to answer for analysts. It is estimated that the figure flits between $30 billion and 100+ billion.
– In 2020 the overall headquarter company value of ByteDance was little over $140 billion. TikTok is expected to hold about 12% of the all amount, resulting in a total valuation estimate of $6 billion.
– In the month of August the year 2020, after the US government started pressuring ByteDance over the security concerns, the discussions to sell TikTok’s US operations were on the frontline. Microsoft was first in line, followed by Oracle as potential suitors, pricing the US arm of TikTok between $20 and 50 billion.
– Currently, at the mid-year of 2022, TikTok has about 1 billion monthly active users on all its platforms, and the revenue/user growth is suggesting that its market worth at present would be somewhere around $50 billion.
With so much motion in the estimate of Tiktok’s value, experts guesstimates of the amount as of today are around $50 billion for the large number of users and the degree of engagement as well as revenue potential it has.
