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Tencent In Talks With USA To Keep Its Riot & Epic Stakes

As we all know, giant Chinese tech company Tencent has its hands and fingers on every tech pie worldwide. Chief among them is Epic and Riot Games, as the conglomerate has stakes in both companies.

A new Reuters report states that Tencent Holdings is talking with the United States’ Committee on Foreign Investment since late 2020 to make sure it can keep its stakes in Riot Games and Epic Games. Basically, the US committee can force the Chinese company to pull out from both companies. Currently, Tencent owns the whole of Riot Games and owns 40 percent stake in Epic Games.

Why are they doing this? For the interest of national security, of course: it needs Tencent to prove that its handling of US personal data is not posing a threat to USA. Tencent is currently negotiating risk-mitigation measures, though this is pretty vague at this point in time.

The USA’s Biden administration seems to be cautious around China, especially on personal data that Tencent has via its many games and apps. So far, both Riot Games and Epic Games said that they have not shared user data with Tencent.

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