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Threat of a U.S. ban on the popular video-sharing app escalated with the social media company confirming the White House asked it to divest from its Chinese-based parent company or get booted in the U.S. |
The demand, confirmed by TikTok late Wednesday, marks the latest escalation in U.S. governmental pressure on the app over potential security risks that critics have raised based on its ties to China. It comes after a string of proposals emerging in Congress that target TikTok to varying degrees, and after a successful bid to ban TikTok on federal government devices passed last year. The latest news also comes ahead of TikTok CEO Shou Zi Chew's scheduled testimony before the House Energy and Commerce Committee next week. Chew said divesting wouldn't solve any security concerns and that he company has doubled down on its ongoing plans to monitor and separately store data from U.S. users. "Divestment doesn't solve the problem: a change in ownership would not impose any new restrictions on data flows or access," Chew said in a recent interview with The Wall Street Journal. Chew declined to comment on whether ByteDance, TikTok's parent company, would be open to selling the app to a U.S. company. Others questioned how likely a divesture is. Hannah Kelley, a research assistant in the technology and national security program at the Center for a New American Security, said she doesn't believe that ByteDance will agree to divest from TikTok. "This has been the sticking point in CFIUS negotiations for over two years now—how to mitigate the identified U.S. national security concerns, especially regarding data flows and access, short of full divestment," Kelley said, referring to the Committee on Foreign Investment in the United States, a federal inter-agency panel. We'll have more on the potential impacts of a TikTok ban at TheHill.com. |
Welcome to The Hill's Technology newsletter, we're Rebecca Klar and Ines Kagubare — tracking the latest moves from Capitol Hill to Silicon Valley. |
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How policy will be impacting the tech sector now and in the future: |
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Microsoft announced on Thursday that it will add artificial intelligence (AI) technology to its Microsoft suite of business tools and programs. In a news release, Microsoft said its new AI feature, referred to as Copilot, will be built off of "the power of large language models (LLMs) with business data and the Microsoft 365 apps, to unleash creativity, unlock productivity and uplevel skills." Microsoft also said that … |
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| Shou Zi Chew, the CEO of TikTok, said in an interview that an eventual sale of the company won't resolve perceived security risks of the app amid calls from Congress for the Chinese owners of the company to sell their stakes. In an interview with The Wall Street Journal published Thursday, Chew said that the U.S.'s latest demands for ByteDance to sell its stake in the social media platform don’t offer any more protection … |
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BEIJING (AP) — China accused the United States on Thursday of spreading disinformation and suppressing TikTok following reports that the Biden administration was calling for its Chinese owners to sell their stakes in the popular video-sharing app. The U.S. has yet to present evidence that TikTok threatens its national security and was using the excuse of data security to abuse its power to suppress foreign companies, Foreign … |
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News we've flagged from the intersection of tech and other topics: |
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'Fortnite' maker may owe you money |
Epic Games, the company behind the popular video game Fortnite, may owe members of the public money over a settlement with the Federal Trade Commission (FTC), Fast Company reported. |
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YouTube TV raises its prices |
YouTube TV raised its monthly subscription costs to $72.99, inching closer to what cable providers charge, The Verge reported. |
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Upcoming news themes and events we're watching: | - The House Energy and Commerce Committee will hold a hearing with TikTok CEO Shou Chew next Thursday at 10 a.m.
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Branch out with other reads on The Hill: |
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Taiwan chip pioneer warns US plans will boost costs |
TAIPEI, Taiwan (AP) — U.S. government efforts to shift production of processor chips from Asia to the United States will double their cost and slow the spread of their use in phones, cars and other products, the billionaire founder of the global industry's biggest manufacturer warned Thursday. Morris … |
HONG KONG (AP) — Chinese search giant Baidu unveiled its artificial intelligence chatbot Ernie Bot, presenting its rival to the Microsoft-backed ChatGPT in a pre-recorded video presentation Thursday that appeared to disappoint investors. Baidu CEO Robin Li said Ernie Bot was still not perfected, … |
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Two key stories on The Hill right now: |
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French President Emmanuel Macron raised the retirement age in France on Thursday, from 62 to 64, without waiting for a legislative vote. The move sparked … Read more |
| Thanks to a series of repeat rainfall and snow events this season, nearly two-thirds of California is now drought-free, new data revealed on Thursday. … Read more |
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