On the second day after the ban, and the day before the new president’s inauguration, TikTok became accessible to users again, having effectively been shut down for just 14 hours. The fiasco leaves one big question: will TikTok stay for good?
Why it matters: TikTok’s return to operation after its ban, though brief, raises larger questions about its future in the US. As one of the world’s most popular apps, TikTok’s business model, its relationship with global users, and its ownership structure have come under intense scrutiny. The app’s survival hinges on a combination of political maneuvering, legal challenges, and complex dynamics between US and Chinese interests. The app has become a focal point of broader geopolitical tensions, leaving its future anything but assured.
Details: After being shut down for about 14 hours, TikTok was revived on Sunday and thanked Trump for assuring TikTok and its business partners that they would not face hefty fines for keeping the app running. The app began operating again on Monday, but TikTok was still unavailable for download in the Apple and Google app stores. Trump also stated on social media platform X that he would sign an order to “save” the software. So, what does saving TikTok entail?
- Despite Trump’s signing of an order delaying the ban for 75 days, the legality of his executive order to “save TikTok” is unclear, according to the Economic Times, since the law requiring divestiture was passed by large majorities in Congress, signed by President Joe Biden, and upheld by a unanimous Supreme Court.
- When announcing plans to sign an order to save TikTok, Trump demanded that the US hold 50% ownership. However, TikTok states that it is already 60% owned by global institutional investors, such as BlackRock, General Atlantic, and Susquehanna International Group, with an additional 20% owned by its employees, including over 7,000 US-based workers.
- In addition to TikTok, other banned software such as Lemon8 and CapCut, owned by TikTok’s parent company ByteDance, were also prohibited last Sunday.
- According to lawyers knowledgeable about US laws, if TikTok were to remain in the country long-term, the Supreme Court would need to re-legislate, a process that would be extremely lengthy.
Context: The TikTok ban debate in the US stems from national security concerns, driven by allegations that the app could potentially allow the Chinese government to access US user data. In response, then-President Trump signed executive orders aimed at banning the app unless it was sold to a US company. At the beginning of his second term, he made an about-turn to become a proponent of keeping the app, positioning himself as the only person with the potential to put into effect meaningful change.
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