TikTok Suspends US Access as Trump Eyes App’s Reinstatement
TikTok's Chinese owners must sell the app to non-Chinese entities by Sunday, or the ban remains in place.
TikTok has suspended access for US users as a ban on the app comes into effect, with President-elect Donald Trump indicating he will work towards reversing the ban once in office.!”
The ban follows the US Supreme Court’s decision to uphold a law that prohibits the app, citing national security concerns.
TikTok’s Chinese owners must sell the app to non-Chinese entities by Sunday, or the ban remains in place.
TikTok has been widely popular, offering a platform for users ranging from young dancers to grandmothers sharing recipes, and has played a role in boosting Trump’s connection with younger voters.
Trump, after a discussion with Chinese President Xi Jinping, told NBC News on Saturday that he may implement a 90-day reprieve once he assumes office. “A 90-day extension is likely because it’s appropriate,” he said, adding that an announcement could come on Monday.
The law allows a 90-day delay if the White House shows progress toward a deal. However, TikTok’s owner, ByteDance, has refused to sell the platform.
The Biden administration has deferred to Trump on the matter, with White House spokeswoman Karine Jean-Pierre calling TikTok’s announcement “a stunt.”
In response to the court ruling, TikTok CEO Shou Chew expressed gratitude to Trump for his commitment to finding a solution and noted Trump’s understanding of the platform. Chew is also expected to attend Trump’s inauguration.
Under the new law, Apple and Google must remove TikTok from their app stores, preventing new downloads. Both companies face penalties of up to $5,000 per user still accessing the app.
In a bid to resolve the issue, startup Perplexity AI has proposed a merger with TikTok’s US arm, offering a potential workaround for ByteDance without the need to sell the app.
This deal, which could be valued at over $50 billion, was reported by CNBC.
Former LA Dodgers owner Frank McCourt also made an offer to purchase TikTok’s US operations, alongside Canadian investor Kevin O’Leary, who proposed $20 billion for the app’s US division.
Legal experts caution that Trump’s potential executive order to delay the ban may not override the existing law. “Congress wrote this law to be virtually president-proof,” said Adam Kovacevich of the Chamber of Progress.
As TikTok faces shutdown, US competitors like Instagram Reels and YouTube Shorts stand to gain, while many TikTok users are turning to Xiaohongshu (“Little Red Book”), a Chinese app resembling Instagram. Nicknamed “Red Note” in the US, it was the most downloaded app in the US this week.