The U.S. Congress has introduced a piece of legislation titled the Protecting Americans from Foreign Adversary Controlled Applications Act. This bill would require ByteDance, the Chinese company that owns TikTok, to sell its stake in TikTok or face a ban in the U.S. within 180 days of enactment. The legislation reflects the government’s national security concerns over foreign-owned apps with overwhelming popularity and influence in the U.S.
What could this mean for TikTok and other foreign-owned apps? Here’s what you need to know.
Explainer: Why the U.S. is moving to ban TikTok
The U.S. government’s push to potentially ban TikTok centers on national security concerns. Officials are worried that ByteDance could be compelled to hand over U.S. user data or influence content under Chinese laws that require companies to cooperate with the state.
The app collects vast amounts of user data, including browsing history, location data, and device identifiers, which could potentially be accessed by the Chinese government. Moreover, there’s apprehension about the platform possibly being used to spread content that could sway U.S. public opinion.
Is this bill different from the U.S. Restrict Act?
Yes. While both the U.S. Restrict Act and the Protecting Americans from Foreign Adversary Controlled Applications Act are concerned with national security and foreign influence on U.S. technology, their approaches and scopes differ significantly. The latter directly targets TikTok and mandates divestiture to prevent a ban, focusing on a specific high-profile case.
In contrast, the Restrict Act employs a broader strategy, granting the Commerce Department powers to oversee and potentially regulate transactions and activities of tech entities under foreign adversarial control, without singling out specific companies.
So ByteDance has 180 days to sell TikTok?
Not quite. The bill has been introduced but not yet passed into law. After passing the House, the “Protecting Americans from Foreign Adversary Controlled Applications Act” now heads to the Senate. If the Senate approves the bill, it will be sent to President Biden, who has indicated readiness to sign it into law. Once enacted, ByteDance will have a 180-day window to divest TikTok or face a ban in the U.S.
How will U.S. TikTok creators be affected by the bill?
For U.S. TikTok creators, the passage of the Act could significantly impact their content creation and distribution—likely affecting many livelihoods.
If TikTok were banned or ByteDance failed to find a U.S. buyer within the 180-day deadline, creators would lose access to their U.S. audiences, disrupting their engagement and revenue streams.
Can users circumvent a potential TikTok ban in the U.S.?
If TikTok faces a ban in the U.S., accessing it will become significantly harder but not impossible. When visiting TikTok with a browser, it would be possible to bypass location-based restrictions by using a VPN. When using apps within mobile devices, while VPNs could work, it’s possible that the app will determine user location via SIM card rather than IP address (as is the case in some places where it’s banned). The method used to enforce the ban will determine the solution.
If TikTok is banned, are these apps next?
Should a TikTok ban come into effect, the U.S. might scrutinize other apps that carry similar privacy concerns. Here are a few examples.
WeChat is an instant messaging, social media, and payment app developed by Tencent.
The super app has something like a billion users globally, with a much smaller figure of about 19 million users in the U.S. It’s likely that people living in America use WeChat to communicate with those overseas or are recent arrivals to the U.S. and more accustomed to WeChat than other chat apps.
In 2020, former U.S. President Donald Trump signed an executive order prohibiting transactions with eight payment apps, including WeChat, alleging that these apps threaten national security. However, the order was blocked.
CapCut
CapCut is a video-editing app developed by ByteDance, the parent company of TikTok. CapCut exists both as a standalone app and as an integration within TikTok. Users who edit their videos natively on TikTok are actually using CapCut’s editing functionality and music library.
While CapCut’s fate is uncertain, it’s safe to assume that the app might also be scrutinized, given its parent company.
Shein
Shein is a fast-fashion online retailer peddling affordable clothes, accessories, and beauty products. Based on data from Business of Apps, the U.S. is one of Shein’s largest markets, followed by Brazil and Mexico. While discussions about the brand’s data collection and privacy have been minimal, the company is linked to multiple controversies.
Most recently, a coalition known as Shut Down Shein has been set up to educate Americans about the fashion brand and its alleged dodgy dealings.
Temu
Temu is an online marketplace selling everyday items at affordable prices. Based in the U.S., the e-commerce platform is a subsidiary of PDD Holdings, which owns Pinduoduo, a popular shopping app that’s come under fire for spying capabilities.
Thanks to an aggressive ad strategy, Temu is now the second-most popular shopping app in the U.S. as measured by monthly users, behind Amazon.
AliExpress
Like Temu and Shein, AliExpress is an online marketplace popular among Americans for its affordable items. In the U.S., AliExpress has been compared to eBay. In 2022, the Office of the United States Trade Representative added the platform to its Notorious Marketplaces for Counterfeiting and Piracy list. Other apps on the list include WeChat, Taobao, Baidu, and DHGate.com.
What does a potential TikTok ban signal for digital rights and freedom?
A TikTok ban in the U.S., along with restrictions on other apps, would raise critical questions about digital rights and freedom, spotlighting the tension between national security and the open internet.
It should be noted that U.S. social media platforms are banned in China. And this move by the U.S. suggests increased government oversight in the digital realm for the U.S.
It’s another step toward the concept of the “splinternet,” an internet that is split into multiple webs based mainly on your location. This runs counter to the original spirit behind the internet, a place that was decentralized, with all data treated the same (net neutrality), catering to everyone on a wide variety of devices, and with universal standards.
What are your thoughts on the bill to ban TikTok in the U.S. and the potential restrictions on other foreign-owned apps?
FAQ: About U.S. app bans
Why is TikTok being banned in the U.S.?
TikTok is not yet banned in the U.S., although there are calls for such an action. U.S. government officials claim that TikTok is a national security threat due to the possibility of the company’s parent, ByteDance, handing over the data of American users to the Chinese government. The U.S. has also raised concerns about propaganda being spread via TikTok and the addictive qualities of the app, especially for young people.
What will happen to TikTok?
It’s currently unclear what the future holds for TikTok in the U.S. The U.S. government has requested that TikTok’s parent company, ByteDance, sell the app or risk a possible ban in the country.
Comments
Great read. I think a ban has less to do with ‘security’ and ‘privacy’ of users (look at the data that Google, Meta, M.Soft, etc… gather) and more to do with how your article says; “…platform possibly being used to spread content that could sway U.S. public opinion.”
It’s about limiting information – it’s censorship.
Next will be possibly a ban on crypto – as central bank digital currency will gradually replace cash. I think it’s all about control.
What about Niantic/Pokemon go? I was just asking about this and found this article… Is that why they vaguely mention dealing with “a European company” in the new privacy policy section about collecting personal data?
Hey there. Just wondering what the ramifications will be for VPN companies with the Restrict Act. I would imagine VPN companies will be eyed first by the security services. By the way I’m a loyal ExpressVPN customer for years.
Hi, we touch on it briefly here: https://www.expressvpn.com/blog/the-u-s-restrict-act-explained/
It’s hard to give any good answers about the VPN question, since it’s still just a bill. What we do know is that the language of the bill is very broad, and that a leader behind the bill has explicitly said “the punishments in the bill would not be used against ordinary citizens.”
Good to hear this. An app with even a slightest evidence of spying for the chinese government have no right to exist at all.