Tag: America

Why Is America Scared of TikTok

Why Is America Scared of TikTok, Which Is Owned By US Investors?

By Sanjoy Narayan

In regions where the app, TikTok, is allowed to be used, it has been a runaway success. The social media app dedicated to short-form videos that are user-generated has more than a billion active monthly users and TikTok’s format lends itself to entertainment and comedy. Of late, however, it is increasingly being used for other purposes – news, infotainment, and marketing promotions.

The largest number of TikTok users is in the US where it is estimated to have 170 million users (a sizeable proportion of the country’s population of 332 million). Other countries with significant user bases include Indonesia (110 million), Brazil (82 million), and Mexico (58 million). Last week, however, the US House of Representatives approved and passed a bill that could potentially force TikTok’s parent, the Chinese company, ByteDance, to either sell the app or face a partial ban within the US.

In fact, TikTok is already banned in many countries, including in India where, in 2020, the Indian government banned it along with dozens of other Chinese-made apps. The reasons cited for the ban were concerns related to sovereignty, integrity, defence, security, and public order. At the time of the ban, India had an estimated 200 million active users and was the largest market for the app.

Tik Tok is also banned in Afghanistan where the ruling Islamist regime felt the platform’s content was not in line with Islamic laws. In countries such as Australia, Canada, Belgium, and Denmark, the app is banned on all government-owned or government-issued devices. In the European Union, its three main institutions—the European Parliament, European Commission, and EU Council—have imposed bans on TikTok for staff devices, and the EU remains cautious about the platform’s ties to China.

In the US, legislators’ worries about TikTok have intensified after the tensions between the US and China have escalated. Many legislators believe that TikTok’s addictive algorithm could allow the Chinese government to access user data and potentially influence Americans. The bill aims to cut off Chinese influence by selling TikTok to a “qualified buyer,” likely a Western company. Legislators fear that ByteDance might be secretly controlled by the Chinese Communist Party.

Who Really Owns TikTok?

While ByteDance denies sharing sensitive user data with the Chinese government, concerns persist. China’s history of cracking down on domestic tech firms and its censorship practices raise suspicions. TikTok is popularly described as a Chinese app. And, indeed, it is owned by ByteDance, an internet technology company headquartered in Beijing, China. It was founded by two Chinese entrepreneurs, Zhang Yiming and Liang Rubo in 2012. But who really owns ByteDance?

ByteDance is called a Chinese company but 60% of it is beneficially owned by global investors such as the Carlyle Group, General Atlantic, and Susquehanna International Group–all US companies. The Carlyle Group is a global investment firm, founded in the US; General Atlantic is an American growth equity firm providing capital and strategic support for global growth companies; and Susquehanna International Group is a privately held global trading and technology firm, headquartered in the US. So, more than half of ByteDance’s equity is owned by American investment firms.

What about the rest? Roughly 20% is owned by ByteDance employees worldwide; and the remaining 20% is owned by ByteDance’s founders. TikTok’s CEO is Shou Zi Chew, also known as Chew Shou Zi, a Singaporean businessman and entrepreneur, based in the US.

Does China Influence TikTok?

As can be seen from the details of who owns TikTok’s parent company, ByteDance, the Chinese government or state agencies do not have control over the company in the traditional sense, that is, through shareholding. However, the rest of the world outside China believes that there is a nuance regarding the Chinese government’s influence over social media and online platforms. While not a direct owner, a small stake (1%) in one of ByteDance’s Chinese subsidiaries is held by entities with ties to the Chinese government. This gives them some influence, but the extent is unclear. 

Then there is the geographic factor. Owing to ByteDance’s Chinese origins, many countries worry the Chinese government could pressure the company to hand over user data. TikTok maintains its US user data is stored outside of China and that its CEO who is based in the US makes key decisions. So, while the Chinese government doesn’t directly own TikTok, the ownership structure and Chinese origins raise concerns about potential government influence over user data.

Interestingly, TikTok has never been available in China, as the country has its own version of the app called Douyin, incidentally, also owned by ByteDance. While TikTok is available internationally, in China, you would find Douyin, which has been described as the country’s domestic alternative to TikTok. It is held on a different server than TikTok, which researchers have attributed to ByteDance complying with internet regulations set by the Chinese government. Douyin is available via the web, and it operates within China, subject to monitoring and censorship by the government.

It is believed that China has strict control over its media environment, both traditional and digital. China’s central government employs a combination of legal regulations, technical control, and proactive manipulation to restrict online freedom of expression.

China’s Great Firewall (officially known as the Golden Shield Project) monitors and filters internet traffic, blocking access to foreign websites and services. Authorities use libel lawsuits, arrests, and other means to force journalists, bloggers, and media organisations to self-censor.

