US President-elect Donald Trump has stated he may grant TikTok a 90-day reprieve from a potential ban, with an official announcement expected on Monday. The famous Chinese-owned app, with 170 million American users, is on the verge of shutdown threats for national security reasons. TikTok’s Sunday deadline has left the users and businesses in a state of uncertainty.
The app’s future is threatened because of a law under which TikTok will have to end ties with its Chinese parent company, ByteDance, or cease US operations. On Friday, the Supreme Court upheld the legislation, highlighting its necessity due to national security. In the absence of a formal delay from Trump, firms like Apple, Oracle, and Google supporting or hosting TikTok may have to face financial and legal consequences.
White House Press Secretary Karine Jean-Pierre mentioned that there is no immediate action essential for TikTok or other firms until the Trump administration comes into power. However, acquiring a respite will need concrete agreements for ByteDance to finalize the app’s disinvestment by mid-April. This one is a major obstacle that needs to be cleared.
TikTok users shared emotional goodbyes on the platform as uncertainty blooms. Influencers like fitness personality Britany Williams are recording their final moments on the app whereas marketing agencies are fighting to adapt themselves to the potential app. Rival brands like Snap and Meta have recorded a surge in activity as users are considering them as alternatives.
As per experts’ view, Trump may look for a ‘’political resolution’’ to save the app by implementing stringent conditions. ByteDance is currently engaged in negotiating various other options which include divestment deals and potential mergers. Meanwhile, Beijing has opposed the US actions and called it unfair suppression. On the other hand, industry experts believe that TikTok would still revive itself under a restructured entity and adhering to US regulations.
(With inputs from Reuters)