US President Joe Biden has signed a law requiring ByteDance, the owner of TikTok, to sell the popular video-sharing platform within a year or face a nationwide ban.
This move marks a significant escalation in the tech rivalry between the US and China.
However, the law is not expected to cause immediate disruption to TikTok due to anticipated legal challenges and hurdles in selling the app, which will likely result in months of delay.
The measure was included in a bill providing foreign aid to Israel, Ukraine, and Taiwan.
According to the law, ByteDance must divest its stake in TikTok within 12 months or risk being shut down.
In November 2017, ByteDance bought Musical.ly, a social media startup from Shanghai, for potentially $1 billion.
Then, on August 2, 2018, they merged it with Flipagram, another acquisition, to create TikTok, which retained its original name.
Related: US House to vote on TikTok ban
TikTok has since been under scrutiny from US national security officials due to concerns about potential Chinese government influence.
Despite assurances from the brand that it has never received data requests from the Chinese government, US officials remain skeptical.
In response to the new law, TikTok management has vowed to challenge it in court, calling it unconstitutional.
In a statement, TikTok CEO Shou Zi Chew expressed confidence in the company’s legal position, stating, “We have invested billions of dollars to keep US data safe and our platform free from outside influence and manipulation.”
Chew emphasized that the law constitutes a ban on the social media platform and its users’ freedom of expression, adding, “We aren’t going anywhere.”
The development marks a significant turning point in the ongoing tech showdown between the US and China, with potentially far-reaching implications for the future of global social media.
