A Case Study of How China Can Use Sharp Power Through Tiktok
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Commerce Department's Ban on Wechat and Tiktok Mobile
Alert Commerce Department’s Ban on WeChat and TikTok Mobile Applications Delayed on Eve of Implementation September 22, 2020 On Sept. 18, 2020, the U.S. Department of Commerce (“Commerce Department”) issued its eagerly anticipated regulations under President Trump’s Aug. 6, 2020 Executive Orders (“E.O.s”) relating to the mobile applications (“apps”), WeChat and TikTok. As explained below, the regulations sharply restrict transactions involving either app within the United States, beginning on Sept. 20, 2020.1 At the same time, the Commerce Department refrained from imposing sanctions on use of the apps outside the United States or on trading in the securities of WeChat’s and TikTok’s parent companies. Both sets of regulations were scheduled to begin to take effect on Sept. 20, but due to subsequent developments in the courtroom and the boardroom, neither will. On Sept. 19, 2020, a federal judge in California granted a motion for a preliminary injunction which will — at least temporarily — curtail the government’s ability to implement the WeChat ban. And on the same day, following the announcement of a bid by Oracle Corp. (“Oracle”) for the U.S. operations of TikTok, the Commerce Department temporarily delayed implementation of the TikTok ban for one week. Background The Aug. 6, 2020 E.O.s vest broad authority in the Commerce Department to prohibit persons subject to U.S. jurisdiction from engaging in transactions with the Chinese companies that own TikTok and WeChat.2 E.O. 13942 targets ByteDance Ltd. (“ByteDance”), the owner of TikTok Inc. (“TikTok”); E.O. 13943 targets Tencent Holdings Ltd. -
China's Global Media Footprint
February 2021 SHARP POWER AND DEMOCRATIC RESILIENCE SERIES China’s Global Media Footprint Democratic Responses to Expanding Authoritarian Influence by Sarah Cook ABOUT THE SHARP POWER AND DEMOCRATIC RESILIENCE SERIES As globalization deepens integration between democracies and autocracies, the compromising effects of sharp power—which impairs free expression, neutralizes independent institutions, and distorts the political environment—have grown apparent across crucial sectors of open societies. The Sharp Power and Democratic Resilience series is an effort to systematically analyze the ways in which leading authoritarian regimes seek to manipulate the political landscape and censor independent expression within democratic settings, and to highlight potential civil society responses. This initiative examines emerging issues in four crucial arenas relating to the integrity and vibrancy of democratic systems: • Challenges to free expression and the integrity of the media and information space • Threats to intellectual inquiry • Contestation over the principles that govern technology • Leverage of state-driven capital for political and often corrosive purposes The present era of authoritarian resurgence is taking place during a protracted global democratic downturn that has degraded the confidence of democracies. The leading authoritarians are ABOUT THE AUTHOR challenging democracy at the level of ideas, principles, and Sarah Cook is research director for China, Hong Kong, and standards, but only one side seems to be seriously competing Taiwan at Freedom House. She directs the China Media in the contest. Bulletin, a monthly digest in English and Chinese providing news and analysis on media freedom developments related Global interdependence has presented complications distinct to China. Cook is the author of several Asian country from those of the Cold War era, which did not afford authoritarian reports for Freedom House’s annual publications, as regimes so many opportunities for action within democracies. -
Tiktok and Wechat Curating and Controlling Global Information Flows
