On August 13, according to tech crunch, people familiar with the matter said that byte hop was in the early stage of negotiations with Reliance Industries Limited, India’s largest private group, which could invest in tiktok’s Indian business. This is a potential attempt to save the fate of this popular app in tiktok’s largest market.
Reliance Industries, the parent company of Indian telecom giant Ji platforms, is owned by Mukesh Ambani, India’s richest man. Mukesh Ambani ranks sixth in the world in the ranking of the world’s billionaire index, with a wealth of about $80.2 billion.
it was reported that reliance industry and byte skipping began to be online at the end of last month. At the end of the month, the Indian government banned a large number of Chinese mobile applications for security reasons, and tiktok and helo with byte skipping were among them. Before the ban, tiktok had more than 200 million users in India, and tiktok’s Indian business was valued at more than $3 billion.
in April 2019, byte jump announced that it would invest US $1 billion in the Indian market in the next three years. In July of the same year, byte skipping announced that it would establish a data center in India to store Indian user data locally. Previously, in order to comply with Indian law, Indian users’ data were stored in industry-leading third-party data centers such as the United States and Singapore. Public information shows that byte hopping has employed more than 2000 local full-time employees in India.
data from sensor tower, a mobile application analysis company, shows that tiktok had 112 million downloads in May this year, 20% of which came from India, double the U.S. market.
after the product was banned in India, a person familiar with the matter disclosed that in the past few years, byte hop invested more than US $1 billion in India, and now almost all of its products have failed in the Indian market, resulting in losses of more than $6 billion. He said the amount is likely to exceed the total losses of all other banned companies.
if a deal can be reached with Reliance Industries, it may help byte hopping to ease concerns from the Indian government. Reliance Industries, whose businesses cover petrochemicals, retail and telecommunications, said investment in tiktok will help Reliance Industries stay closer to consumers.
recently, trump has publicly stated that he is considering completely banning tiktok in the United States. Trump also threatened that if byte skipping does not sell tiktok to
(or other US companies) after 45 days, this popular app will be banned in the United States. On August 6, local time, trump signed an administrative order saying that tiktok and wechat posed a threat to the national security of the United States, and would prohibit any U.S. individual or entity from conducting any transaction with tiktok, wechat and its Chinese parent company in 45 days.