Chinese company ByteDance is unsure when it will be allowed to do business in India again and after that the company has started retrenching in India with a team of more than 2000 employees. Bytdance has told employees about its decision on Wednesday, several months after the company’s popular mobile app TicTalk Video was banned.
This step has been taken at a time when India has decided to continue the ban on Tiktok and 58 other Chinese apps this month. The government has announced the continuation of the ban after the companies have received answers regarding privacy and other rules. Last year, after tension on the Line of Actual Control increased, India decided to ban Chinese apps.
Bytdance wrote in a memo to employees, “Initially we expected this situation to last for some time, but we found that it did not. So while our apps are not operating, we cannot hire all employees. We do not know when there will be a comeback in India. ”
In a statement, the company said that it is disappointed that despite several attempts, it has not been clearly told when and how its apps can be restarted. The company has not said how many employees will be employed. Prior to the ban, India was one of the biggest markets for TikTalk and in 2019, ByteDance planned a $ 1 billion investment in India.
Last year, the Indian government, banning these apps, called them a threat to the unity, sovereignty and security of the country. On June 15, 20 Indian soldiers were killed in a violent clash between Indian and Chinese soldiers in the Galvan Valley in eastern Ladakh. The Indian government then started the process of banning China’s apps. The government’s move was also described as a digital surgical strike on China.