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  1. Explained: TikTok ban bill signed by US President Joe Biden; why, and what happens next?

Explained: TikTok ban bill signed by US President Joe Biden; why, and what happens next?

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Upstox

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2 min read • Updated: April 25, 2024, 10:21 AM

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Summary

ByteDance, the Chinese entity that owns TikTok, has been given nine months to sell the company. If the sale process is underway, then the company would get another three months to complete it. However, if TikTok moves court, this could take even longer.

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TikTok is a short video platform.

United States President Joe Biden has signed a bill into a law giving social media platform TikTok's Chinese owner, ByteDance, nine months to sell the app to a US firm. If it fails to do so, then the app will be banned in the country.

The US Congress passed the legislation, which cites national security concerns due to TikTok's Chinese connections. The worry arises from Chinese national security laws that mandate organisations to help in intelligence gathering. Lawmakers fear Chinese authorities could get data on Americans as ByteDance is subject to these laws.

When will the TikTok ban come into effect?

ByteDance has been given nine months to sell the company. If the sale process is underway, then the company would get another three months to complete it. However, if TikTok moves court, this could take even longer.

What happens after TikTok is banned?

After the ban comes into effect, the short-video platform, which is over by over 170 million Americans, will be removed from Apple's App Store and Google's Play Store. Due to this, TikTok won't be able to send updates and security patches and the app would become unstable.

Which platforms TikTok users can migrate to?

TikTok users can shift to other short-video platforms such as Reels by Instagram, which allows one to upload 90 90-second clips or YouTube Shorts.

List of countries that have fully or partially banned TikTok

  • India
  • European Union
  • Australia
  • Belgium
  • Canada
  • France
  • New Zealand
  • United Kingdom
  • Afghanistan
  • Pakistan
  • Nepal
  • Taiwan

How did TikTok react?

In a statement on X (formerly Twitter), TikTok said, "This unconstitutional law is a TikTok ban, and we will challenge it in court. We believe the facts and the law are clearly on our side, and we will ultimately prevail. The fact is, we have invested billions of dollars to keep US data safe and our platform free from outside influence and manipulation."

The platform said that the ban would devastate around seven million businesses and silence 170 million Americans.

"As we continue to challenge this unconstitutional ban, we will continue investing and innovating to ensure TikTok remains a space where Americans of all walks of life can safely come to share their experiences, find joy, and be inspired," the company said.