TikTok and WeChat Curating and controlling global information flows Fergus Ryan, Audrey Fritz and Daria Impiombato Policy Brief Report No. 37/2020 About the authors Fergus Ryan is an Analyst working with the International Cyber Policy Centre at ASPI. Audrey Fritz is a Researcher working with the International Cyber Policy Centre at ASPI. Daria Impiombato is an Intern working with the International Cyber Policy Centre at ASPI. Acknowledgements We would like to thank Danielle Cave and Fergus Hanson for their work on this project. We would also like to thank Michael Shoebridge, Dr Samantha Hoffman, Jordan Schneider, Elliott Zaagman and Greg Walton for their feedback on this report as well as Ed Moore for his invaluable help and advice. We would also like to thank anonymous technically-focused peer reviewers. This project began in 2019 and in early 2020 ASPI was awarded a research grant from the US State Department for US$250k, which was used towards this report. The work of ICPC would not be possible without the financial support of our partners and sponsors across governments, industry and civil society. What is ASPI? The Australian Strategic Policy Institute was formed in 2001 as an independent, non-partisan think tank. Its core aim is to provide the Australian Government with fresh ideas on Australia’s defence, security and strategic policy choices. ASPI is responsible for informing the public on a range of strategic issues, generating new thinking for government and harnessing strategic thinking internationally. ASPI’s sources of funding are identified in our Annual Report, online at www.aspi.org.au and in the acknowledgements section of individual publications. -
Case 6:21-Cv-00504 Document 1 Filed 05/18/21 Page 1 of 18
Case 6:21-cv-00504 Document 1 Filed 05/18/21 Page 1 of 18 IN THE UNITED STATES DISTRICT COURT FOR THE WESTERN DISTRICT OF TEXAS WACO DIVISION BEIJING MEISHE NETWORK TECHNOLOGY CO., LTD., Case No. 6:21-CV-504 Plaintiff, JURY TRIAL DEMANDED v. TIKTOK INC., TIKTOK PTE. LTD., BYTEDANCE LTD., and BYTEDANCE INC., Defendants. ORIGINAL COMPLAINT Plaintiff Beijing Meishe Network Technology Co., Ltd. (“Meishe”), by and through counsel of record, asserts the following claims of copyright infringement against Defendants TikTok Inc. (“TikTok Inc.”), TikTok Pte. Ltd. (“TikTok Pte. Ltd.”), ByteDance Ltd. (“BL”), and ByteDance Inc. (“BI”) (collectively, “Defendants”). SUMMARY OF THE ACTION 1. This is an action for copyright infringement of Meishe’s software copyrighted and registered with the Copyright Protection Centre of China (CPCC). Plaintiff Meishe is, and at all material times hereto, has been the owner of the copyright of Copyright Registration Nos. 2015SR227927, 2018SR037751, 2018SR037747, 2018SR038324, 2018SR218096, 2018SR218287, 2019SR0901188, 2019SR0901198, 2019SR0901209, 2019SR0899912, 2019SR0899814, 2019SR0899799, 2019SR0901175, 2019SR0901166, 2020SR0291426, 2020SR0575533, 2020SR0572713, 2020SR0572704 (“Copyrighted Work”). 2. Meishe’s Copyrighted Work is a foreign work as defined by the Copyright Act and a copyright registration is not necessary to bring a claim of copyright infringement under 17 U.S.C. 1 Case 6:21-cv-00504 Document 1 Filed 05/18/21 Page 2 of 18 § 101 and 17 U.S.C. § 104(b)(2). 3. Meishe is a smart video and audio total solution service provider that has been focusing on the development of the video and audio field for 20 years. Meishe’s service content includes intelligent processing, recognition and deep learning of mobile video and audio images, covering customers in various industries such as mobile APP, smart phones, smart hardware, radio and television, and communication operators. -
Analysis of Bytedance with a Close Look on Douyin / Tiktok ——————————————————
—————————————————— Analysis of ByteDance with a close look on Douyin / TikTok —————————————————— Author: Xiaoye SHI Supervisor: Prof. Dr. Didier SORNETTE A thesis submitted to the Department of Management, Technology and Economics (D-MTEC) of the Swiss Federal Institute of Technology Zurich (ETHZ) in partial fulfilment of the requirements for the degree of Master of Science in Management, Technology and Economics June 2019 Acknowledgements I would like to thank my supervisor Prof. Dr. Didier Sornette, who has kindly given me countless guidance and advice throughout the Master thesis. I appreciate the opportunity to work on this interesting topic under the Chair of Entrepreneurial Risks and is deeply grateful for all the help received along the process. I also want to express my deepest gratitude to my parents, who have been supportive and encouraging under all circumstances. Without them, I would not be able to become the person I am today. - 2 - Abstract In 2018, ByteDance, a young Internet company with only 6 years of history, broke out on various news headlines