White House adviser Navarro suggests Microsoft divest its China holdings

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White House trade adviser Peter Navarro suggested on Monday that Microsoft Corp could divest its holdings in China if it were to buy the Chinese possessed short-video program TikTok.

“So the question is, is Microsoft going to be compromised?” Navarro stated in an interview with CNN.

President Donald J Trump has agreed to provide China’s ByteDance 45 days to negotiate a sale of hot short-video program TikTok to Microsoft Corp, three individuals knowledgeable about the issue said on Sunday.

US officials have said TikTok, under its Chinese parent ByteDance, poses a significant national risk due to the personal data it handles. Trump said olate last week that he was planning to prohibit TikTok at the US after dismissing the notion of a sale to Microsoft.

In a previous interview with Fox News Channel, Navarro said any possible buyer of TikTok that has operations in China could be a problem.

Navarro cited Microsoft’s Bing search engine and Skype platform, saying they “effectively are enablers of Chinese censorship, surveillance and monitoring.”

Microsoft has workers in China and offices in Beijing, Shanghai and Suzhou.

While the business has been around for decades, business by China accounts for just over 1 percent of the company’s earnings, Bloomberg reported Microsoft President and Chief Legal Officer Brad Smith stating at a conference in January.

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Piracy of Windows and Office formerly prevented the company’s cash cow from bringing in cash.

The company is currently pushing against its Azure cloud service to clients in China, via a partnership with local data service supplier 21Vianet.

Its crown jewel is a study centre in Beijing, that has produced quite a few alumni who have gone on to executive positions in Alibaba, ByteDance, Xiaomi, along with facial recognition unicorns Sensetime and Megvii.

It was the site of origin to get the so-called”ResNet” newspaper, currently the most-cited AI newspaper according to Google scholar metrics

The team at Platform Executive hope you have enjoyed the ‘White House adviser Navarro suggests Microsoft divest its China holdings‘ article. Initial reporting via our content partners at Thomson Reuters. Reporting by Doina Chiacu, Susan Heavey and Pete Schroeder. Additional reporting by Josh Horwitz. Editing by Nick Zieminski and Christopher Cushing.

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