Shou Zi Chew – Tech | Business | Economy https://techeconomy.ng Tech | Business | Economy Tue, 02 Sep 2025 11:46:17 +0000 en-GB hourly 1 https://wordpress.org/?v=7.0 https://techeconomy.ng/wp-content/uploads/2025/06/cropped-256Px-32x32.png Shou Zi Chew – Tech | Business | Economy https://techeconomy.ng 32 32 TikTok, Meta Summoned Over Delays Tackling Harmful Online Content in Malaysia https://techeconomy.ng/tiktok-meta-malaysia-harmful-online-content/ https://techeconomy.ng/tiktok-meta-malaysia-harmful-online-content/#comments Tue, 02 Sep 2025 11:46:17 +0000 https://techeconomy.ng/?p=166328 Malaysian authorities have summoned the leadership of TikTok and Meta after accusing both companies of failing to act quickly against harmful and misleading content spreading on their platforms.

The decision follows cases within government circles over what they describe as a “pattern of negligence” by social media firms in responding to police requests. Communications Minister Fahmi Fadzil criticised TikTok’s response times.

TikTok was very slow in providing information… to the point that I had to call TikTok CEO Shou Zi Chew to inform him, ‘this is a crime that’s being committed and your organisation is very slow’,” Fahmi said, warning that such behaviour would not be tolerated.

The trigger for this confrontation was a viral TikTok video in which a man falsely claimed to be a pathologist working on the investigation into the death of Zara Qairina Mahathir, a case that has attracted public attention. Authorities say TikTok’s delay in handling the matter forced the minister to personally intervene.

Top executives of TikTok are expected to appear at Malaysia’s federal police headquarters, Bukit Aman, on Thursday. The Inspector-General of Police and the Attorney-General will also attend the meeting.

Meta has not been spared as the company, which owns Facebook, Instagram, and WhatsApp, is being summoned over disturbing materials linked to paedophilia that spread across its platforms, including content uncovered during a cybercrime operation known as Operation Pedo

Authorities have specifically flagged an online group called Geng Budak Sekolah, which circulated indecent content targeting children.

The Malaysian government has classified several categories of online activity as harmful. These include gambling, scams, child pornography and grooming, cyberbullying, and content linked to race, religion, and royalty. Officials argue that these categories pose both social and national security risks.

Fahmi has insisted that every platform must comply with local laws and respond quickly to enforcement requests. “We see these platforms are not taking the matter seriously, so the dialogue process will continue, and we will stress that Malaysian law applies to them and they must comply. We will summon every platform,” he said.

At the Al Grand Prix Conference 2025, Fahmi also disclosed that Malaysia is considering mandatory identity verification for all online sales and advertising. The proposal is intended to limit fake accounts, deepfakes, and fraud. Singapore already enforces a similar policy, and Malaysia is positioning itself to follow that model.

The issue aligns with international trends where Governments from India to Indonesia, and even within the European Union, are tightening regulations on global tech giants, imposing fines, and in some cases threatening outright bans for non-compliance.

Neither TikTok nor Meta has issued an immediate public response to Malaysia’s latest move.

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Perplexity AI Proposes Merger Deal with TikTok, Offering U.S. Government Stake https://techeconomy.ng/perplexity-ai-proposes-merger-deal-with-tiktok/ https://techeconomy.ng/perplexity-ai-proposes-merger-deal-with-tiktok/#respond Mon, 27 Jan 2025 09:37:35 +0000 https://techeconomy.ng/?p=151926 Perplexity AI has put forward a revised merger proposal to the parent company of TikTok, ByteDance, that could see the United States government owning up to 50% of a newly formed entity. 

This proposal, which follows months of anticipation surrounding TikTok’s operations in the U.S., aims to address national security issues while maintaining TikTok’s presence in the country.

The proposal suggests creating a new U.S.-based company that would combine Perplexity AI, TikTok’s U.S. operations, and contributions from additional investors. 

The U.S. government’s stake in the entity would materialise after an initial public offering (IPO) valued at no less than $300 million, according to details shared with investors and reported by The Associated Press. ByteDance, TikTok’s current Chinese owner, could retain a portion of its ownership under this structure.

The revised plan comes after feedback from the Trump administration, which points to TikTok’s data security and its ties to ByteDance. 

President Donald Trump has previously revealed his preference for a U.S. stakeholder to acquire TikTok and showed interest in the government receiving a significant ownership share. “I’d like to see the U.S. government get 50% ownership,” Trump said earlier this month, though it’s not yet certain whether he was referring to government ownership or the U.S. investor participation.

The merger plan places Perplexity AI, a growing company in the artificial intelligence space, to play a fundamental role in the future of TikTok. 

A source familiar with the deal noted that Perplexity’s pitch involves maintaining TikTok’s core video-sharing functionalities while ensuring stricter governance and compliance measures. ByteDance’s recommendation algorithm, however, is excluded from the deal, as it is considered a vital proprietary asset.

The financial framework for the merger includes funding from new capital providers, who would facilitate a one-time dividend payment to ByteDance’s existing investors and support the new company’s growth. 

