Deepwater Asset Management managing partner Doug Clinton has expressed a different view from his colleague Gene Munster on the potential outcome of the TikTok ban.
What Happened: In an episode of DeepTech315 posted on Thursday, Munster and Clinton discussed the potential ban of TikTok in the U.S. due to national security concerns. Munster believes that the most likely outcome is a sale, while Clinton disagrees.
During the conversation, Munster highlighted the unprecedented 84% vote in the House in favor of banning TikTok if it is not sold. He also provided context on TikTok’s U.S. business, which boasts 170 million users spending an average of 80 minutes daily on the platform.
Clinton pointed out that there has been evidence reported over the last few years of TikTok’s differential treatment of U.S. and Chinese users, suggesting potential espionage or manipulation.
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Munster predicted that the news flow around TikTok will likely cool down in the coming months, with discussions about potential buyers or corporate groups gaining momentum.
He then asked Clinton to weigh in on the three potential outcomes: no change, a ban, or a sale.
“I say most favorable odds, most likely outcome is a sale, of the three,” Clinton said.
“Okay, I got a sale at 25%, 50% chance that nothing happens which leaves 25% on a ban,” Munster responded.
Why It Matters: The potential ban of TikTok has been a hot topic in the U.S. political and tech spheres. The House of Representatives recently passed a bill that would force the sale of TikTok by its Chinese owners or face a ban in the U.S. This bill is now headed to the Senate, where it will be further debated.
Former President Donald Trump has repeatedly voiced his opposition to a potential TikTok ban, citing the benefits it would bring to Meta Platforms Inc META Facebook and its CEO Mark Zuckerberg.
Meanwhile, TikTok has been mapping out strategies to stop the U.S. ban efforts, although President Joe Biden has indicated that he is ready to sign the bill.
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Disclaimer: This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.
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