After a temporary ban in the US on Sunday, TikTok has resumed service. The popular app, owned by Chinese company ByteDance, was facing a ban in the US due to security concerns. However, the app has become available again after newly- appointed President Donald Trump temporarily extended the ban.
Trump announced an executive order on Monday that would extend the time before the ban on TikTok goes into effect. The order will give ByteDance time to negotiate a deal with a buyer in the US or an allied country. Trump clarified that app stores and cloud service providers will not be held responsible for TikTok’s availability.
User happiness and anxiety:
170 million users have expressed their satisfaction with the relaunch of TikTok in America. Influential TikTok user Shay Sullivan said, “I cried myself to sleep yesterday feeling like I’d lost my whole community and my job. But now I’m so happy.”
However, the future of the app is still uncertain. Under the law that brought the ban into effect, TikTok’s parent company would have to transfer ownership of the app to an American buyer. ByteDance has previously opposed the sale.
Trump’s proposal:
Donald Trump has proposed a joint venture with ByteDance, an American buyer. However, it is not clear whether this solution will satisfy members of Trump’s party and Congress. Many members are expressing concern about foreign control.
Legal barriers:
Although ByteDance is willing to find a suitable buyer before the ban comes into force, the rules of the law are strict. According to the law, the app’s service providers can be fined $5,000 if they support TikTok. Because of this, Tiktok has temporarily stopped the service.
Potential buyers and complexities in the sales process:
ByteDance has received two major proposals for the sales process. Frank McCurt and Kevin O’Leary of Shark Tank have pitched for TikTok’s US assets. However, without TikTok’s popular algorithm, the price of this app is likely to drop.
China has also objected to the sale of TikTok. They don’t accept contracts that don’t include algorithms, making the sales process more complex.
A discussion of political drama:
After TikTok resumed service, some users called the incident a political drama. Many criticized the attempt to portray Trump as the savior of TikTok.
Although TikTok has relaunched in the US, its fate is still uncertain. ByteDance will have to find an American buyer, or the app could face a ban. For this, the success of the initiative taken by Trump and the response of the Congress will be important.