Even with ByteDance’s public reluctance to sell TikTok’s U.S. operations outright, this proposed merger—rather than a sale—could make the deal more appealing to the Chinese company, sources say.

While the discussions are ongoing, other companies, including Oracle, Microsoft, and possibly Elon Musk, are reportedly exploring similar acquisition opportunities for TikTok. President Trump has promised a final decision on TikTok’s future in the U.S. within the next 30 days.

TikTok CEO Shou Zi Chew, in a recent video posted on the platform, was positive about resolving the situation: “I want to thank President Trump for his commitment to work with us to find a solution that keeps TikTok available in the United States.”

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TikTok Resumes Services in the U.S. Following Trump’s Assurance https://techeconomy.ng/tiktok-resumes-services-in-the-u-s-following-trumps-assurance/ https://techeconomy.ng/tiktok-resumes-services-in-the-u-s-following-trumps-assurance/#respond Mon, 20 Jan 2025 09:42:26 +0000 https://techeconomy.ng/?p=151521 TikTok has begun restoring access to its services across the United States following assurances from President-elect Donald Trump to secure the platform’s operations in the country. 

The app, which serves over 170 million American users, was temporarily shutdown over the weekend after a law banning its operations took effect, pointing to national security issues tied to its Chinese parent company, ByteDance.

In a statement, TikTok announced that it was working with its service providers to bring the platform back online with gratitude to President Trump for his promise to resolve the issue. 

The company added, “TikTok is deeply appreciated by millions of Americans and supports countless small businesses. We look forward to finalising a solution that ensures its continued operation.”

President Trump plans to issue an executive order on Monday, delaying the enforcement of the ban to allow time for negotiations. He proposed a joint venture where U.S. investors would hold a 50% stake in TikTok, ensuring the app aligns with national security interests. 

Trump stated, “TikTok is nothing without U.S. approval, but with it, the platform’s value soars. We’re taking steps to protect data security while preserving a service loved by millions.”

This approach is a shift from Trump’s earlier stand in 2020, when he attempted to ban TikTok outright over allegations of data sharing with the Chinese government. Now, he acknowledges the app’s influence, particularly in engaging younger audiences during his recent presidential campaign.

TikTok’s shutdown over the weekend revealed the issues between the U.S. and China over data privacy and technology. China’s Ministry of Foreign Affairs urged the U.S. to provide a fair business environment for TikTok, with spokesperson Mao Ning commenting, “We hope the U.S. makes decisions based on reason and does not discriminate against foreign firms.”

The ban, enforced under bipartisan legislation, resulted from the prospective misuse of American user data by ByteDance. Lawmakers had given the company a deadline to either divest its U.S. operations or face a ban. ByteDance had previously explored selling TikTok’s U.S. assets to companies like Oracle and Walmart in 2020.

The disruption caused worries among TikTok users and businesses that rely on the platform for income. Social media was flooded with posts from users frustrated and uncertain, while marketing firms reliant on TikTok’s advertising ecosystem rushed to implement contingency plans.

Again, searches for virtual private networks (VPNs) surged as users sought alternative ways to access the app. Rival platforms like Meta and Snap have seen increased user engagement and investor interest as speculation about TikTok’s future continues.

Trump’s proposed joint venture could serve as a blueprint for resolving disputes surrounding other Chinese-owned apps operating in the U.S. However, lawmakers and ByteDance still need to agree to the terms. 

Meanwhile, TikTok CEO Shou Zi Chew has reportedly been invited to attend Trump’s inauguration, noting the administration’s focus on resolving the issue amicably.

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French Families Sue TikTok, Alleging Harmful Content Led to Teen Suicides https://techeconomy.ng/french-families-sue-tiktok-alleging-harmful-content-led-to-teen-suicides/ https://techeconomy.ng/french-families-sue-tiktok-alleging-harmful-content-led-to-teen-suicides/#respond Mon, 04 Nov 2024 11:23:26 +0000 https://techeconomy.ng/?p=146937 Seven families in France have launched legal proceedings against TikTok, accusing the social media platform of exposing their teenage children to harmful content, allegedly resulting in two suicides among 15-year-olds. 

Represented by lawyer Laure Boutron-Marmion, the families claim that TikTok’s algorithm presented the teenagers with disturbing videos, including those promoting suicide, self-harm, and eating disorders.

This lawsuit, filed in the Créteil judicial court, is reportedly the first of its kind in Europe to unite families in a case against TikTok. 

The plaintiffs argue that TikTok should be held legally responsible for the content delivered to its users, particularly as the platform attracts many underage consumers. 

Boutron-Marmion noted that the platform, as a commercial entity, should address the “deficiencies” in the service it provides to vulnerable, young users.

TikTok, alongside other major social media platforms like Meta’s Facebook and Instagram, has been under fire for the mental health impact of its content on young people. 

Numerous lawsuits in the United States accuse these companies of designing addictive platforms that influence the mental well-being of children and adolescents.

TikTok has not yet commented on the French families’ legal claims. However, the platform has previously said it is focused on safeguarding young users, with CEO Shou Zi Chew pointing to recent investments aimed at bolstering protections for minors on the app.

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