TikTok restored service in the US yesterday after briefly going dark, as a law banning the wildly popular app on national security grounds came into effect.
The video-sharing platform credited US president-elect Donald Trump, who retakes power today, for making the reversal possible — although the outgoing administration of US President Joe Biden had earlier said that it would not enforce any ban.
Photo: Bloomberg
TikTok had shut down in the US late on Saturday as a deadline loomed for its Chinese owners ByteDance to sell its US subsidiary to non-Chinese buyers.
Earlier yesterday, as millions of dismayed users found themselves barred from the app, Trump promised to issue an executive order delaying the ban to allow time to "make a deal."
He also called in a post on his Truth Social platform for the US to take part ownership in TikTok.
Trump said he "would like the United States to have a 50 percent ownership position in a joint venture," arguing that the app's value could surge to "hundreds of billions of dollars — maybe trillions."
"By doing this, we save TikTok, keep it in good hands," wrote Trump, who had previously backed a TikTok ban and during his first term in office made moves toward one.
In a statement posted on X following Trump's comments, TikTok said it "is in the process of restoring service."
"We thank President Trump for providing the necessary clarity and assurance to our service providers that they will face no penalties providing TikTok to over 170 million Americans," it said.
Beijing today urged Washington to listen to "rational voices" over the ban.
Chinese Ministry of Foreign Affairs spokeswoman Mao Ning (毛寧) also said China attached "great importance to and protect data privacy and security."
"We have never and will not ask companies or individuals to collect or provide foreign data located in foreign countries in a way that violates local laws," she said.
TikTok, which was back online in the US by yesterday afternoon, did not address Trump's call for part US ownership of the app.
Wedbush Securities analyst Dan Ives said the episode "marked a big win for TikTok and a political win for Trump," likening the episode to "high-stakes poker between the US and China."
At a pre-election rally yesterday evening at a Washington sports arena, Trump hammered home his enthusiasm for saving the app, telling the crowd: "Frankly, we have no choice, we have to save it," while indicating that there were a "lot of jobs" involved.
"We don't want to give our business to China, we don't want to give our business to other people," Trump told his supporters.
The law allows for a 90-day delay of the ban if the White House can show progress toward a viable deal, but so far ByteDance has flatly refused any sale.
The Biden administration said it would leave enforcement of the law to Trump.
Yesterday's blackout came after the US Supreme Court on Friday last week upheld the legislation banning it pending any sale.
Trump, who signed an executive order stepping up pressure on ByteDance to sell in 2020, has since credited the app with connecting him to younger voters.
It is unclear what the incoming president can do to lift the ban unless ByteDance ultimately sells, however.
"Congress wrote this law to be virtually president-proof," said Adam Kovacevich, chief executive of industry trade group Chamber of Progress.
Besides removing TikTok from app stores, the law requires Apple and Google to block new downloads, with the companies liable for penalties of up to US$5,000 per user if the app is accessed.
Oracle, which hosts TikTok's servers, would also be legally obligated to enforce the ban.
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