TIKTOK HAS SUFFERED THOUSANDS OF CRORE LOSS AFTER BAN BY INDIA! - DETAILS

The Indian government on Monday banned the use of 59 Chinese applications. This move was expected to cause huge financial loss to the China based businesses.

TikTok’s parent company, ByteDance is expected to suffer a loss of Rs.45,000 crore (USD 6 billion) following this ban. Much similar to what was expected, China’s state-run media, The Global Times also reported that ByteDance is to lose up to 6 Billion USD as a result of the Indian government’s decision.

Despite the losses that the parent company is to incur, India was not the country that was generating the highest revenue for the company. But India was in the top few countries where downloads were the highest. The Global Times reported that the parent company had invested USD 1 billion for the Indian market and that this decision will cause a huge fall for them.

A report submitted by a mobile application analysis company stated that the TikTok application was downloaded 112 million times in May 2020 of which 20% downloads were from India.

The decision for the Indian government to ban Chinese applications including TikTok, SHAREit, UC Browser, Club Factory, WeChat, and so on, came earlier on Monday. The Union Law, Electronics and Information Minister, justified this decision by saying that it was for maintaining safety, sovereignty, and integrity of India.

His tweet read, "For safety, security, defence, sovereignty & integrity of India and to protect data & privacy of people of India the Government has banned 59 mobile apps. Jai Hind!”

A week ago, Indian and Chinese soldiers were up against one-another in a violent encounter which resulted in the martyrdom of 20 Indian soldiers and 43 Chinese soldiers.