Why TikTok’s Own Investors Won’t Defend It; A Robotics Renaissance

Legislation headed for the Senate that could ban TikTok is putting some U.S. venture capitalists in an uncomfortable position. Those with stakes in TikTok’s parent ByteDance could lobby in support of TikTok, prioritizing future returns. Or they could stay quiet, protecting both their relationships with policymakers and their reputations, as the pressure to appear patriotic increases in Silicon Valley. 

Their apparent reaction so far—silence, with the exception of Susquehanna International Group co-founder Jeff Yass, a large ByteDance investor—says a lot about how the climate and the venture capital focus have changed since 2020. As one investor told me, these days, “AI is the priority for VC, not standing up for TikTok.” In fact, this week’s hot topic in VC land was a renaissance for robotics, not the embattled video-sharing app. After all, robots are a lot more fun than that geopolitical hornet’s nest!