Moreover, China emphasises the concept of “internet sovereignty”, requiring all internet users (including foreigners) to abide by Chinese laws and regulations. Chinese internet companies have to sign a pledge on self-regulation and professional ethics, imposing even stricter rules.

The heat around TikTok is, therefore, generated by concerns that its parent, ByteDance, 60% of which is controlled by investment firms that are really American, will have to comply with Chinese regulations on internet and social media platforms and that TikTok’s parent company ByteDance, could access user data for surveillance or influence campaigns. 

Doesn’t Every App Collect User Data? 

Yes, they do. Pretty much all popular apps collect user data. This can include browsing habits, location, purchase history, and even how you interact with the app itself. 

Data collection by apps is becoming more regulated, but it’s a complex issue. Laws like GDPR in Europe and CCPA in California give users more control over their data, but enforcement varies. In India, for instance, the government has been actively addressing data privacy and collection through various measures but it is still evolving. When apps collect your data, there are potential risks such as privacy intrusion but also security breaches where data can be stolen and used for malicious purposes. 

Apps and platforms such as Facebook (with a monthly user base of more than 3 billion); X (350 million); and Instagram (1.2 billion) all collect personal data that, potentially, can be used for malicious intent that TikTok is potentially suspected of. The fact is there is no evidence that any of these apps and platforms misuse the data that they collect. Then again, there is neither any evidence that TikTok does that. Ultimately, all major platforms collect a substantial amount of user data. For users, therefore, it is wise to be cautious and review the privacy settings on any app that they may be using. 

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After Flak Over Lack Of Action, Chinese Navy Starts Escorting Cargo Ships Through Red Sea

After Flak Over Lack Of Action, Chinese Navy Starts Escorting Cargo Ships Through Red Sea

By LokMarg

The Chinese navy has started escorting Chinese cargo ships through the Red Sea, according to a shipping company and Chinese state media reports, Voice of America (VOA) reported.

The development comes at a time when various cargo shipping companies have decided to avoid the globally important trade passage citing attacks from Houthi rebels.

Since November, Iran-backed Houthis have launched scores of drone and missile attacks on ships passing through the Red Sea, acts that they say are in support of Palestinian militant group Hamas in the war with Israel.

Significantly, weighing in on recent attacks on merchant ships by armed Houthi rebels and suspected pirates on the Red Sea and western Arabian Sea, experts and distinguished voices from across the world, while commending the prompt response by the Indian Navy to distressed vessels, called out China over the lack of similar rescue missions.

Hailing the rescue of crew from distressed merchant vessel Marlin Luanda in the Gulf of Aden, the experts noted that despite being considered a world power and having a naval base in Djibouti (near the area of the incident), did not respond to the distress call and it was the Indian Navy that demonstrated swift action.

“India takes over. Superpower rising…Stop drooling over China,” Europe-based historian and researcher, Martin Sauerbrey posted on X.

British journalist Mark Urban also called it ‘fascinating’ that India, and not China, has risen to the crisis in the Gulf of Aden and the Red Sea.”

Among the emerging great powers fascinating to see how India has risen to the crisis in the Gulf of Aden and Red Sea…China not so much,” Urban posted on X.

A US-led coalition has responded to the attacks with missile strikes on Houthi positions, backed by a collective force from Bahrain, Britain, Canada, France, Holland, Italy, Norway, the Seychelles, and Spain. But they have so far not stopped ships from being targeted, as per VOA.

At a time when most shipping companies have re-routed to go around Africa, doubling costs and shipping times, Sea Legend Shipping, a Qingdao-based company registered in Singapore, is actively promoting its cargo business through the Red Sea.

The company said since January, the Chinese navy has provided security escorts for its five cargo ships in the Red Sea, making it one of the few still operating in the region, according to Chinese media.

In an emailed response to a request for confirmation and comment on the scope of protection being provided, Yuan Mu, a spokesperson for China’s Embassy in Washington, referred VOA to departments directly responsible, according to VOA.

The spokesperson in an emailed response said, “On the whole, China stands ready to work with all parties to safeguard the safety of international shipping lanes.”

Although the Houthis have said that ships from some countries, including China and Russia, can safely pass through the Red Sea, a British oil tanker carrying Russian oil was hit by a Houthi missile and caught fire last week.

Shipping news site oilprice.com reports that even tankers carrying Russian fuel are now avoiding the Red Sea.

About 40 per cent of trade between Europe and Asia goes through the Red Sea and Suez Canal, and about 12 per cent of the globe’s sea trade in oil. (ANI)

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South China Sea

China’s Crackdown On Foreign Firms Put Them In Dilemma

By LokMarg

Following China’s crackdown on foreign firms, multinational corporations in the country are facing a dilemma this year as the risks of doing business in China increase, as reported by the Voice of America (VOA).

