TikTok’s parent company, ByteDance is reportedly in early talks with Mukesh Ambani-owned Reliance Industries. Citing sources, TechCrunch has reported that the company is looking for a potential investment in the short video sharing platform. According to the report, both companies have been having conversations since late last month but are yet to arrive at a deal.
To jog your memory, the government of India banned 59 apps in the country on June 29th, and TikTok was among the most popular ones to get the axe. Ever since then, a lot of alternatives to the short video sharing platform have cropped up including Instagram’s Reels. With the new potential investment from Reliance, ByteDance is hoping to find a way back into one of its largest markets.
ByteDance in talks with Reliance for potential investment in TikTok
Notably, India is TikTok’s largest market outside of China with more than 200 million Indian users on the platform. According to the report, the Indian operation of TikTok employs over 2,000 people in the country. This move of seeking Reliance Industries Limited’s backing in the platform is the means to safeguard the interest of its employees as well as the user base in the country.
As per the source, ByteDance has already lost several key employees in India. Rohan Mishra who headed Helo app’s India operation and a handful of key executives have already left the company. ByteDance has assured its employees that it’s in talks with the government and has no plans to layoff employees in the country.
According to the report, the Indian operation of TikTok has been valued at more than $3 billion as cited by anonymous sources. However, at the time of writing this, there has been no official announcement from both companies. A recent report also revealed that the ByteDance was in talks with Microsoft to sell its business in the US and select markets like Europe and India.
It will be interesting to see how things develop in this regard. We will update as soon as there is some new development, so stay tuned.