A Forced Sale of TikTok
April 26, 2024
Despite serious division between the parties (and, to a certain degree, within them), the House of Representatives and Senate approved a major bill with far-reaching implications. Beyond the billions of dollars in aid that go to Ukraine and Israel, there is the push for a forced sale of TikTok. PBS NewsHour reports that the legislation, which President Biden has signed into law, develops a nine-month timeline for TikTok’s parent, ByteDance, to sell its U.S. business before the institution of a ban. Unsurprisingly, the move’s reception has been mixed, and its implications may not be fully understood.
ByteDance is now under pressure from all directions. The company has insisted it is not considering a sale, but even if it was, engaging in such a transaction would likely prove difficult. According to The Wall Street Journal, “Chinese officials at the country’s main internet regulator have privately indicated to the company their preference is for the app to pull out of the U.S. if forced to do so, instead of selling its operations there…” Regarded by many as the hottest social media app in the globe today, it is unlikely the United States can pressure a sale without pushback from the Chinese government.
The ACLU came out against Congress’ moves regarding TikTok in a letter to the House of Representatives, asserting, “... [a ban] unconstitutionally infringes on First Amendment rights of more than 170 million Americans who rely on TikTok to receive or express speech on a truly endless array of issues.” It is worth considering, too, that the platform’s use is often seen as a generational division in America, which a ban would likely only serve to exacerbate. TikTok CEO Shou Zi Chew, however, in March 2023, in written testimony for the House Committee on Energy and Commerce, claimed that “....the average user today… [is] an adult well past college age.”
Regardless, the country is not in agreement in terms of how it views the need for legislation targeted at TikTok. According to the CNBC All-America Economic Survey, 31% of Americans oppose a ban on the platform, while 27% support one if a forced sale does not occur, and 20% support an absolute ban regardless of whether there is a sale or not.
The U.S. government may seek to force a sale, but whether that happens is up in the air. With the potential rejection of any deal from the Chinese government and a perceived lack of interest in selling from ByteDance, the path to a sale looks far from being undertaken. Beyond that, groups like the ACLU challenge the constitutionality of a ban, raising questions about First Amendment implications. Ultimately, the situation will play out in the coming months as the countdown to the deadline charges forward, all within an election cycle.