On June 29, the Indian government officially banned the famous video sharing app TikTok. TikTok dominated the Indian social media for quite some time, it is famous for its entertaining short-videos but several reasons underline its success. In just three years the video-sharing app gained massive popularity among Indians and had around 120 million monthly active users.
Unfortunately, the Indian government banned TikTok and a total of 59 Chinese made apps were also banned. When the government pulled the plug the app was no longer available on Google and Apple app stores.
Here is Everything you need to know about TikTok Acquisition Around the World
A Series of Events that Took place
TikTok banned in India
On June 29, the Indian government banned TikTok, and 59 other Chinese made apps. Indian intelligence agencies asked the government to block 59 mobile applications as being a threat to national security. These banned Chinese apps had over billions of potential Indian users and these apps were successful in luring the users to download them.
India's Ministry of Information Technology said it was banning the 59 Chinese apps after receiving "many complaints from various sources" about apps that were "stealing and surreptitiously transmitting users' data in an unauthorized manner".
After the ban of TikTok Instagram, the biggest and most popular social media platform in India joined this competition and rolled out a new feature on its application - Instagram Reels, which allowed users to make 15-second videos similar to TikTok.
Here is a list of Indian Startups Acquisition you might be interested in
Reliance likely to to acquire TikTok in India for $5 billion
As the Chinese app TikTok was banned by the Indian government in June on the grounds of threats to national security and data privacy. Industry analysts predict that Reliance Acquisition TikTok is the most likely scenario. Although, Reliance and Bytedance both denied any information on the reported deal.
US President Donald Trump to Ban TikTok in US
US President Donald Trump issued an executive order that would ban TikTok and Wechat in the US if they are not sold by their Chinese owned parent companies in 45 days. Many concerns were raised that the foreign-owned TikTok may be a national security risk. TikTok's parent company has to sell its US operations to Microsoft or any other US firm or face an obvious Ban.
Microsoft stepped in
Microsoft recently revealed that it is currently in talks to buy the U.S. operations of TikTok, the popular Chinese video application which has come under scrutiny from the U.S. government due to concerns of privacy and ties to the Chinese state.
TikTok has great potential, it appears to it can keep users highly engaged, spending over 50 minutes on the app per day. Compare to Facebook and Snapchat users who spend between 30 to 40 minutes. TikTok has reportedly over 80 million users in the U.S. which could help Microsoft to become a great player in digital advertising space.
Oracle stepped in
As it was reported oracle could be a possible buyer of the Chinese social media app TikTok. US President Donald Trump has said tech giant Oracle would be a great company to take over TikTok's US operations. Until now Microsoft has been the leading contender to purchase TikTok's business operations in the U.S.
US President Donald Trump said,
“Well I think Oracle is a great company and I think it’s owner is a tremendous guy, a tremendous person. I think that Oracle would be certainly somebody that could handle it.”
It is hard to comment on anything now, as it looks like Microsoft has tangible benefits to a TikTok deal in terms of boosting Microsoft’s other businesses. The immensely popular video-sharing app faced quite a downfall. TikTok might have also lost some TikTok could lose some influencers to Instagram Reels, a new competitive offering from Facebook. After Trump gave a nod to oracle buyout in the US, it looks like the ball is in its court.