The TikTok ‘ban’ just got very real

The bill is expected to get through the Senate as soon as this week, and will almost certainly be signed into law by President Biden.

After years of raising concerns about the mega-popular, Chinese-owned app, the US took its biggest step yet to banish TikTok from American phones.

The House passed a bill on Saturday requiring a forced sale or ban of TikTok in the US within a year. The bill is expected to get through the Senate as soon as this week and will almost certainly be signed into law by President Biden.

Why go after TikTok? Lawmakers in both parties consider the app a threat to US national security.

• Since TikTok is owned by the Chinese tech giant ByteDance, officials fear that the data of TikTok’s 170 million US users could wind up in the hands of the Chinese government.
• There’s also concern that Beijing could put its thumb on TikTok’s algorithm to promote its interests and influence American public opinion.

TikTok maintains it has never sent US user data to the Chinese government and wouldn’t do so if it was requested. The app said the bill “would trample the free speech rights” of its users, and Elon Musk agrees.

How this bill gained more support

It has at least two things going for it:

1. It is attached to a $95 billion foreign aid package that will send funds to Ukraine, Taiwan, Israel, and Gaza, making it highly likely to be passed by the Senate.
2. A previous incarnation called for ByteDance to find a buyer within six months. This version extends the deadline to nine months, with room for making it a full year if a sale appears close.

But a sale won’t be simple. TikTok’s price could be in the range of, oh, several hundred billion dollars, and American tech companies with that kind of money (Meta, Alphabet, etc.) would probably be prevented from buying it over antitrust concerns. Individuals including former Treasury Secretary Steven Mnuchin and ex-Activision Blizzard CEO Bobby Kotick have reportedly been rallying a team of investors to explore bids.

Plus, TikTok is China’s most successful app globally, and it’s not going to give it up easily. Beijing has signaled it’s not going to allow a sale by ByteDance, adding further uncertainty to TikTok’s fate in the months ahead.—DL

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