• ByteDance in talks to divest Moonton, creator of Mobile Legends: Bang Bang, to Savvy Games Group.

• Moonton’s MLBB game dominated Esports World Cup 2025 with over 50 million hours watched.

• ByteDance’s valuation hit $480 billion after a share auction, outpacing many tech giants amid Nvidia chip restrictions.

ByteDance Moonton sale talks intensify as company eyes e-commerce growth. Explore implications for gaming and tech valuations in 2025. Stay informed on ByteDance’s strategic shifts—read more now.

What is the status of ByteDance’s potential Moonton sale?

ByteDance Moonton sale discussions are progressing with Saudi Arabia’s Savvy Games Group, according to reports from Bloomberg. The Beijing-based tech giant, owner of TikTok, is considering offloading Shanghai Moonton Technology Co., acquired for $4 billion in 2021, as part of a broader retreat from video gaming. This transaction could represent ByteDance’s largest exit from the sector, allowing focus on high-growth areas like e-commerce and artificial intelligence.

How has ByteDance’s valuation evolved recently?

ByteDance recently achieved a valuation of approximately $480 billion following an intense auction for a block of shares sold by Bank of China Group Investment, as detailed in reports from Cryptopolitan. Initially priced at around $200 million reflecting a $360 billion company valuation, the bidding war involving seven participants, including Capital Today led by Kathy Xu, drove the final price to nearly $300 million. This marks a 45% increase from ByteDance’s September 2025 employee share buyback at $330 billion and positions the company near OpenAI’s $500 billion valuation, surpassing Elon Musk’s SpaceX at $400 billion while trailing Meta’s $1.49 trillion market cap. The surge underscores investor confidence in ByteDance’s core platforms despite regulatory challenges in China.

Frequently Asked Questions

Why is ByteDance considering a Moonton sale in 2025?

ByteDance is exploring the ByteDance Moonton sale to streamline operations and prioritize e-commerce, which has emerged as a key growth driver. Reports from the South China Morning Post indicate the company informed employees two years ago of plans to shutter most game projects, leading to cuts in gaming teams. Acquiring Moonton in 2021 for $4 billion now positions this divestiture as a strategic reversal amid evolving business priorities.

What impact do Chinese regulations have on ByteDance’s Nvidia chip access?

Chinese regulators have prohibited ByteDance from deploying Nvidia chips in new data centers funded by the state, aiming to foster domestic AI chip production and lessen dependence on U.S. technology. This aligns with Beijing’s intensified push for homegrown semiconductors, especially after Washington restricted exports of advanced Nvidia processors like the H20 variant. ByteDance, which stockpiled more Nvidia chips than any other Chinese firm in 2025, must now adapt to these curbs while racing to support its vast user base through alternative processors.

Key Takeaways

• Strategic Divestiture: The potential ByteDance Moonton sale signals a major pivot from gaming, freeing resources for e-commerce and AI amid regulatory and market pressures.
• Valuation Milestone: Reaching $480 billion through a competitive share auction highlights robust investor interest, placing ByteDance among top global tech valuations despite geopolitical tensions.
• Regulatory Challenges: Bans on Nvidia chips in state-funded projects push ByteDance toward Chinese alternatives, potentially slowing AI advancements but bolstering national tech independence.

Conclusion

The ongoing ByteDance Moonton sale negotiations and the company’s climb to a $480 billion ByteDance valuation reflect a dynamic period for China’s tech sector, balancing innovation with regulatory oversight. As ByteDance navigates Nvidia chip restrictions and focuses on e-commerce dominance, these developments could reshape global gaming and AI landscapes. Investors and industry watchers should monitor these shifts closely for opportunities in emerging tech frontiers.

ByteDance’s exploration of selling Moonton Technology to Savvy Games Group comes at a pivotal time, as the company grapples with internal restructuring and external pressures. Acquired in 2021 for $4 billion, Moonton has been a cornerstone of ByteDance’s gaming ambitions, particularly through its flagship title Mobile Legends: Bang Bang (MLBB). However, recent reports from Bloomberg highlight that ByteDance is in advanced discussions to offload the studio, mirroring earlier talks about divesting other gaming assets. This move aligns with ByteDance’s broader strategy to curtail gaming operations, a sector that once promised vast revenues but now competes with more lucrative avenues.