Beijing’s increased scrutiny of Western firms over the past year has alarmed international investors at a time of growing tensions between the US and China.

Leading to this, “de-risking” became the byword for wary enterprises.

Anna Ashton, Director of the China Corporate Affairs Programme at the Eurasia Group, a global political risk consulting firm, told VOA that national security concerns tied to the changing geopolitical tensions with the US have caused China to change some business rules, which has made the environment less certain for foreign companies.

“National security concerns tied to the changing geopolitical landscape and tensions with the United States have prompted Beijing to change some of the rules for doing business in ways that make the environment a lot less certain for foreign companies,” she said.

“That, plus the slower-than-expected return to normal growth after the end of the zero-COVID policies. So, this and geopolitical tensions with the US–a sort of sluggish Chinese economy… have been key drivers in terms of making the business environment difficult for foreign companies,” she added.

China’s economic weakness may also be putting foreign businesspeople on alert, according to VOA.

On December 14, the World Bank said in its semiannual regional forecast that it now expects China’s growth rate of 5.2 per cent this year to slow to 4.5 per cent in 2024, down from the 4.8 per cent it expected in April and 4.3 per cent in 2025.

“The outlook is subject to considerable downside risks,” the report said.

Moreover, China’s newly revised Counter-Espionage Law went into effect on July 1.

The US National Counterintelligence and Security Centre issued a warning to US companies before the law was enacted, saying that the new law’s vague definition of espionage gave the Chinese government more access to and control over corporate data. What companies consider normal business activities, such as market research, could become criminal activities, VOA reported.

Elisabeth Braw, a columnist at Foreign Policy and a senior associate fellow at the European Leadership Network, while highlighting the law vagueness, said that for Western businesses, China is becoming an increasingly difficult environment and unpredictability is the problem.

“Any Western company can be targeted by various government crackdowns related to the espionage legislation,” she said. “Also, whenever the Chinese government wants to retaliate against the Western government, there is a risk that it will use a Western company operating in China as a proxy target. That’s very easy, because what can the company do? It can do nothing.”

In an article while writing on foreign policy, Braw said that China’s difficult business environment is reflected in the fact that political risk underwriters have virtually stopped writing new policies for companies operating in China, as reported by VOA.

Companies further signalled how they felt about the changing environment with their plans to move.

In May, Forrester Research, a technology consulting company, decided to close its China office.

Moreover, in June, the Gerson Lehrman Group, which had planned to expand its operations in China in 2023, began layoffs, according to VOA.

Later in November 2023, US asset management giant Vanguard Group and management consulting polling firm Gallup announced they would be shutting down their operations and withdrawing from China.

Even companies highly dependent on China’s manufacturing sector, such as Apple, which launched its Chinese manufacturing operations in 2001, are transferring parts of their production lines to countries such as India and Vietnam.

China’s State Administration of Foreign Exchange released data in early November, stating that foreign direct investments were negative USD 11.8 billion in the third quarter, the first negative figure since recordkeeping began in 1998. (ANI)

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White House Modi Biden

Huge Crowd Gathers Outside White House To Welcome Modi

By LokMarg

A huge crowd of Indian diaspora gathered outside the South Lawns of the White House on Thursday, awaiting the arrival of Prime Minister Narendra Modi for a bilateral meeting with US President Joe Biden.

‘Bharat Mata Ki Jai’ and ‘Modi Modi’ chants echoed in the air as people gathered in huge numbers. Some of the signs held by people in the crowd read “America loves Modi.”
People could be seen chanting slogans and waving the national flags of both India and the US.

PM Modi is on his first state visit to the US. an official state visit is the highest-ranked diplomatic invitation extended to a visiting leader.

An Indian-origin student on the balcony of the White House played the violin and a as a large crowd of Indian-Americans waited to welcome PM Modi

Poornima Boria, CEO of the National India-US Chamber of Commerce and former advisor to the US State Department of Commerce described it as an incredible moment.

“What an incredible moment! We are proud of our Prime Minister. Never before so many people were allowed to come to the South Lawns of the White House,” she told ANI.

Another woman from Nigeria also heaped praises on Prime Minister Modi and said that she has never seen such a large crowd.

“I have seen Presidents of many countries visiting the US, but never seen such a large crowd gathered here to welcome them. This crowd here means that he (PM Modi) is doing good,” she said.

The huge crowd of the Indian diaspora had come from different regions to meet PM Modi at the White House.

“I work up at 3 am and came all the way from Richmond to welcome PM Modi and I am very excited,” Rumesh Shah from Gujarat said.

Another supporter Alka Shah said, “I would come from any part of the world to meet the Prime Minister of our country. He is the only one the whole world knows about him. He can be a role model for the rest of the leaders of the world.”

