The TikTok algorithm is so good that it can basically read your mind. It figures out your preferences — be they ‘90s nostalgia, astrology, or skin care — and recommends video after video to keep its 1B+ users transfixed by its infinite feed.

Now, to maintain ownership of its US operations, TikTok will consider allowing third-party monitors to review its vaunted algorithm, according to The Wall Street Journal.

US regulators are skeptical of TikTok for two main reasons

1. Surveillance: China, which can request data from any Chinese company, including TikTok parent ByteDance, could use the app to spy on American users, who share personal data with TikTok.
2. The algorithm: Officials believe it could be tweaked to manipulate users.

US Rep. Mike Gallagher told the WSJ he fears Chinese officials could hide videos criticizing the country’s regime or highlight propaganda. About 33% of TikTok users get news from the app.

In 2020, US TikTok executives discovered employees in China had rejiggered the algorithm to downplay certain videos about the US election.

To soothe these concerns…

TikTok is now sending all data from US users to business partner Oracle. The potential next step is letting Oracle and other third parties review TikTok’s algorithm.

• The monitors would check for any manipulations to the algorithm.
• Concerns would be brought to TikTok leadership and potentially the US government.

TikTok wants to move quickly, but the process ahead may be arduous. Skepticism of TikTok runs deep among US politicians, and the Chinese government would likely need to approve any deal regarding the algorithm.

Meanwhile: If you’re not convinced about the power of the algorithm, just know that Walmart is now selling the Pink Sauce that kept showing up in your TikTok feed last summer.

Last week, Tesla slashed prices on its lineup by up to 20%. The changes mean some models now qualify for an additional $7.5k federal EV tax credit through mid-March.

A Tesla spokesperson attributed the drop to “a partial normalization of cost inflation,” and comes as Tesla faces an increasingly competitive market, a challenging demand environment, and a 65% stock dip in 2022.

Not everyone was happy about the cuts — some Tesla customers felt duped after buying one without knowing a discount would go live soon after. But for prospective customers, a discounted Tesla is exciting news.

How long Tesla’s discounts will last, however, remains to be seen. Lower prices will drive demand, though profit margins will take a hit.

• Bloomberg’s Kevin Tynan calculated that, assuming 1.8m vehicle sales in 2023, lost revenue for the year “would exceed $11B.”

Big picture: EV’s surpassed 10% of vehicles sold globally in 2022 — ~7.8m cars — up 68% from 2021. Expect Tesla to work hard to maintain market share as the world goes electric.

1) Payment companies pay lots of money for “signature sounds” that play when a purchase is made at a payment terminal. Interestingly, though, the majority of the time, the sound is turned off. Mastercard says its 1.3-second chime is played at 300m touchpoints out of billions in use.

2) Another year, another Taylor Swift record — pun intended. Last year, Swift sold 1.7m vinyl albums, ~4% of the 43.5m vinyl albums sold in the US in 2022. Combined, Harry Styles and The Beatles — the next two top sellers, with 719k and 553k sales, respectively — did not surpass Swift.

3) The IRS is still working through an enormous backlog of tax returns as this year’s tax season nears. The organization had 4.7m unprocessed individual returns and 3.2m business returns as of Dec. 31, 2021. Now it’s down to 400k individual returns and 1m business returns.

4) Sazerac Company, the liquor maker behind the malt-based, Hot Tamales-esque Fireball Cinnamon, is apparently the 15th-largest beer vendor by convenience store sales, bringing in $70m+ in 2022.

5) A new report from global-poverty charity Oxfam found that the world’s wealthiest 1% accumulated 63% of the $42T in new wealth created since 2020, with 99% of the global population amassing $16T of that wealth.