ByteDance faces mounting pressure as TikTok's US ban deadline approaches on April 5, creating uncertainty for the platform's future in America. The ban would require Chinese owners to sell TikTok's US operations to American entities over national security concerns.

US investors are actively pursuing deals, but ByteDance remains resistant to relinquishing control. While the company favors a potential arrangement with Oracle, both ByteDance and the Chinese government have shown reluctance to surrender meaningful control of the platform's operations or its valuable algorithms.

The ongoing uncertainty has impacted TikTok's advertising landscape:

• Ad prices have dropped significantly
• Some brands have paused or reduced spending
• Competitors like Meta's Reels and YouTube Shorts are attracting displaced advertisers
• Agencies are redirecting client budgets to more stable platforms

TikTok claims to retain "almost 100%" of previous US advertisers, according to Adolfo Fernandez, global head of product strategy. However, industry professionals report decreased spending and growing hesitancy among clients. Agency Wpromote notes that concerns about the potential ban are deterring new campaign testing.

The Chinese government's recent criticism of CK Hutchison's US port sale as a "betrayal of China" further suggests resistance to American deals. As the deadline approaches, TikTok's competitors are actively positioning themselves to capture users, creators, and advertising dollars that may be displaced by a potential ban.

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