“I am here to meet Prime Minister Modi. He is the best man in the whole world. He is going to make India no. 1,” a man from Gujarat who is living in the US for the last 50 years told ANI.

Prime Minister Modi who arrived in Washington DC from New York was hosted by United States President Joe Biden and First Lady Jill Biden at the White House on Wednesday. He was also hosted for an intimate dinner at the White House, a day before the high-profile state dinner.

Earlier on Wednesday, PM Modi led a special Yoga session on the lawns of the UN headquarters in New York City to mark the 9th edition of International Yoga Day.

The special Yoga session led by PM Modi on the lawns of the UN headquarters in New York on Wednesday entered the Guinness Book of World Records for drawing people of most nationalities performing Yoga together.

In addition to official engagements, Prime Minister Modi is scheduled to interact with leading CEOs, professionals, and other stakeholders.

He will also meet members of the Indian diaspora. (ANI)

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Ex-Fox News Host Carlson

TV Debates In America Are Rigged: Ex-Fox News Host Carlson

By LokMarg

After agreeing to part ways from America-based news channel Fox News, former host Tucker Carlson has made some crucial allegations on the American Media and their TV debates.

Carlson released a video message on Twitter and alleged that debates on the topics like War, civil liberties, emerging science, demographic change, corporate power, and natural resources are not permitted in American media.
He alleged that both political parties and their donors have reached a consensus on what benefits them. “And they actively collude to shut down any conversation about it,” he added.

“War, civil liberties, emerging science, demographic change, corporate power, natural resources. When was the last time you heard a legitimate debate about any of those issues? It’s been a long time,” he said in his video message on Twitter.

He said the United States suddenly looks like a one-party state. He said that the realization is depressing but not permanent.

He said nobody actually believes them (TV Debators). “Hardly anyone’s life is improved by them. This moment is too inherently ridiculous to continue. And so it won’t (continue). The people in charge know this. That’s why they’re hysterical and aggressive. They’re afraid. They’ve given up persuasion. They’re resorting to force. But it won’t work. When honest people say what’s true calmly and without embarrassment, they become powerful,” he said.

“The other thing you notice when you take a little time off is how unbelievably stupid most of the debates you see on television are. They’re completely irrelevant. They mean nothing,” he said.

He said that in five years, no one would even remember that we had them.

“Trust me, as someone who’s participated. And yet, at the same time and this is the amazing thing the undeniably big topics, the ones that will define our future get virtually no discussion at all,” he added.

“At the same time, the liars who’ve been trying to silence them shrink and they become weaker. That’s the iron law of the universe. True things prevail. Where can you still find Americans saying true things? There aren’t many places left. But there are some, and that’s enough,” he said.

“As long as you can hear the words, there is hope. See you soon,” he signed off saying. (ANI)

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Hamas Palestinian Biden

US Make Efforts To Counter China’s Growing Influence In Pacific

By LokMarg

To counter China’s growing influence in the Pacific, the United States has dialed up every effort and made attempts that would reduce the possibility of other countries in the Pacific region getting into China’s orbit, Global Strat View reported.

Recently, US president Joe Biden held a summit with 14 Pacific Island where they issued an 11-point Declaration on US-Pacific Partnership, declaring that they shared a vision for a region where “democracy will be able to flourish.”
“We share a vision for a resilient Pacific region of peace, harmony, security, social inclusion, and prosperity, where individuals can reach their potential, the environment can thrive, and democracy will be able to flourish,” read the declaration on US-Pacific Partnership.

Washington’s plan to deepen diplomatic engagement with the Pacific comes as concerns about China’s expanding influence in the region.

During the summit, US President said, “The security of America, quite frankly, and the world depends on your security and the security of the Pacific islands.”

According to the Global, Strat View citing Derek Grossman, an analyst with the global think tank RAND Corporation, earlier, Washington had not been that active in strengthening the ties with Pacific countries. Still, the latest summit shows that the US is changing its outlook, especially in the wake of China’s expanding influence in the region.

“We are still all working from, generally speaking, the same sheet of music, which is we don’t want the Chinese establishing a military foothold in the region, and we don’t want them corrupting the institutions of the region,” he said as quoted by Global Strat View.

Biden announced that Pacific island nations will receive around USD 810 million in funds under the ‘Pacific Partnership Strategy.

The US is working at a micro level in order to remain strong in the Pacific region. This involves financial investments, defense cooperation, police training, COVID assistance, and climate support.

One of the highlights of the summit is the participation from the Solomon Islands as it has recently, in May, met Chinese Foreign Minister Wang Yi.

In the recent summit, Solomon Island opposed China’s reference to US Pacific Partnership Declaration. It had previously denied US and UK ships access, resulting from Beijing’s influence. All this has added to the US concerns about the Solomon Islands became a China ally, reported Global Strat View. (ANI)

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