ByteDance reverses exit from the video game sector in the face of possible TikTok veto – Technology

The Chinese company ByteDance, creator of TikTok, plans to return to the video game industry, a few months after retreating, amid fears of a ban on the short video application in the United States.

According to an internal circular published by the economic news portal Caixin, ByteDance will monitor the development of the sector and continue to “explore” the video game business, a segment for which it will appoint its former head of human resources.

In November, the technology company decided to cancel all projects in its Nuverse video game division and sell the rights and operations of the most profitable titles to other companies.

However, the possible ban on TikTok in the US – the bill passed the House of Representatives but still has to pass the Senate before President Joe Biden can sign it into law – has caused the company to change its mind.

The bill, which was approved with 352 votes in favor and 65 against in the lower house of the US parliament, requires ByteDance to divest from TikTok to avoid a ban on the short video platform in the United States, amid accusations that constitutes a threat to national security due to the possibility of the Chinese Government accessing user data and being able to influence elections.

TikTok’s executive director, Shou Zi Chew, expressed disappointment on Thursday with the possible veto, while Chinese authorities – who prohibit the use of North American services such as Google, Facebook, Instagram, X, WhatsApp or YouTube on their territory – classified it as an “act of injustice” and a pretext to “oppress successful foreign companies”.