• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia

Trendingnow

1

As Big Tech showers employees with perks to win the talent war, Nvidia built a nearly $5 trillion company by making people pay for their own lunch

2

MacKenzie Scott alone accounted for one-third of America's $19.2 billion in megagifts last year

3

Current price of oil as of July 1, 2026

1

As Big Tech showers employees with perks to win the talent war, Nvidia built a nearly $5 trillion company by making people pay for their own lunch

2

MacKenzie Scott alone accounted for one-third of America's $19.2 billion in megagifts last year

3

Current price of oil as of July 1, 2026
TechTikTok
Asia

TikTok is trying to distance itself from Beijing but U.S. lawmakers aren’t having it: ‘There’s no such thing as a private company in China’

By
Didi Tang
Didi Tang
and
The Associated Press
The Associated Press
Down Arrow Button Icon
By
Didi Tang
Didi Tang
and
The Associated Press
The Associated Press
Down Arrow Button Icon
March 14, 2024, 5:23 AM ET
Devotees of TikTok, Mona Swain, center, and her sister, Rachel Swain, right, both of Atlanta, monitor voting at the Capitol in Washington, as the House passed a bill that would lead to a nationwide ban of the popular video app if its China-based owner doesn't sell, March 13, 2024.
Devotees of TikTok, Mona Swain, center, and her sister, Rachel Swain, right, both of Atlanta, monitor voting at the Capitol in Washington, as the House passed a bill that would lead to a nationwide ban of the popular video app if its China-based owner doesn't sell, March 13, 2024. J. Scott Applewhite—AP
Add Fortune on Google for similar content.

If some U.S. lawmakers have their way, the United States and China could end up with something in common: TikTok might not be available in either country.

The House on Wednesday approved a bill requiring the Beijing-based company ByteDance to sell its subsidiary TikTok or face a nationwide ban. It’s unclear if the bill will ever become law, but it reflects lawmakers’ fears that the social media platform could expose Americans to Beijing’s malign influences and data security risks.

But while U.S. lawmakers associate TikTok with China, the company, headquartered outside China, has strategically kept its distance from its homeland.

Since its inception, the TikTok platform has been intended for non-Chinese markets and is unavailable in mainland China. It pulled out of Hong Kong in 2020 when Beijing imposed a national security law on the territory to curtail speech. As data security concerns started to rise in the U.S., TikTok sought to reassure lawmakers that data gathered on U.S. users stays in the country and is inaccessible to ByteDance employees in Beijing.

TikTok’s parent company is following the same playbook as many other Chinese companies with global ambitions: To win customers and trust in the United States and other Western countries, they are playing down their Chinese roots and connections. Some have insisted they be called “global companies” instead of “Chinese companies.”

But for TikTok, this may not be enough. The House bill passed overwhelmingly on a 352-65 vote. Its prospects in the Senate are uncertain, but if it clears both chambers, President Joe Biden said he would sign it into law. The moves in Washington threaten the app’s survival and cast a spotlight on the quandary that many private Chinese companies have found themselves a part of as they seek to engage Western markets at a time of souring U.S.-China relations.

“It’s the most difficult time for Chinese tech companies and private businesses in decades as tensions and rivalry between the United States and China continue to grow,” said Zhiqun Zhu, professor of political science and international relations at Bucknell University.

“These companies and businesses face squeezing from both sides as they struggle to survive,” Zhu said. “While the U.S. and other Western countries have imposed sanctions or restrictions on these companies, China itself has moved to favor state-owned enterprises in recent years, leaving little room for Chinese tech and private businesses to operate.”

Alex Capri, senior lecturer at the National University of Singapore and research fellow at Hinrich Foundation, agreed that companies like TikTok with Chinese roots are “really stuck in two polar extremes” between the heavy-handed communist party and the deeply suspicious West.

“Any Chinese tech company has to operate under a cloud of suspicion, and that’s because there’s a total breakdown of trust,” Capri said.

With the rise of techno-nationalism, by which technological capabilities are deemed a national strategic asset, China’s tech companies are obligated by Beijing’s laws and rules to turn over data and have become “essentially a de-facto representative” of China’s ruling communist party, Capri said.

”That in itself makes it very challenging for companies like TikTok,” he said.

In 2018, Zhang Yiming, the founder of ByteDance, toed the party line after Beijing shut down ByteDance’s jokes app. He apologized publicly for his company’s deviations from socialistic core values and promised to “comprehensively rectify the algorithm” on its news app and add significantly more layers of censoring — a move considered necessary for any company to survive in China.

That explains the oft-repeated claim by Rep. Mike Gallagher, chair of the House Select Committee on China’s communist party, that “there’s no such thing as a private company in China.”

The bill, as approved by the House, seeks to remove applications from app stores or web hosting services in the U.S. unless the application severs its ties to companies — such as ByteDance — that are subject to the control from foreign adversaries, like China.

“This is my message to TikTok: Break up with the Chinese Communist Party or lose access to your American users,” said Gallagher, the bill’s sponsor. “America’s foremost adversary has no business controlling a dominant media platform in the United States. TikTok’s time in the United States is over unless it ends its relationship with CCP-controlled ByteDance.”