Two years prior, as noted by the South China Morning Post, ByteDance communicated to staff its intention to wind down the majority of its game development initiatives. Since then, the company has engaged in negotiations with various buyers for its video game divisions, including Moonton. The potential sale to Savvy Games Group, backed by Saudi Arabia’s public investment fund, would underscore ByteDance’s retreat from an industry it aggressively pursued. Gaming layoffs and team reductions have already occurred, redirecting efforts toward e-commerce platforms that are driving significant user engagement and revenue.

Moonton Sale Amid Surging Project Performance

Interestingly, this divestiture consideration arises even as Moonton’s projects experience remarkable success. In 2025, MLBB has cemented its status as a premier esports title globally. Data from Esports Charts reveals that MLBB captured more than a quarter of the viewership at the Esports World Cup (EWC), the largest multi-title esports event, accumulating over 50.32 million Hours Watched. This performance not only broke records but also secured MLBB’s spot in the 2026 EWC lineup, demonstrating the studio’s enduring appeal despite ByteDance’s waning commitment.

ByteDance’s recent financial maneuvers further illuminate its trajectory. The company’s valuation escalated to about $480 billion after Capital Today acquired a substantial share block in a fiercely contested auction, per Cryptopolitan coverage. The shares, originating from Bank of China Group Investment and valued initially at $200 million based on a $360 billion ByteDance assessment, saw bids from seven entities that inflated the price to around $300 million. This transaction outstripped the $330 billion figure from ByteDance’s September 2025 employee share repurchase program, representing a 45% uplift and a 33% rise from the auction’s starting point.

Comparatively, this places ByteDance in elite company: just shy of OpenAI’s $500 billion and ahead of SpaceX’s $400 billion, though well behind Meta’s $1.49 trillion. Such a valuation boost, driven by competitive bidding, signals strong market faith in ByteDance’s adaptability, even as it sheds non-core assets like gaming studios.

Navigating Regulatory Hurdles with Nvidia

Parallel to these corporate shifts, ByteDance faces heightened scrutiny from Chinese authorities on technology dependencies. Regulators have explicitly barred the use of Nvidia (NVDA) chips in ByteDance’s new data centers that receive government funding. This directive is part of Beijing’s comprehensive strategy to promote indigenous AI hardware and mitigate risks associated with foreign tech reliance.

The policy has gained urgency amid escalating U.S.-China trade frictions. Washington has imposed stringent limits on exporting Nvidia’s cutting-edge semiconductors to China, permitting only modified versions such as the H20 chip. In response, Chinese officials in August 2025 urged domestic companies to pause new Nvidia AI chip purchases and transition to local alternatives. Nvidia itself acknowledged the challenges, stating that regulatory barriers prevent competitive offerings in China, ceding ground to international rivals.

ByteDance, serving over a billion users across its apps, aggressively acquired Nvidia chips earlier in 2025 to bolster computing infrastructure against potential supply disruptions. As the top Chinese buyer of these chips, the company now confronts adaptation imperatives. Expert analysts, including those cited in industry reports, emphasize that this ban could accelerate China’s semiconductor self-sufficiency, though it may temporarily hinder ByteDance’s AI-driven features on platforms like TikTok.

These intertwined developments— from the prospective Moonton sale to valuation triumphs and tech import curbs—paint a picture of resilience and recalibration for ByteDance. As a titan in social media and short-form video, the company’s decisions reverberate across global markets, particularly in gaming, e-commerce, and AI sectors. With Moonton’s esports prowess at its peak, the sale could inject fresh capital into ByteDance’s pivot, while the valuation surge affirms its foundational strengths.

Looking ahead, ByteDance’s navigation of these waters will test its agility in a regulated environment. The Nvidia restrictions, for instance, compel innovation in domestic tech stacks, potentially fostering breakthroughs that benefit broader ecosystems. Meanwhile, offloading Moonton allows ByteDance to concentrate on scalable, user-centric growth areas that have propelled its meteoric rise since inception.