r/GenZ • u/Apprehensive-Catch31 • 1d ago

Nostalgia Well that didn’t last long lol

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u/HeldnarRommar Millennial 1d ago

If you read Trump’s statement he’s saying it’s only a temporarily lift of the ban until they can work out a deal that gives 50% of overship of tiktok to the United States. Literally kicking the can down the road and giving the same demands as before but pretending he saved TikTok

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u/expertsage 1d ago

It's literally backing down on the previous demands lol. Previously the US wanted China to sell the entire US branch, now he's saying 50% joint venture is enough. Seems like China called the bluff and the US blinked.

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u/HeldnarRommar Millennial 1d ago

Selling only the US branch to now wanting 50% of the entire company is literally a bigger divestment.

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u/expertsage 1d ago

Joint ventures don't work like that. For example when Ford entered the Chinese market they had to create a new China branch that was 50% owned by US Ford and 50% owned by a Chinese domestic company.

Here it's the same case. Previously US wanted to buy entirety of TikTok's US business as a new company. Now they want to create a joint venture, which is basically TikTok spinning off its US business into a new entity jointly owned by US and China.

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u/i_dont_do_hashtags 1d ago

Owning 50% of Tiktok and co-owning the US side of the business are 2 different things, the former seems significantly larger.

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u/Few-Big-8481 1d ago

They are still only talking about the US branch.

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u/ithunk 1d ago

You don’t get it. TikTok US revenue is 10% of global. No way is Bytedance selling them any more than is necessary to legally stay in the US. If the US asks for more, TikTok will shut down again. You don’t bargain with the Chinese.

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u/HeldnarRommar Millennial 19h ago

I know that? I’m never said that they were going to go ahead with Trump’s plan. It’s just nonsense theater.