The “Singapore-washing” label can be traced back to late 2022 in a Financial Times article – has been used on Chinese companies and family offices that establish a presence in Singapore to ride on the country’s neutrality to mitigate geopolitical risks.
Krist Boo
Senior Business Correspondent
TikTok is now one of the biggest tech employers in town, with close to 4,000 workers. ST PHOTO: LUTHER LAU
Updated
Jul 16, 2024
SINGAPORE - TikTok’s association with Singapore goes back to 2017, when it registered itself in the Republic, joining the ranks of foreign-owned companies that have chosen to be based here.
The video-sharing social media platform went on an expansion drive from 2020. It is now one of the biggest tech employers in town, with close to 4,000 workers.
Yet, even as a TikTok spokeswoman cited figures and the ways in which Singapore plays a substantial role in the company, its connection to the country is being queried amid mentions of “Singapore-washing”.
The label – which can be traced back to late 2022 in a Financial Times article – has been used on Chinese companies and family offices that establish a presence in Singapore to ride on the country’s neutrality to mitigate geopolitical risks.
These companies also leverage Singapore’s reputation to improve their global image.
In July, opposition MPs Jamus Lim and Louis Chua called in Parliament for more oversight of “Singapore-washing” behaviour.
TikTok has never been specifically cited for “Singapore-washing”: The question levelled by its critics is whether executive decisions are being made by TikTok’s international leadership – based in Singapore, the United States and Ireland – and not at its parent company ByteDance’s headquarters in Beijing, as TikTok has indicated.
With South-east Asia projected to grow into being the world’s fourth-largest economy by 2030, global companies are drawn to Singapore to tap the region’s opportunities.
There are more than 60,000 majority foreign-owned companies in Singapore, employing about 1.2 million Singaporeans, EDB said.
Dr Tracy Loh, senior lecturer of communication management at Singapore Management University, said while it would be an overplay to say that Singapore’s neutrality had led to TikTok’s decision to set up base here, the company should expect to face scrutiny.
“Because of the fact that they are Chinese, they are from China, and the views of the Chinese government amid the geopolitical tensions – so fair or not, it is not an unexpected question,” she said.
Professor Terence Lee, a politics and communication scholar at the Sheridan Institute of Higher Education, said Singapore is a strong association to have.
He said: “Politically, Singapore is seen as neutral. Commercially, companies that operate out of Singapore are often deemed legit.”
All companies here are expected to abide by Singapore’s laws and safeguards, EDB said in response to queries from The Straits Times.
Like other major tech companies, its spokeswoman said, TikTok has supported the development of the local digital ecosystem and workforce.
She cited TikTok’s Tech Immersion Programme, which offers three weeks of free teaching to 5,000 tertiary students, and its participation in the Government’s SG Digital Leadership Accelerator to develop local tech leaders.
It handles research and development, data science, content safety, product development, advertising sales and corporate functions, TikTok said in response to queries from ST.
And, despite its small 3.4 million user base, Singapore houses TikTok’s Asia-Pacific Trust and Safety Hub.
Recommendations on critical issues such as online safety user protection and content moderation are made here, shaping TikTok’s policies across the region.
When TikTok set up its first Transparency and Accountability Centre in the Asia-Pacific, Singapore was its pick. The centre has received more than 300 invited visitors since opening in late 2023.
Singapore is one of only two global bases the social media company has. The other is Los Angeles.
In March 2023, its Singaporean chief executive, Mr Chew Shou Zi, became a household name after being grilled by the US Congress about purported Chinese influence over the app and its safety and security.
But, since his appointment in May 2021, Mr Chew has granted only one interview here – to fashion magazine Vogue Singapore.
In May, when news surfaced about job cuts across its global operations, TikTok Singapore would not confirm if local employees were affected. Nor would it say then how many employees it had here.
TikTok is an unlisted corporation. This means, unlike public-listed corporations, it is not subject to public scrutiny of investors or analysts.
Sheridan’s Prof Lee noted that one could question if TikTok’s CEO leveraged his Singapore nationality to fend off criticisms about TikTok’s allegiances.
Except that TikTok and Mr Chew’s Singaporean status have so far cut no ice in the US.
And amplifying its Singapore links risks the probing eyes of the Chinese government, said Prof Lee.
“It’s not necessarily because they have done anything secretive or wrong,” he said.
Mr Benjamin Ang, a senior fellow at the S. Rajaratnam School of International Studies, said: “US politicians have already argued many times that the parent company ByteDance is from China and have swept aside or ignored the fact that the CEO is Singaporean, and that the office is in Singapore.
“Some critics, especially from the US, have accused Chinese companies of registering offices in Singapore to make themselves look less connected to China.”
TikTok maintains that it is a multinational company with a global footprint.
