The siege of Donald Trump’s administration of Chinese companies in the US appears to be increasing. The Committee on Foreign Investment in the United States (CFIUS, the Committee on Foreign Investment in the United States) has sent letters to companies linked to Chinese technology giant Tencent asking about their security protocols for handling US consumer data.
According to Bloomberg, among the companies questioned are Riot Games, creator of League of Legends and owned by Tencent, and Epic Games, creator of Fortnite, since the Chinese company owns 40% of its shares. CFIUS ‘mission is to investigate acquisitions of US companies by foreign companies in search of US national security risks. The body has the authority to investigate both acquisitions and investments, and can recommend the president to block or undo agreements.
Tencent has a stake in many other technology companies, including Snap (from Snapchat), Blizzard (from Overwatch, Diablo and World of Warcraft) and Spotify. One of its apps, WeChat, was subject to the same sanctions imposed on TikTok and threatened with a ban in the US from this Sunday (20), something that did not happen because a judge of the district court of So Francisco, in California, answered to a request filed by a group of users and temporarily suspended the order of US President Donald Trump.
WeChat is one of the biggest apps in the world and can be considered the first “super app” that is known. Not just because of the huge user base – it is estimated that more than 1.5 billion people use the app; its overwhelming majority in China – but also because of the large number of services concentrated by it. In addition to serving as an instant communicator, WeChat already processes, for example, a large part of China’s financial transactions.
Riot epic games Tencent wechat USA vs. China