On Friday, the United States Supreme Court voted unanimously to uphold the law requiring TikTok’s Chinese parent company to sell the app, setting in motion a ban scheduled to start this Sunday. The Court agreed with the Biden administration that the divest/ban law does not violate the First Amendment.
The Incoming Trump administration asked the court to delay the deadline ban so that he could negotiate a deal to avoid it. However, the court’s deliberative process was conducted at a lightning pace, producing today’s decision.
How Did TikTok Get Here
Last April, with bipartisan support, Congress passed a law giving TikTok’s parent company, Bytedance, 270 days to divest from the app or face a ban in U.S. stores. President Biden supported the bill, and he signed it into law. When announcing their support for the law, the Biden administration said national security issues superseded free speech concerns. TikTok is allied closely with the Chinese government, and fear is that Chinese authorities could access the data of U.S. citizens or completely manipulate the app’s content algorithm.
The Court stated in its opinion.
โThere is no doubt that, for more than 170 million Americans, TikTok offers a distinctive and expansive outlet for expression, means of engagement, and source of community.โ โBut Congress has determined that divestiture is necessary to address its well-supported national security concerns regarding TikTokโs data collection practices and relationship with a foreign adversary.โ
What Happens Now
If the law goes into effect, the app will be removed from Apple and Google stores starting Sunday. Those who fail to comply could face stiff fines under the law. That means if you don’t have TikTok on your phone by the 19th, you will not be able to download it. Existing users could continue to use the app without updates until it stops working.
A Biden administration official told CNN yesterday that his administration plans to leave the enforcement of the ban to the incoming Trump administration. Since Trump’s inauguration occurs on the day after the ban begins, there would be no officials on Sunday to enforce the ban, leaving the decision up to the stores to comply.
But even if there was no movement to remove TikTok from the stores, there is a rumor that Bytedance might voluntarily discontinue the app. So, users of the app are unsure of what’s next for the social media sensation.
Potential Purchasers of TikTok
Estimates are that TikTok’s U.S. assets are in the $40-$50 billion range, excluding the algorithm. Former Los Angeles Dodgers owner Frank McCourt and a group including “Shark Tank” star Kevin Leary have made a formal bid to buy the app from Bytedance. Chinese officials have also discussed selling to Elon Musk. No comment yet from Musk’s camp, but no one would be shocked if he made the purchase.