as the highest valued unicorn. With the acquisitions of musical.ly and Flipgram, the company’s flagship product Douyin strikes to develop its global presence under the name TikTok. This thesis analyzed Douyin’s historical growth and revenue model. As a main revenue driver, future user growth is predicted and calibrated by extending the methodology proposed in earlier studies by Cauwels and Sornette. We considered three growth scenarios – base, high and extreme, and estimated Douyin as well as ByteDance’s value based on comparable company analysis. ByteDance’s key performance metrics and multiples were compared with four other firms in the similar industry, Facebook, Weibo, Momo and iQIYI. -
Chinese Sharp Power Are Political and Economic Elites (“Elite Capture”); Media and Public Opinion; and Civil Society, Grassroots, and Academia
A Macdonald-Laurier Institute Publication THE HARD EDGE OF SHARP POWER Understanding China’s Influence Operations Abroad J. Michael Cole October 2018 Board of Directors CHAIR Richard Fadden Pierre Casgrain Former National Security Advisor to the Prime Minister, Director and Corporate Secretary, Ottawa Casgrain & Company Limited, Montreal Brian Flemming VICE-CHAIR International lawyer, writer, and policy advisor, Halifax Laura Jones Robert Fulford Executive Vice-President of the Canadian Federation Former Editor of Saturday Night magazine, of Independent Business, Vancouver columnist with the National Post, Ottawa MANAGING DIRECTOR Wayne Gudbranson Brian Lee Crowley, Ottawa CEO, Branham Group Inc., Ottawa SECRETARY Calvin Helin Vaughn MacLellan Aboriginal author and entrepreneur, Vancouver DLA Piper (Canada) LLP, Toronto Peter John Nicholson TREASURER Inaugural President, Council of Canadian Academies, Martin MacKinnon Annapolis Royal CFO, Black Bull Resources Inc., Halifax Hon. Jim Peterson DIRECTORS Former federal cabinet minister, Blaine Favel Counsel at Fasken Martineau, Toronto Executive Chairman, One Earth Oil and Gas, Calgary Barry Sookman Jayson Myers Senior Partner, McCarthy Tétrault, Toronto Chief Executive Officer, Jayson Myers Public Affairs Inc., Aberfoyle Jacquelyn Thayer Scott Past President and Professor, Cape Breton University, Dan Nowlan Sydney Vice Chair, Investment Banking, National Bank Financial, Toronto Vijay Sappani Co-Founder and Chief Strategy Officer, Research Advisory Board TerrAscend, Mississauga Veso Sobot -
Investing in China: Consumers and Technology Recovering
MAY 2020 Investing in China: Consumers and technology recovering FRANKLIN TEMPLETON THINKSTM EQUITY MARKETS Introduction China has been much in the news recently as it handles the COVID-19 virus, and because of political and trade tensions with the West. We continue to believe China remains a growth opportunity for investors. Indeed, by early-March, the Chinese A-share market hit a 12-month high and was one of the world’s best-performing equity markets. Our emerging markets team was on the cusp of publishing fresh thoughts on China in January when Beijing locked down China’s economy to flatten the COVID-19 infection curve. In scenes that were soon replayed across the globe, factories, offices, restaurants and shops all closed. Although China’s economy is opening again, it’s not back to normal. Companies like Foxconn, which assembles iPhones for Apple, aren’t back to full employment due to sagging global demand. Overall, retail activity is improving, but discretionary spending remains muted, while lingering anxieties over infections are accelerating consumer migration to more online purchases and home deliveries. That said, the macro themes and companies our emerging markets analysts wrote of in January remain relevant to investors looking for growth opportuni- ties today. In the near-term, we believe the business prospects for the companies we highlight have brightened. Whether trade tensions eventually prompt companies like Apple to pull supply chains out of China remains to be seen. This updated discussion offers a window into a post-COVID-19 economic recovery. Stephen Dover, CFA Head of Equities Franklin Templeton 2 Investing in China: Consumers and technology recovering Innovation at work In the wake of the global COVID-19 recession, we believe China’s long-term prospects remain intact. -
Trump's Shakedown of Tiktok, in the Name of National Security
