In order to continue operations in the United States, popular video-sharing app TikTok must comply with the requirement to change its ownership. This decision was made by the U.S. Federal Appeals Court on Friday, December 6. TikTok’s Chinese parent company, ByteDance, has been given a deadline of January 19 to divest from its ownership of TikTok. Failure to do so will result in the app being banned in the U.S., according to Reuters.
The Biden administration has expressed concerns that TikTok’s users’ personal data could fall into the hands of the Chinese government, posing a national security and privacy risk. The government has insisted on changing the app’s Chinese ownership to protect these interests, though TikTok has denied the accusations.
TikTok had hoped that the court would suspend the government’s decision, but the Federal Appeals Court upheld the government’s stance. The court stated that the law was created under the oversight of Congress and two U.S. presidents, specifically for national security purposes.
Meanwhile, organizations advocating for free speech have criticized the ruling. The American Civil Liberties Union (ACLU) stated, “This decision violates the First Amendment rights of millions of users.”
ByteDance plans to appeal the decision to the U.S. Supreme Court. If the Supreme Court also upholds the ruling, ByteDance will have to divest from TikTok by January 19. ByteDance could request a 90-day extension, but it is unclear whether President Biden will grant such a request.
On January 20, Donald Trump will take office as President. Although he attempted to ban TikTok in 2020, that effort was unsuccessful. This time, Trump has stated that he does not see the need to ban TikTok.
If TikTok is banned, it could have a significant impact on the U.S. technology sector and social media users. The ruling also raises questions about the future of foreign-owned apps in the country.