Two prominent state-run media outlets in China have called the current Tiktok US deal between ByteDance, Oracle and Walmart "dirty" and "unpalatable".
The editorial boards of state-run publications China Daily and the Global Times criticized the current deal that allows the Chinese-owned short-form video app TikTok. They are calling for the Chinese government to stop the deal from being completed.
Tiktok US deal
Details of the tentative deal between TikTok parent company ByteDance, Oracle and Walmart, have been causing confusion the past several days.
Initially, the proposed deal between ByteDance and Oracle will enable the Chinese tech firm to retain a majority share in TikTok
According to a person familiar with the deal, if the deal gets approved, TikTok would become a global company with headquarters in the US while its user data will be hosted and its code will be reviewed for security by Oracle.
Additionally, Walmart may still be part of the deal as a minority stakeholder and e-commerce partner but there is still no final decision on the matter.
Meanwhile, US President Donald Trump said he was "not going to be happy" if the deal for video sharing app TikTok would leave Chinese firm ByteDance as its majority owner.
According to Trump, he has not seen the details of the deal but he would "conceptually" be opposed to allowing ByteDance to retain a controlling share of TikTok.
The US president said: "Conceptually, I can tell you I don’t like that,” he said. “If that’s the case, I’m not going to be happy with that." Trump has since touted that investors Walmart and Oracle would "own the controlling interest."
Reports have stated that a new US entity will be established, called TikTok Global, and will be partially owned by ByteDance's international and Chinese investors. Howver, ByteDance itself will hold no stake in the company to be created by the deal to run the app outside of China.
Chinese media on TikTok deal
In an editorial published on Wednesday, China Daily wrote: "What the United States has done to TikTok is almost the same as a gangster forcing an unreasonable and unfair business deal on a legitimate company."
The publication called the deal a "dirty and underhanded trick."
China Daily added: "It seems as if TikTok can remain in the US. But only if ByteDance allows Oracle and Walmart to effectively take over the company. China has no reason to give the green light to such a deal."
On the other hand, the state-run tabloid Global Times expressed opposition to the deal in two editorials this week, urging Chinese regulators to block it.
The publication wrote in one editorial: "It's hard for us to believe that Beijing will approve such an agreement." In another piece, the Global Times said: "TikTok extortion deal is unpalatable gambit. We should not let Washington control the lifeline of China's technological development in the future. "
The editorials published by both media outlets were written in English, indicating that they were intended for an overseas audience. In China, state media editorials are used as trial balloons for ideas, or to send a message to Western governments.
