The future of TikTok is looking uncertain after the United States Senate passed a bill giving its Chinese owner ByteDance 270 days to sell the rapidly growing social media app, or be banned in the US market.
President Joe Biden signed the Bill, which passed the House of Representatives, into law after the Senate approved it.
The Chinese company now has 270 days to sell TikTok's American operations, or the app will be withdrawn from US distribution. That deadline can be extended by 90 days by Biden, if a sale is in progress.
ByteDance's Singaporean chief executive Shou Zi Chew expressed his disappointment with the law and said the company would appeal what it calls a US ban on TikTok.
@pmwnews #TikTok #CEO #ShouChew responds to the bill that could ban the app: “Make no mistake, this is a ban, a ban of TikTok and a ban on you and your voice.” “Rest assured, we aren’t going anywhere.” #tiktokban ♬ original sound - PMW TV
TikTok and its sister application Douyin for the Chinese market have well over a billion active users, with the social video sharing app having grown at an explosive pace since it started in 2016. An estimated two-thirds of Americans use TikTok currently.
While enormously popular, controversy around TikTok potentially sharing user data with the Chinese authorities has dogged ByteDance for the past six years, with critics saying the app is a national security threat for Western nations.
The law comes after TikTok was banned last year in many parts of the US federal and state administration and armed forces, along with similar government moves in the European Union, Norway and Canada.
TikTok has continued to deny that it provides data to the Chinese authorities, American users' data being stored in the US and Singapore only.
In 2020, the Trump administration ordered ByteDance to sell TikTok, or wind down its US operations. The order was extended into an outright ban later. ByteDance initially agreed to sell TikTok, with Microsoft and enterprise software vendor Oracle expressing interest in buying the social video sharing app.
TikTok was successful in obtaining an injunction against the Trump administration's ban in September 2020.
The Biden administration's move against ByteDance and TikTok was folded into a larger bill of appropriations that includes aid to Ukraine, Israel, and Taiwan.
In the law, TikTok is called a "foreign adversary controlled application".
We welcome your comments below. If you are not already registered, please register to comment
Remember we welcome robust, respectful and insightful debate. We don't welcome abusive or defamatory comments and will de-register those repeatedly making such comments. Our current comment policy is here.