“TikTok is not available in mainland China,” said its spokeswoman.
She added that global institutional investors such as Carlyle Group, General Atlantic and Susquehanna International Group own about 60 per cent of ByteDance, followed by employees, who hold 20 per cent.
“The remaining 20 per cent is owned by the company’s founder, who is a private individual and is not part of any state or government entity,” she said.
In April, US President Joe Biden signed into law a Bill that would push ByteDance to sell TikTok within 270 days or exit the country. About one in two Americans, or 170 million, are on TikTok.
TikTok, which Statista ranks as the fifth most-used social media platform with 1.5 billion users worldwide, is contesting the decision.
Prof Lee said: “TikTok appears to rely on its users to promote and sell the brand. But it needs to be more than that if it wants to be taken seriously.
“It’s very frightening in many ways, because it’s so powerful, and yet we know very little about it.”
Professor Lim Sun Sun, who teaches communication and technology at SMU, would like TikTok to do more in adding nudges and highlighting its features that protect young people and guard against disinformation.
Such moves will help TikTok address criticisms – fair or otherwise – that it is not transparent.
Mr Bensen Koh, consultant with tech regulatory consultancy Access Partnership, said TikTok has in fact engaged regional governments more in recent years.
But, like many Chinese companies, it tends to centre on regulatory compliance over policy advocacy and discourse.
“Compliance focuses on specific regulatory parameters and ends with a yes or no answer. The focus on a specific regulatory parameter may come across as evasive,” he said.
Professor Ang Peng Hwa of the Wee Kim Wee School of Communication and Information at Nanyang Technological University said expectations of transparency and accountability for TikTok show up double standards.
“No platform is doing it. It could be due to the effort and expense. It could be due to fears of revealing corporate details or secrets,” he said.
“Because no one is doing it, if TikTok does it, and especially now, it will be perceived as a public relations exercise, which then creates its own backlash.”
As the company walks a tightrope, its Singapore connection could be the part that projects balance.
Prof Ang said: “US media is suspicious of China and therefore TikTok. On the other hand, Chinese nationals in their response tend to be jingoistic.
“We may well be the neutral party in this issue.”
TikTok’s Singapore links are deep, but so are US suspicions
Krist Boo
Senior Business Correspondent
TikTok is now one of the biggest tech employers in town, with close to 4,000 workers. ST PHOTO: LUTHER LAU
Updated
Jul 16, 2024
SINGAPORE - TikTok’s association with Singapore goes back to 2017, when it registered itself in the Republic, joining the ranks of foreign-owned companies that have chosen to be based here.
The video-sharing social media platform went on an expansion drive from 2020. It is now one of the biggest tech employers in town, with close to 4,000 workers.
Yet, even as a TikTok spokeswoman cited figures and the ways in which Singapore plays a substantial role in the company, its connection to the country is being queried amid mentions of “Singapore-washing”.
The label – which can be traced back to late 2022 in a Financial Times article – has been used on Chinese companies and family offices that establish a presence in Singapore to ride on the country’s neutrality to mitigate geopolitical risks.
These companies also leverage Singapore’s reputation to improve their global image.
In July, opposition MPs Jamus Lim and Louis Chua called in Parliament for more oversight of “Singapore-washing” behaviour.
TikTok has never been specifically cited for “Singapore-washing”: The question levelled by its critics is whether executive decisions are being made by TikTok’s international leadership – based in Singapore, the United States and Ireland – and not at its parent company ByteDance’s headquarters in Beijing, as TikTok has indicated.
The Singapore draw
According to the Economic Development Board (EDB), Singapore’s largest investment sources have, in recent years, expanded from the US, Europe and Japan to include China, India and South-east Asia.With South-east Asia projected to grow into being the world’s fourth-largest economy by 2030, global companies are drawn to Singapore to tap the region’s opportunities.
There are more than 60,000 majority foreign-owned companies in Singapore, employing about 1.2 million Singaporeans, EDB said.
Dr Tracy Loh, senior lecturer of communication management at Singapore Management University, said while it would be an overplay to say that Singapore’s neutrality had led to TikTok’s decision to set up base here, the company should expect to face scrutiny.
“Because of the fact that they are Chinese, they are from China, and the views of the Chinese government amid the geopolitical tensions – so fair or not, it is not an unexpected question,” she said.
Professor Terence Lee, a politics and communication scholar at the Sheridan Institute of Higher Education, said Singapore is a strong association to have.
He said: “Politically, Singapore is seen as neutral. Commercially, companies that operate out of Singapore are often deemed legit.”
All companies here are expected to abide by Singapore’s laws and safeguards, EDB said in response to queries from The Straits Times.
Like other major tech companies, its spokeswoman said, TikTok has supported the development of the local digital ecosystem and workforce.
