After filing a lawsuit against President Donald Trump's administration, Chinese technology company ByteDance is planning to expand its operations in Singapore. Over the next three years, the company might invest billions and hire thousands of employees in the region, Reuters reported early Friday.
What Happened: The Chinese company is considering building a strong base for its Rest of Asia operations in Singapore, according to Reuters.
ByteDance is also one of the major tech companies also applied for the country's coveted digital banking license. China’s stronghold over Hong Kong is leading more international businesses to set up a regional base in Singapore.
Why Does It Matter: ByteDance is already facing a backlash from the U.S. government. According to TechCrunch, Donald Trump has declined to extend the Sept. 20 deadline to sell TikTok.
Industry stalwarts like Microsoft Corporation (NASDAQ:MSFT) and Walmart Inc (NYSE:WMT), Twitter Inc (NYSE:TWTR), Alphabet Inc (NASDAQ:GOOG) (NASDAQ:GOOGL), and Oracle Corporation (NYSE:ORCL) have expressed interest in buying TikTok’s US business. However, the Chinese government recently introduced regulations for the country's companies selling intellectual property rights to foreign businesses, posing yet another challenge for the sale.
In June, the popular video-sharing app was first banned in India over national security concerns. It was not long before the U.S. and the U.K. adopted a similar stand. Currently, TikTok is also under scrutiny by the French administrative body for privacy laws - CNIL.