Trump’s shakedown of TikTok, in the name of national security By Larry Edelman Globe Staff, Updated August 3, 2020, 1 hour ago NEW YORK, NEW YORK - AUGUST 03: In this photo illustration, a mobile phone featuring the TikTok app is displayed next to the Microsoft logo on August 03, 2020 in New York City. Under threat of a U.S. ban on the popular social media app, it has been reported that Microsoft is considering taking over from Chinese firm ByteDance. (Photo Illustration by Cindy Ord/Getty Images) CINDY ORD/GETTY Is it possible to see China as a serious threat to the United States while still feeling some unease about the Trump administration’s extortion of Zhang Yiming, the Chinese entrepreneur behind the social media app TikTok? Yes. f ’ ’ b bl h d f ik k l il l h If you’re over 25, you’ve probably never heard of TikTok — at least until recently, when President Trump said he would ban the video-sharing app (think Snapchat or Instagram with more music) in the United States. The stated reason: national security. On Monday, Trump said he would give Zhang and China-based ByteDance, TikTok’s parent company, until Sept. 15 to sell the social media network’s operations here, either to Microsoft, which has stepped forward as the likely buyer, or another bidder. Otherwise he’ll pull the plug on the app. (It’s not clear Trump could prevent American users from accessing TikTok through overseas connections, but that’s a topic for another time.) The administration’s action is predicated on concern that Beijing could force TikTok to turn over personal data on its 100 million American users (out of 800 million worldwide), plant spyware or malware on their mobile phones, or spread pro-Chinese propaganda or disinformation. -
China Transformed Bytedance 1 2
China Transformed ByteDance 1 2 Rui Ma 0 2 Tech Buzz China H T 6 Y A M ByteDance ByteDance is currently the world’s most valuable start-up, with a valuation estimated at $400 billion. Founder Yiming Zhang seized on China’s push to mobile and believed in providing users with machine learning recommendation algorithms that propose relevant information to consumers versus traditional search. The result was ByteDance, a company that is constantly looking to reinvent itself but remains centered around dominant apps such as Douyin, Tik Tok, and Toutiao. US-China Series and our China Transformed Series was joined by Rui Ma – Venture Capital / Early-Stage Investor. Rui has fifteen years of experience in technology and finance, spanning seed stage to pre-IPO investing spread evenly between the U.S. and China. She is also the founder of the media/podcasting company Tech Buzz China. Rui’s deep dive into ByteDance reveals a company that has always trail-blazed. It found funding challenging to come by in the early stages as its products/technologies were new, untested, and went against the grain of copying existing business models from Silicon Valley. This quickly changed with the success of the news app Toutiao, which swiftly grew to 100 million daily active users, contributing to the bulk of the company’s revenues. ByteDance’s willingness to experiment was apparent when implementing many new features in Toutiao, including video content; this innovation set the stage for its biggest success: Douyin. The rest is history. With a possible IPO this year, ByteDance could be worth half a trillion dollars in the post-IPO period. -
Artificial Intelligence and Democratic Norms: Meeting the Authoritarian Challenge
August 2020 SHARP POWER AND DEMOCRATIC RESILIENCE SERIES Artificial Intelligence and Democratic Norms Meeting the Authoritarian Challenge by Nicholas D. Wright ABOUT THE SHARP POWER AND DEMOCRATIC RESILIENCE SERIES As globalization deepens integration between democracies and autocracies, the compromising effects of sharp power—which impairs free expression, neutralizes independent institutions, and distorts the political environment—have grown apparent across crucial sectors of open societies. The Sharp Power and Democratic Resilience series is an effort to systematically analyze the ways in which leading authoritarian regimes seek to manipulate the political landscape and censor independent expression within democratic settings, and to highlight potential civil society responses. ABOUT THE AUTHOR This initiative examines emerging issues in four crucial arenas Dr. Nicholas D. Wright is an affiliated scholar at relating