She cited TikTok’s Tech Immersion Programme, which offers three weeks of free teaching to 5,000 tertiary students, and its participation in the Government’s SG Digital Leadership Accelerator to develop local tech leaders.
What TikTok does here
TikTok’s close to 4,000-member team here leads the app’s support of its 325 million users throughout South-east Asia.It handles research and development, data science, content safety, product development, advertising sales and corporate functions, TikTok said in response to queries from ST.
And, despite its small 3.4 million user base, Singapore houses TikTok’s Asia-Pacific Trust and Safety Hub.
Recommendations on critical issues such as online safety user protection and content moderation are made here, shaping TikTok’s policies across the region.
When TikTok set up its first Transparency and Accountability Centre in the Asia-Pacific, Singapore was its pick. The centre has received more than 300 invited visitors since opening in late 2023.
Singapore is one of only two global bases the social media company has. The other is Los Angeles.
In March 2023, its Singaporean chief executive, Mr Chew Shou Zi, became a household name after being grilled by the US Congress about purported Chinese influence over the app and its safety and security.
But, since his appointment in May 2021, Mr Chew has granted only one interview here – to fashion magazine Vogue Singapore.
In May, when news surfaced about job cuts across its global operations, TikTok Singapore would not confirm if local employees were affected. Nor would it say then how many employees it had here.
TikTok is an unlisted corporation. This means, unlike public-listed corporations, it is not subject to public scrutiny of investors or analysts.
US pressure
When grilled by Senator Tom Cotton during the 2024 US House inquiry about whether he had ever been a member of the Communist Party of China, Mr Chew had replied: “Senator, I’m Singaporean. No.”Sheridan’s Prof Lee noted that one could question if TikTok’s CEO leveraged his Singapore nationality to fend off criticisms about TikTok’s allegiances.
Except that TikTok and Mr Chew’s Singaporean status have so far cut no ice in the US.
And amplifying its Singapore links risks the probing eyes of the Chinese government, said Prof Lee.
“It’s not necessarily because they have done anything secretive or wrong,” he said.
Mr Benjamin Ang, a senior fellow at the S. Rajaratnam School of International Studies, said: “US politicians have already argued many times that the parent company ByteDance is from China and have swept aside or ignored the fact that the CEO is Singaporean, and that the office is in Singapore.
“Some critics, especially from the US, have accused Chinese companies of registering offices in Singapore to make themselves look less connected to China.”
TikTok maintains that it is a multinational company with a global footprint.
“TikTok is not available in mainland China,” said its spokeswoman.
She added that global institutional investors such as Carlyle Group, General Atlantic and Susquehanna International Group own about 60 per cent of ByteDance, followed by employees, who hold 20 per cent.
“The remaining 20 per cent is owned by the company’s founder, who is a private individual and is not part of any state or government entity,” she said.
In April, US President Joe Biden signed into law a Bill that would push ByteDance to sell TikTok within 270 days or exit the country. About one in two Americans, or 170 million, are on TikTok.
TikTok, which Statista ranks as the fifth most-used social media platform with 1.5 billion users worldwide, is contesting the decision.
Tackling the US-China divide
TikTok will do better – globally and in the US – if it engages more and is more transparent.Prof Lee said: “TikTok appears to rely on its users to promote and sell the brand. But it needs to be more than that if it wants to be taken seriously.
“It’s very frightening in many ways, because it’s so powerful, and yet we know very little about it.”
Professor Lim Sun Sun, who teaches communication and technology at SMU, would like TikTok to do more in adding nudges and highlighting its features that protect young people and guard against disinformation.
Such moves will help TikTok address criticisms – fair or otherwise – that it is not transparent.
Mr Bensen Koh, consultant with tech regulatory consultancy Access Partnership, said TikTok has in fact engaged regional governments more in recent years.
But, like many Chinese companies, it tends to centre on regulatory compliance over policy advocacy and discourse.
“Compliance focuses on specific regulatory parameters and ends with a yes or no answer. The focus on a specific regulatory parameter may come across as evasive,” he said.
Professor Ang Peng Hwa of the Wee Kim Wee School of Communication and Information at Nanyang Technological University said expectations of transparency and accountability for TikTok show up double standards.
“No platform is doing it. It could be due to the effort and expense. It could be due to fears of revealing corporate details or secrets,” he said.
“Because no one is doing it, if TikTok does it, and especially now, it will be perceived as a public relations exercise, which then creates its own backlash.”
As the company walks a tightrope, its Singapore connection could be the part that projects balance.
Prof Ang said: “US media is suspicious of China and therefore TikTok. On the other hand, Chinese nationals in their response tend to be jingoistic.
“We may well be the neutral party in this issue.”
