How the once wildly popular app TikTok is scrambling to survive

News

PANORAMA

Feedback

1/8

2/8

3/8

4/8

5/8

6/8

7/8

8/8

The short-form video app TikTok has had a dream run in India ever since its launch in 2016. In June 2020, shortly after the India-China standoff in the Galwan valley, the Indian government banned 59 Chinese-owned apps including TikTok. The app that is most popular among youngsters for spontaneous videos is feeling the heat from all corners. The United States is now all set to ban the app while Microsoft has evinced interest in purchasing it from parent company Bytedance.

Story: Rashi Bisaria

Tiktok's popularity

TikTok's popularity soared in the Indian market which has the maximum number of young people in the world. India easily became the largest market for TikTok followed by Brazil and the US. Young content creators became overnight stars becoming more well-known than traditional celebrities.

TikTok amid Pandemic

The pandemic has given an unexpected boost to TikTok in India. Teens downloaded and used it to kill boredom during extended periods of lockdown.It saw 623 million downloads in the first half of 2020 increasing the total number of downloads in India to 2 billion.

The India ban

After the Galwan valley clash between India and China, 59 Chinese apps were banned by the Centre and homegrown apps are being encouraged. This came as a big snub for TikTok which depended on its largest market. Other indigenous apps like Chingari are attracting influencers instead, with lucrative deals.

Why Trump wants to ban TikTok

The anti-China sentiment has affected US too and American politicians are concerned that China might use this video app to spy on US citizens. This could prove to be a security threat to the country. US Secretary of State Mike Pompeo said if citizens downloaded the app they were at risk of putting , "private information in the hands of the Chinese Communist Party." Trump has a different reason for wanting to ban the app. He has been averse to China ever since coronavirus started to threaten the US economy.

How Tiktok has responded

TikTok is worried about the impending US ban and has offered to hire 10,000 workers in the US over the next three years. It has suffered allegations in the past too and in 2019 had clarified that user data was stored in the US with a backup in Singapore. It also added that none of its data was subject to Chinese law. It is even looking to pass on its US operations from parent company Bytedance to Microsoft.

Effect on Tiktok influencers

TikTok influencers had enjoyed a massive following in India and now they have had to switch to other platforms. This means finding their footing all over again in a hugely competitive market.The money making potential of other platforms is much less owing to limited reach. Top 100 influencers have lost money to the tune of Rs 120 crore.

Microsoft's interest in TikTok

In the wake of the anti-TikTok wave, US tech giant Microsoft has shown interest in acquiring the US arm of the app from Chinese company Bytedance. The deal, if it happens, would mean Microsoft owning and operating the TikTok service in the U.S., Canada, Australia and New Zealand.