US government opens investigation into TikTok over two year old acquisition of ...

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Government opens probe into TikTok's Chinese parent company over its 2017 acquisition of Musical.ly, the once popular lip-sync app for smartphones The Committee on Foreign Investments in the US is investigating TikTok  The investigation will focus on the 2017 acquisition of Musical.ly After the $800 million acquisition, TikTok folded Musical.ly into its own app

By Michael Thomsen For Dailymail.com

Published: 18:14 GMT, 1 November 2019 | Updated: 19:32 GMT, 1 November 2019

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The US government has opened an investigation into ByteDance, the Chinese parent company behind the hit lip-sync app TikTok.

The investigation will look into ByteDance’s 2017 acquisition of Musical.ly, a once popular karaoke app that was developed in Shanghai and later became TikTok, moving its offices to Santa Monica in 2016.

The cost of the acquisition was estimated to be $800 million and led to the closure of Musical.ly as a standalone app.

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The investigation will be run through the Committee on Foreign Investments in the United States (CIFIUS), which reports to the Treasury Department, according to a report from CNBC.

The Committee has not released any statements concerning the investigation or what prompted it.

In response to the news a TikTok spokesperson released a statement to CNBC.

‘While we cannot comment on ongoing regulatory processes, TikTok has made clear that we have no higher priority than earning the trust of users and regulators in the U.S. Part of that effort includes working with Congress and we are committed to doing so,’ the TikTok spokesperson said.

In 2018, congress voted to expand the authority of CIFIUS, specifically citing concern for China, among other counties, as a potential bad actor.

WHAT IS TIK TOK?

Tik Tok is a Chinese social media app where users can live stream, create short videos and music videos and

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