Following their actions against TikTok, word is the Trump administration is now
scrutinizing companies with backing from Chinese conglomerate Tencent, including
Epic Games and Riot.
reports the details:
The Trump administration has asked
gaming companies to provide information about their data-security protocols
involving Chinese technology giant Tencent Holdings Ltd., people familiar with
the matter said.
The Committee on Foreign Investment in the U.S., which is chaired by the
Treasury Department, has sent letters to companies, including Epic Games Inc.,
Riot Games and others, to inquire about their security protocols in handling
Americans’ personal data, said the people, who asked not to be named because the
discussions are private.
Tencent, the world’s largest gaming company, owns Los Angeles-based Riot and has
a 40% stake in Epic, which is the maker of the popular video game Fortnite.
Representatives for the companies declined to comment or didn’t immediately
respond. The Treasury Department declined to comment.
The inquiry builds on the Trump administration’s heightened scrutiny of Chinese
companies and their ties to U.S. firms -- a source of fresh tension with the
Beijing government and a pillar of President Donald Trump’s reelection campaign.
Tencent’s American Depositary Receipts fell 2.4% to $66.66 on the news.