WASHINGTON – TikTok saw a positive shift in its situation on Thursday, as increasing numbers of U.S. officials suggested that the Chinese parent company, ByteDance, should be granted more time to divest the app and avoid a ban ahead of President-elect Donald Trump’s return to the White House.
The incoming national security adviser for Trump stated that the new Republican administration could allow the popular social media platform, which boasts 170 million American users, to continue operating in the U.S. if a feasible deal is reached. Additionally, top Senate Democrat Chuck Schumer called on President Joe Biden to extend the impending Sunday deadline for a shutdown by 90 days.
An April law requires ByteDance to sell TikTok’s U.S. assets to a non-Chinese buyer by Sunday or face a ban over national security issues.
We will implement measures to ensure TikTok remains available, U.S. Representative Mike Waltz told Fox News, referencing a law provision that permits a 90-day extension if there is significant progress toward a sale. This essentially gives President Trump more time to maintain TikTok’s operations, added Waltz, selected by Trump to be his national security adviser.
The U.S. Supreme Court is currently deliberating whether to uphold the law that could lead to TikTok’s ban on Sunday without a divestiture, or potentially overturn the law or delay its enforcement to allow more time for a ruling.
The court indicated it may announce decisions on Friday but did not specify which cases would be addressed.
Although Trump previously supported a ban on TikTok, he changed his position last year amid growing backing for his presidential campaign from tech leaders and overtures from Republican donor Jeff Yass, who owns a significant share of ByteDance.
In a sign of the evolving relationship between Trump and TikTok, the app’s CEO, Shou Zi Chew, is set to attend the presidential inauguration on January 20 and will be seated among notable guests, according to sources familiar with the arrangements.
BIPARTISAN SHIFT
It’s clear that more time is needed to find an American buyer and prevent disruption for millions of Americans, Schumer stated on the Senate floor, noting that Democrats attempted to pass a bill extending the deadline to 270 days. I will collaborate with the Trump administration and both parties to keep TikTok operational while ensuring our national security, he added.
Schumer’s remarks, especially as a strong advocate for the divestiture law, reflect increasing apprehension among prominent Democrats regarding the potential repercussions and political fallout of banning TikTok.
The New York Times reported that Trump is considering an executive order to enable TikTok to continue operating despite a potential ban until new ownership is secured, though it remains unclear if he has the legal authority to bypass Congress’s divestiture mandate.
TikTok has not responded to inquiries for comment.
Karoline Leavitt, a spokesperson for the Trump transition, stated, President Trump has consistently expressed his intent to save TikTok, and there’s no better dealmaker than Donald Trump.
TALKS A BIG GAME
Nonetheless, many Republicans and Democrats remain concerned about the implications of Chinese ownership of the app, fearing that the Chinese government could exploit it to gather data on U.S. citizens and disseminate propaganda.
Trump has been vocal about China and advocated for a TikTok ban—just as many Republicans have done, wrote Representative Frank Pallone, the leading Democrat on the Energy and Commerce Committee, on the social media platform X. Now, he’s inviting TikTok’s CEO to sit beside him at his inauguration, despite TikTok’s ties to the CCP and its threat to national security. What message does this send?
The looming possibility of a TikTok ban has already driven some users to look for alternatives, with the Chinese social app RedNote reportedly gaining nearly 3 million users in the U.S. in just one day this week, according to analytics firm Similarweb.
According to sources, TikTok plans to cease its U.S. operations on Sunday unless there is a last-minute intervention.
A White House official told Reuters on Wednesday that Biden has no intention of blocking a ban during his final days in office if the U.S. Supreme Court does not take action. The official added that Biden cannot intervene unless ByteDance presents a credible divestiture plan.
Privately held ByteDance is approximately 60% owned by institutional investors like BlackRock and General Atlantic, with its founders and employees each holding 20%. The company employs over 7,000 people in the United States.
