Chinese parent company ByteDance is heavily involved in U.S. TikTok operations

Описание: CNBC.com's Sal Rodriguez reports on ByteDance's involvement with U.S operations of Tiktok, including accessing U.S. users' information. He also discusses Black creators boycotting the platform over content exploitation. For access to live and exclusive video from CNBC subscribe to CNBC PRO: https://cnb.cx/2NGeIvi

A former TikTok recruiter remembers that her hours were supposed to be from 10 a.m. to 7 p.m., but more often than not, she found herself working double shifts. That’s because the company’s Beijing-based ByteDance executives were heavily involved in TikTok’s decision-making, she said, and expected the company’s California employees to be available at all hours of the day. TikTok employees, she said, were expected to restart their day and work during Chinese business hours to answer their ByteDance counterparts’ questions.

This recruiter, along with four other former employees, told CNBC they’re concerned about the popular social media app’s Chinese parent company, which they say has access to American user data and is actively involved in the Los Angeles company’s decision-making and product development. These people asked to remain anonymous for fear of retribution from the company.

TikTok launched internationally in September 2017. Its parent company, ByteDance, purchased Musical.ly, a social app that was growing in popularity in the U.S., for $1 billion in November 2017, and the two were merged in August 2018. In just a few years, it has quickly amassed a user base of nearly 92 million in the U.S. In particular, the app has found a niche among teens and young adults — TikTok has surpassed Instagram as U.S. teenagers’ second-favorite social media app, after Snapchat, according to an October 2020 report by Piper Sandler.

Last year, then-President Donald Trump sought to ban TikTok in the U.S. or force a merger with a U.S. company. The Trump administration, including Secretary of State Mike Pompeo, expressed national security concerns over the popular social media app’s Chinese ownership, with Pompeo saying at one point that TikTok might be “feeding data directly to the Chinese Communist Party.” TikTok has consistently denied those claims, telling CNBC, “We have never provided user data to the Chinese government, nor would we do so if asked.” In the company’s last four semi-annual transparency reports, it does not report a single request from the Chinese government for user data.

Earlier in June, TikTok caught a break when President Joe Biden signed an executive order that revoked Trump’s order to ban the app unless it found a U.S. buyer. Biden’s order, however, sets criteria for the government to evaluate the risk of apps connected to foreign adversaries.

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