financetom
Business
financetom
/
Business
/
Factbox: Facebook and TikTok's fraught history
News World Market Environment Technology Personal Finance Politics Retail Business Economy Cryptocurrency Forex Stocks Market Commodities
Factbox: Facebook and TikTok's fraught history
Aug 5, 2020 11:10 PM

Facebook's escalated a bruising fight with TikTok with the launch on Wednesday of its new short-video feature Reels, a look-alike service embedded within its popular Instagram app.

The debut arrived at a fraught moment for TikTok, which has come under threat of a ban by the White House, prompting China's ByteDance to weigh a sale of the app's US operations to Microsoft.

Here is a look at the tense tangle between heavyweight Facebook and upstart TikTok.

* Before China's ByteDance acquired Shanghai-based startup Musical.ly in 2017 and turned it into TikTok, Facebook Chief Executive Mark Zuckerberg tried to buy the app, BuzzFeed has reported. A source familiar with the effort confirmed the talks to Reuters. Discussions ultimately stalled, and by 2018 Facebook executives believed TikTok was not retaining US users long-term, another source said.

* In mid-2018, ByteDance began an aggressive push aimed at growing TikTok's US footprint, surging app-install ads on Facebook's ad network. At the peak, it was responsible for nearly 22 percent of all such ads on US Apple devices, according to data from Sensor Tower. It cut back drastically in 2019 once TikTok gained a teenage following and shifted to building an ads business to compete against Facebook.

* As Facebook came under pressure in Washington, it pushed back on calls to regulate US tech companies by invoking the specter of an internet dominated by Chinese firms. Zuckerberg warned in a speech last year that China was "exporting their vision of the internet to other countries." The US government initiated a national security review of Utterance's Musical.ly acquisition late last year, after lawmakers expressed concerns around data security and censorship.

* With the launch of Reels, Facebook is offering similar functionality to TikTok from within Instagram, which already boasts vast user numbers. The company recruited young TikTok stars to use the new service ahead of its launch, offering to cover production costs. In a blog post, TikTok's chief executive dismissed Reels as a "copycat product" and slammed Facebook for its "maligning attacks ... disguised as patriotism."

First Published:Aug 6, 2020 8:10 AM IST

Comments
Welcome to financetom comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
Related Articles >
Citi profit jumps 42% as market volatility lifts trading revenue
Citi profit jumps 42% as market volatility lifts trading revenue
Apr 14, 2026
April 14 (Reuters) - Citigroup's ( C ) first-quarter profit rose 42% as geopolitical tensions fueled market volatility and trading revenue, while strong dealmaking buoyed investment banking fees. Trading desks benefited from heightened volatility across asset classes as the U.S.-Israeli war on Iran escalated tensions in the Middle East and obstructed oil shipping through the Strait of Hormuz, while concerns...
Amazon signs $11.57 billion deal for satellite firm Globalstar to challenge Starlink
Amazon signs $11.57 billion deal for satellite firm Globalstar to challenge Starlink
Apr 14, 2026
April 14 (Reuters) - Amazon.com ( AMZN ) said on Tuesday it would acquire Globalstar ( GSAT ) in an $11.57 billion deal, bolstering its fledgling satellite business to take on bigger rival SpaceX's Starlink. ...
Chemtrade Exploring Alternatives After Rejection of Rezoning Application for North Vancouver Chlor-Alkali Facility
Chemtrade Exploring Alternatives After Rejection of Rezoning Application for North Vancouver Chlor-Alkali Facility
Apr 14, 2026
08:03 AM EDT, 04/14/2026 (MT Newswires) -- Chemtrade Logistics Income Fund (CHE-UN.TO) said Tuesday that it is exploring legal action and other alternatives after the District of North Vancouver Council rejected the company's rezoning application for the North Vancouver chlor-alkali facility. The company said the rezoning would have allowed safety upgrades and continued liquid chlorine production at the facility beyond...
BRIEF-Amazon To Acquire Globalstar And Expand Amazon Leo Satellite Network
BRIEF-Amazon To Acquire Globalstar And Expand Amazon Leo Satellite Network
Apr 14, 2026
April 14 (Reuters) - Amazon.com Inc ( AMZN ): * AMAZON TO ACQUIRE GLOBALSTAR AND EXPAND AMAZON LEO SATELLITE NETWORK * GLOBALSTAR ( GSAT ): STOCKHOLDERS TO ELECT TO GET EITHER $90.00 IN CASH OR 0.3210 SHARES OF AMAZON STOCK WITH VALUE CAPPED AT $90.00/SHARE FOR EACH CO'S STOCK * GLOBALSTAR ( GSAT ): AMAZON AND APPLE SIGNED AN AGREEMENT...
Copyright 2023-2026 - www.financetom.com All Rights Reserved