to the integrity and vibrancy of democratic systems: Georgetown University, an honorary senior research • Challenges to free expression and the integrity of the fellow at University College London (UCL), a consultant at media and information space Intelligent Biology, and fellow at New America. His work combines neuroscientific, behavioral, and technological • Threats to intellectual inquiry insights to understand decision making in politics and • Contestation over the principles that govern technology international confrontations in ways practically applicable • Leverage of state-driven capital for political and often to policy. He leads international, interdisciplinary projects corrosive purposes with collaborators in countries including China, the United States, Iran, and the United Kingdom. He was an associate The present era of authoritarian resurgence is taking place during in the Nuclear Policy Program at the Carnegie Endowment a protracted global democratic downturn that has degraded for International Peace. -
Bytedance-Tiktok-Unicorn
How TikTok’s Owner Became The World’s Most Valuable Unicorn cbinsights.com/research/report/bytedance-tiktok-unicorn ByteDance, the China-based unicorn behind the video-sharing app TikTok, was recently valued at up to $140B. Now, the company is leveraging its recommendation algorithms to expand its portfolio in a bid to join the ranks of Big Tech. Get the full report At the end of 2018, Chinese tech startup ByteDance completed a $3B investment round led by SoftBank at a valuation of about $75B — catapulting it to be the most valuable startup in the world. In 2020, investments made in the company reportedly valued it at up to $140B, cementing its high-flying status. Those who are unfamiliar with the name ByteDance have most likely heard of its flagship product, TikTok. As of May 2020, the viral video app has been downloaded approximately 2B times. The onset of the global coronavirus pandemic and the associated lockdowns have further accelerated TikTok’s trajectory. In Q1’20 alone, TikTok accumulated 315M new downloads worldwide — a record-breaking quarter for an individual app, according to Sensor Tower. As of spring 2020, ByteDance operates more than 20 apps in spaces ranging from news and video to music and mobile gaming. Some, like TikTok, are international in scope. Others, like the news aggregator product Toutiao, have so far only been made available in China. With each new product it launches, ByteDance leverages the same 3 key advantages it has cultivated in its core business areas like news curation and short-form video: A young and highly engaged user base. -
Chinese Sharp Power and US Values Diplomacy
Chinese Sharp Power and U.S. Values Diplomacy: How Do They Intersect? Gilbert Rozman 126 | Joint U.S.-Korea Academic Studies On February 27, 2019 a three-way juxtaposition cast a spotlight on China’s mix of soft power and sharp power and President Donald Trump’s conduct of U.S. values diplomacy or lack thereof. The Senate Permanent Subcommittee on Investigations issued its report on China’s Confucius Institutes (more than 100) and Confucius Classrooms ( more than 500) in American universities and schools; Michael Cohen testified before the House Oversight Committee on the character and potential crimes of Trump; and Trump began what was to be an abortive two-day summit with North Korean chairman Kim Jong-un in Hanoi with strong backing from China’s president Xi Jinping. Unmistakable images were left with observers. China had forsaken an opportunity for cultivating an appealing, soft power image as the custodian of the legacy of Confucian values (champion of education, meritocracy, family values, and hard work—ideals that had underscored the rise of “Confucian capitalism” across East Asia), for an ideological agenda that gave rise to “pervasive, long-term initiatives against both government critics at home and businesses and academic institutions abroad,” criticism of which Chinese media blamed only on “either fear or ignorance of other cultures.”1 If the State Department had called them “China’s most powerful soft power platforms,”2 they were increasingly being seen as agents of censorship or propaganda as part of taking advantage of open academic environments to steal sensitive research as well as to create an atmosphere conducive to the exercise of sharp power.