TikTok Ban in the US: What’s Happening and What Comes Next?

The popular short form video app TikTok is set to face a potential ban in the United States due to national security concerns. TikTok is owned and operated by a Chinese company known as ByteDance and the U.S. government claims that its Chinese ownership could allow it to access American users' data or influence content, posing a significant threat to national security.

ByteDance faces a deadline of January 19, 2025, to sell its U.S. operations. If the company fails to comply, TikTok will be removed from U.S. app stores, and existing users may experience service issues and a decline in functionality over time due to the absence of updates. 

In response to this, TikTok has announced plans to "go dark" in the U.S., which would block access for its 170 million American users and redirect them to a website to download their personal data.

Will the United States Ban TikTok?

The Protecting Americans from Foreign Adversary Controlled Applications Act (PAFACA) was signed into law by President Joe Biden in April 2024. According to this law, foreign competitors' apps, such as ByteDance and TikTok, must be sold to new owners within 270 days in order to continue functioning in the United States. 

The bill was approved by Congress before becoming law. President Biden signed it into law after it had been approved by the Republican-controlled House of Representatives and the Democratic-controlled Senate in March 2024.

Why is the U.S. Banning TikTok?

The U.S. is considering a ban on TikTok because of national security concerns. The main problem is that the app is under the authority of a "foreign adversary"—in this case, China—and may be harmful to the United States.

According to Tom Barrett, a researcher at the United States Studies Centre mentions to the Australian Broadcasting Corporation that Congress is particularly worried about how TikTok could impact national security. With over 170 million users in the United States, nearly half of all Americans' data is stored on TikTok. The government is concerned that China would gather this information, obtain access to it, and utilise it in ways that could jeopardise American security.

While TikTok is the focus of much of the scrutiny, other Chinese digital platforms also operate in the U.S. For example, the online shopping app Temu is used by an estimated 152 million Americans each month, collecting personal information like home addresses, which TikTok doesn’t typically access. Despite this, TikTok remains under the most pressure due to its widespread influence and the type of data it collects.

Will President Donald Trump Stop the Ban?

Despite bipartisan support in Congress for the TikTok ban, Donald Trump has pledged to keep the app operational. Tom Barrett, a scholar at the United States Studies Centre, says Trump can step in in two ways.

The first option is for Trump, after his inauguration, to instruct the attorney general not to enforce the ban. In theory, this would let businesses like Apple, Google, and Oracle keep giving TikTok access without facing any kind of penalties.

Barrett points out that even with such an order, it's doubtful that these businesses would risk breaking the law because they would still be held accountable until the ban is formally removed.

The second possibility is for Trump to make use of the law's "qualified divestiture" clause. ByteDance can prove that it is now selling TikTok to a U.S. buyer . If it happens, Trump might declare that TikTok is no longer under the control of a foreign competitor, thus stopping the ban.

However, this approach is complicated. For one, Trump won’t take office until after the ban goes into effect. Donald Trump is set to take office on Monday 20th January 2025 which means TikTok would likely already be unavailable by the time any action is taken. 

Additionally, even if a deal is in progress, it could take time for a new buyer to finalise ownership and potentially make changes, delaying the app's return.

Moreover, China could block any sale of TikTok, as it has already indicated a willingness to veto such deals. Even if a sale were approved, it’s unclear whether TikTok’s algorithm—a key component of its appeal—would be included, which could impact the app's functionality under new ownership.

What Will Be the Impact Of the TikTok Ban on Users?

If the ban goes into effect, existing TikTok users may still have access to the app initially, but without updates, its functionality could gradually decline, resulting in a poorer user experience. Moreover, the ban could have a major impact on the digital advertising industry. TikTok, which generated $18.04 billion in ad revenue according to Demand Sage, may see its advertising market share shift to competitors like Meta and Google.

In conclusion, The future of TikTok in the United States remains uncertain, hinged on legal proceedings, potential executive actions, and the possibility of ByteDance divesting its U.S. operations. The final verdict on the future of this application is awaited till 19th January. 

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