Trump banning Fortnite, LOL and other Tencent holdings may well be on the cards after WeChat and TikTok were shown the door.
Just when you thought 2020 could not get any worse, it still just might! Especially if you are League of Legends or Fortnite fan anyway…
Trump banning Fortnite? What is the deal?
Reports from Bloomberg released on the 18th of September have bad news in store for gamers in the US. The report states that the CFIUS has asked for info from both Epic and Riot games about their data collection methods for American users.
Now, Trump banning Fortnite isn’t on the cards as of yet. In fact, if the reports that the CFIUS will receive are acceptable, there should not be an issue. However, in matters related to the Trade War, the USA has followed a policy of strict action and zero tolerance in the past. So, it is a little hard to very hopeful.
Are only Fortnite & League of Legends at risk?
The simple answer to that question would be NO. You see, the US govt. has nothing against these games in particular. However, it does have a problem against Chinese companies like Tencent or Huawei operating in the US.
Now, Tencent owns 100% of Riot Games and 40% of Epic Games. So, this puts Epic and Riot at high risk. Moreover, along with Fortnite and LOL, the USA may also ban Valorant and even Supercell in the near future due to their Tencent ownership. They just banned WeChat and TikTok for this exact reason. In fact, Tencent has a finger in every pie, as far as video game companies are concerned. So, a full-fledged ban on them would be an acute blow to gamers in the US.
Is there a way to get out of the situation?
At present, as things stand, Trump & Co don’t have any interest in a bargain. Instead, a Chinese fight back could see them banning popular US Apps like Facebook in their country in return.
However, Oracle, Microsoft & Walmart are in talks, looking to buy Tencent’s share of TikTok to make app viable in the USA again. So, if Fortnite, LOL & co. do get banned, therein lies the last gasp alternative to keep these games alive in the country.
Till then, keep your fingers crossed! Let’s hope the CFIUS report brings good news for Riot, Epic and gamers all over the USA.
Also Read: Why is Esports Betting not legal in the USA?