The US and China have reached a framework agreement on transferring TikTok to US-controlled ownership, with analysts suggesting China may settle the key dispute over its recommendation algorithm by licensing the intellectual property. SMU Associate Professor of Finance Fu Fangjian echoed this sentiment, inferring that the Chinese government may allow ByteDance to authorise TikTok in the US to use its recommendation algorithm, but will impose restrictions on the scope and conditions of use. Assoc Prof Fu said the plan meets the requirements of US President Donald Trump’s administration and is also beneficial to ByteDance.