Congressional mistrust of TikTok was evident at a Jan. 31 hearing when Sen. Tom Cotton repeatedly asked CEO Shou Zi Chew if he is a Chinese citizen beholden to the Communist party. Chew, who is Singaporean, repeatedly said no.

On Tuesday, Rep. Nancy Pelosi said it’s problematic that ByteDance, which owns the social platform’s algorithm, is subject to Beijing’s control.

Chew, in another congressional hearing last year, told Congress that “we do not remove or promote content on behalf of the Chinese government.”

In a recent interview with Wired magazine, Chew acknowledged that the company’s Chinese origins have given TikTok a “bigger trust deficit than most other companies.”

“Maybe our trust starting line is behind other businesses, but I also think that there are very serious approaches that we’ve taken to try and earn that trust and to close that gap,” Chew said, citing efforts by TikTok to protect U.S. user data, be transparent and “not be manipulated by any government.”

Short of severance from the home country, Chinese companies chasing global ambitions have tried to distance themselves from China by introducing many foreign investors, hiring foreign executives, moving headquarters to outside China and limiting operations to overseas markets, said Thomas Zhang, China analyst at FrontierView, a U.S.-headquartered market intelligence provider. But “the effects are limited as long as the founder in China does not relinquish control,” Zhang said.

For TikTok, the trust is so lacking that even a full divestiture from its Chinese parent company may not work, because complicated ownership structures can obscure potential Chinese ownership, Capri said.

As TikTok fights for survival, it has made a move that is very present in American politics: It’s engaging in heavy lobbying, and appealing to its 170 million U.S. users to contact their lawmakers to say a TikTok ban would infringe on their free speech rights.

It’s won over one powerful critic: Former President Donald Trump, in a reversal, came out against the TikTok legislation. But Trump, for all his sway with congressional Republicans, couldn’t prevent House passage.

If the bill becomes law, Capri said, TikTok could pursue the ultimate American recourse: a lawsuit to challenge the ban.

About the Authors
By Didi Tang
See full bioRight Arrow Button Icon
By The Associated Press
See full bioRight Arrow Button Icon
Add Fortune on Google for similar content.

Latest in Tech

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • World's Most Admired Companies
  • See All Rankings
  • Lists Calendar
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • Pinterest icon

Latest in Tech

U.S. Treasury Secretary Scott Bessent
EconomyDebt
AI’s $2.2 trillion deficit fix is already half fake, economists say
By Tristan BoveJuly 2, 2026
56 minutes ago
Anthropic CEO Dario Amodei
AIEye on AI
Anthropic’s Fable model is back. But U.S. AI policy is still a mess
By Jeremy KahnJuly 2, 2026
1 hour ago
ai
North AmericaImmigration
Trump’s $46 billion ‘smart wall’ with Mexico bets on AI and scale
By Rebecca Santana and The Associated PressJuly 2, 2026
2 hours ago
sk
AISouth Korea
AI “grief videos” turn mourning into a $390 service in South Korea
By Hyung-Jin Kim and The Associated PressJuly 2, 2026
3 hours ago
Securitize CEO Carlos Domingo looks to the far right during a conference.
CryptoBlockchain
Securitize is latest crypto company to go public as BlackRock-backed firm sees stock jump 3% on debut
By Camila Grigera NaónJuly 2, 2026
3 hours ago
Mark Zuckerberg, wearing a white shirt, smiles. He is standing in front of a crowd.
SuccessMark Zuckerberg
Mark Zuckerberg feeds his cows macadamia nuts and beer to create the ‘highest-quality beef in the world’ on his $300 million estate in Hawaii
By Sasha RogelbergJuly 2, 2026
3 hours ago

Most Popular

As Big Tech showers employees with perks to win the talent war, Nvidia built a nearly $5 trillion company by making people pay for their own lunch
Big Tech
As Big Tech showers employees with perks to win the talent war, Nvidia built a nearly $5 trillion company by making people pay for their own lunch
By Marco Quiroz-GutierrezJuly 1, 2026
2 days ago
MacKenzie Scott alone accounted for one-third of America's $19.2 billion in megagifts last year
Success
MacKenzie Scott alone accounted for one-third of America's $19.2 billion in megagifts last year
By Sydney LakeJune 25, 2026
8 days ago
Current price of oil as of July 1, 2026
Personal Finance
Current price of oil as of July 1, 2026
By Joseph HostetlerJuly 1, 2026
1 day ago
Trump got a $78K pension from the Screen Actors Guild in 2025 because he appeared in Home Alone 2 in 1992
Politics
Trump got a $78K pension from the Screen Actors Guild in 2025 because he appeared in Home Alone 2 in 1992
By Sasha RogelbergJuly 1, 2026
1 day ago
CEO of $248 billion cybersecurity company says workers are about to face a ‘Darwinian moment’ thanks to AI: Evolve or get cut
Success
CEO of $248 billion cybersecurity company says workers are about to face a ‘Darwinian moment’ thanks to AI: Evolve or get cut
By Emma BurleighJuly 1, 2026
1 day ago
Philanthropy leader at Warren Buffett and Bill Gates’ Giving Pledge says children of billionaires are pushing them to give their wealth away faster
Success
Philanthropy leader at Warren Buffett and Bill Gates’ Giving Pledge says children of billionaires are pushing them to give their wealth away faster
By Preston ForeJune 27, 2026
5 days ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.