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Will TikTok Be Banned In The USA? It May Depend On Who Owns It

The White House and Congress are increasingly clamping down on TikTok, the Chinese-owned video-sharing app that is a sensation among teenagers and 20-somethings. Officials fear the app could be used as a spy tool. Anjum Naveed/AP hide caption
toggle caption Anjum Naveed/AP
The White House and Congress are increasingly clamping down on TikTok, the Chinese-owned video-sharing app that is a sensation among teenagers and 20-somethings. Officials fear the app could be used as a spy tool.
Anjum Naveed/AP TikTok is contemplating ways to distance itself from its Chinese parent company as threats from Washington grow louder.
Congress this week advanced legislation to block federal employees from using TikTok on government-issued devices. The Trump administration is considering ways to push the video-sharing app, beloved by teens and 20-somethings, out of the U.S. altogether.
TikTok is owned by the Chinese technology giant ByteDance. And while TikTok has taken steps to distance itself from its Beijing parent company, both the Trump administration and some Republicans and Democrats in Congress fear the Chinese Communist Party could use TikTok as a tool to spy on Americans.
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"When we talk about sanctions against Russian oligarchs and kleptocrats, well, the sanctions are that no American can do business with them," said Stewart Baker, the former general counsel at the National Security Agency. "And now that same sanction might be used against TikTok." If the act is invoked, financial transactions between Americans or U.S.-based financial institutions and TikTok would be illegal and punishable with hefty civil fines or criminal prosecution. "No American can give them advertising money. No American may pay them for the app. No American can enter into a transaction to put them into their app store," Baker said. In other words, it would not be possible to find TikTok in app stores. And updates to the app would not be sent to the tens of millions of Americans who already have it on their phones. Eventually, that would make managing the app untenable. TikTok could also be added to the Commerce Department's blacklist, known as "the Entity List." The administration has placed Chinese telecom giant Huawei on it, only to grant several reprieves since. A third option under consideration by the Trump administration and some lawmakers in Congress is to challenge ByteDance's acquisition of American lip-syncing app Musical.ly in November 2017, a merger that set the stage for TikTok to become one of the most popular apps in the world. Officials at TikTok declined to comment on any of the possible enforcement actions aimed at the company. TikTok rethinks corporate structure in the U.S. TikTok says that its data on American users is mostly stored in the U.S. and that it has never turned over any information on U.S. users to Chinese authorities. If Beijing made a request, TikTok says, it would not cooperate. But Baker says if the Chinese government sought data on Americans, it could force TikTok's parent company to comply. 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