TikTok Faces Uncertain Future as Biden Signs Law to Ban Chinese Owners

TikTok has announced its plans to challenge a new U.S. law that would require it to sever ties with its Chinese owners or face a ban in the United States. The app will continue to function for its American users during the nine-month grace period given by President Joe Biden’s signed law, which aims to ensure national security concerns are addressed.

TikTok has successfully challenged a similar ban under the Trump administration in the past, but finding a non-Chinese buyer may prove challenging due to the large resources required. Potential buyers include large technology companies like Meta, Google, or Microsoft, although they may face regulatory scrutiny for possible monopoly concerns. If TikTok fails to find a buyer within the specified deadline, it may no longer be available on app stores in the United States.

The potential ban on TikTok could benefit Meta and Google, who have launched their own similar platforms. China has expressed support for TikTok in this dispute, fearing the precedent it may set for Chinese companies being forced to sell valuable assets. Amidst this legal battle, TikTok’s future remains uncertain as it navigates through this challenging situation.