TikTok logos appear on smartphones in front of a displayed ByteDance logo in this November 27, 2019 illustration.
Given Ruvic | Reuters
ByteDance has another week to sell TikTok’s U.S. business and reportedly avoid a ban.
The Foreign Investment Committee (CFIUS) has told ByteDance, TikTok’s Chinese parent company, that it now has until December 4th to close a deal. The extension comes after the original November 12th deadline has been moved to November 27th.
A Treasury Department spokesman told the Financial Times and the BBC that CFIUS had granted “time to review a revised filing” the recently received extension.
President Donald Trump told ByteDance on Aug. 14 that it must find a suitable buyer for TikTok’s U.S. business in 90 days before it is blocked in the country. Trump then signed a CFIUS guideline saying the short video app posed a national security risk. TikTok has repeatedly denied the existence of such a risk.
The policy states that ByteDance “must dispose of any tangible or intangible asset or asset, wherever it is, in order to enable or support the operation of the TikTok application by ByteDance in the United States”.
Walmart and Oracle have been discussing a possible deal for months, but nothing has come off. Other companies, including Microsoft, were also in the running at various points.
Earlier this month, CNBC reported that TikTok had not had meaningful dialogue with CFIUS in weeks. At the time, TikTok executives were still keen to forge a technology partnership with Oracle to address national security concerns – even if President-elect Joe Biden is not that concerned with the risk profile of Chinese-owned TikTok.
The U.S. Treasury Department and TikTok did not immediately respond to CNBC’s request for comment.