TikTok parent company has a recent app – it might be banned, too
When life gives you lemons, launch Lemon8. No less than, that’s the playbook ByteDance appears to be following.
The Chinese company – which also owns TikTok – is planning to launch its recent enterprise Lemon8 in May, in keeping with an Insider report. The app features pictures and text and is described as a cross between Instagram and Pinterest, the report adds.
At the same time as it faces a possible ban within the U.S., ByteDance is constant to woo creators – targeting many micro influencers with as few as 10,000 followers – and paying them to start out posting every day on Lemon8, On The Money confirmed.
But when laws forcing a divestiture or entirely banning Chinese-owned apps like TikTok passes, Lemon8 could be banned, too. ByteDance’s investment in a recent platform – while the fate of TikTok hangs within the balance – has some wondering why the Chinese company is pouring more cash into an organization during such an uncertain time.
Under the 2 most outstanding pieces of laws – one proposed by Sen. Marco Rubio (R-Fla.) and one other proposed by Sen. Mark Warner (D-Va.) – Lemon8 could be banned as a security concern, sources told On The Money.
But clearly ByteDance is either confident the chaos will end in a stalemate once more or that they stand to make more cash by selling off a fair more invaluable asset, sources add.
ByteDance is planning to launch its recent enterprise Lemon8 in May
“It is a pivotal time for TikTok to defend it’s turf… it’s a critical time to not cede market share to competitors,” Wedbush analyst Dan Ives told On The Money. “Irrespective of what happens, the worth of the asset could decline significantly in the event that they stop investing.”
Ives notes short-term investment could fetch Lemon8 a greater price whether it is eventually sold.
And Bytedance continues to be investing – they’re even continuing to rent at each TikTok and Lemon8, in keeping with job boards reviewed by On The Money.
Others note even when a ban does occur, it is going to take sometime to truly go into effect.
“It’s taken 4 years since Trump’s first EO and we aren’t any closer to banning it” one D.C. source acquainted with the discussions told The Post. “They’ve allies on all sides of the aisle… So that they’re moving ahead as a tech company that desires to construct an entire rival to Meta.”
“They’re betting that they’re going to have the ability to fight this in court if and when that is banned – they’re not going to take this lying down,” Ives adds.
