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But isn't it more likely that said Chinese company will have little to none leverage in the talks, because the choice is between getting banned or getting bought at a token (read: undervalued) price?

That assumes the buyers aren't in competition with each other, and just one possible buyer is pre-chosen.

Potentially but their negotiating position is shutting down completely which would be a loss for a potential acquiring company. I'm sure that TT stole some users from YT, IG, and Tumblr but largely creators are posting everywhere so their existence just increases the size of the pie.

Selling paranoia is good business these days.

If you can build a huge viral app, you’re already a billionaire.