According to foreign media reports, China's popular social ** platform TikTok has concluded negotiations with the United Kingdom, which was originally intended for TikTok to establish a new headquarters in London, England.
However, with TikTok's withdrawal, the plan had to fail. While TikTok has nothing to lose as a result, the UK suffers as a result.
Because outside of London, TikTok has other European cities to choose from, and Dublin, Ireland is London's main competitor. By choosing to leave the UK, TikTok could reconsider other options, and the UK would lose three thousand jobs as a result.
What caused TikTok to suddenly change its mind during the negotiation process?
TikTok is a global popular short ** sharing platform developed by ByteDance, which we usually call "Douyin". Like Douyin in China, TikTok's parent company is ByteDance, which is located in Beijing.
In 2016, Douyin was born in China, and a year later, TikTok, as the "sister" of Douyin, also came into being. In order to further develop overseas markets, ByteDance acquired a short ** company in North America in 2017 and merged its data with TikTok, making TikTok quickly popular in North America.
In just a few months, TikTok has become one of the most popular apps in the world, attracting hundreds of millions of users. TikTok is popular not only in North America, but all over the world.
Keeping in mind that blessings and misfortunes depend on each other, ByteDance was about to use TikTok to show its strength globally and be promoted to a global company, but it suffered an unexpected setback.
For a long time, the United States has taken various suppressive measures against China, and TikTok has also entered the field of vision of the United States. The U.S. ** claims that TikTok is an official Chinese service and may collect personal information from Americans, endangering the U.S. *** so it plans to review it.
This year, relations between China and the United States have become tense again, the US blockade of China has become more severe, and TikTok's situation has become more difficult. However, at this time, India also joined in, and there were fifty-nine Chinese apps nationwide, and TikTok was among them.
Although the United States has only verbally threatened and has not taken action, the censorship storm continues. "
TikTok's overseas market performance is excellent, ranking among the top three markets in India, Brazil and the United States, with a market share of the same amount. 6% and 82%。
However, India has already taken TikTok, which has undoubtedly brought a huge loss to its overseas market share and commercial interests. At the same time, the United States is also conducting strict censorship on TikTok, if TikTok is excluded by the United States, then the past investment in the American market will be in vain, and tens of thousands of users will also be lost, which is a huge blow to TikTok.
In response to the pressure from overseas markets, TikTok is planning to adjust its overseas development strategy, including setting up a new overseas headquarters and restructuring its organizational structure.
On the issue of setting up a new headquarters, ByteDance has been in contact and negotiations with the United Kingdom**. The UK is one of the important overseas markets for TikTok, and its influence is huge, and London is also a good choice for its headquarters.
According to the current data, TikTok in-app purchase revenue reached 4$5.6 billion, $9 million contributed by UK users, and the number of employees has also quadrupled in the past year, these factors have affected ByteDance's market judgment.
But why did ByteDance suddenly abandon the UK? It was revealed that the reason was that the United Kingdom swept Huawei out of the United Kingdom a few days ago, and before that, the United Kingdom reached an agreement with Huawei on 5G construction, and the United Kingdom allowed Huawei to participate in 5G construction on a limited basis.
But just a few days ago, the United Kingdom** suddenly reversed itself and announced that it would completely eliminate Huawei's equipment in the UK within seven years, which would cost billions of pounds.
Huawei is facing suppression from the United States, and ByteDance is in a worrying situation. The U.S. policy toward China has a global impact, and the UK can only rely on the U.S. after Brexit, and the change in attitude toward Huawei may be influenced by the U.S.
ByteDance, which is also facing repression, chose to advance and retreat with Huawei, showing the unity of Chinese enterprises. ByteDance's donation of £5 million during the pandemic in the UK shows the benevolence of Chinese companies.
However, the UK's attitude towards Chinese companies is capricious, and if it continues to do so, I am afraid that it will lose business with ByteDance. The UK needs to change the way it treats Chinese companies, otherwise it will be difficult to recover its losses.
In the context of China's growing strength in recent years, more and more Chinese enterprises have stepped out of the country and occupied a place on the international stage. However, this has been followed by panic and rejection of Chinese companies in some countries, with companies such as Huawei and ByteDance experiencing difficulties.
In the face of this predicament, we should unite and work together to break the siege and get out of the predicament. In fact, Britain has already paid billions of pounds for its rejection of Huawei, and now it has lost another 3,000 jobs.
In this special time, the world is looking for ways to stimulate the economy, and the UK is doing some money-losing business. We can only hope that Britain will get more in return from the US, otherwise, Johnson may really come to an end.