ByteDance Scales Back Investment Arm as Deal Curbs Chill China Tech

(Bloomberg) — ByteDance Ltd. downsized its powerful investment arm in anticipation of tightened government curbs on the prolific deal-making that turbocharged the growth of China’s largest internet companies.

TikTok’s owner is dissolving the internal venture capital and investing team that makes bets on promising startups, people familiar with the matter said. A separate strategic investment arm, which focuses on backing companies that can help its own businesses, is undergoing a radical overhaul to pull back from deals as well, they said, asking not to be identified discussing internal matters.