On January 19, TikTok was briefly banned in the U.S. before being reinstated by President Trump’s executive order. The divestment deadline was extended to April 5, but uncertainty remains, potentially impacting Apple, Google, and Oracle with multi-billion-dollar liabilities. Three U.S. senators urged Trump for clarity by March 28, suggesting that the app store offerings may violate the law. While the Department of Justice reassured these companies about enforcement, concern persists. Senators prefer TikTok undergo divestment instead of a ban. Multiple rumors hint at U.S. companies acquiring TikTok, despite ByteDance’s claims that such a split would be complex.
TikTok was initially banned in the United States on January 19, but President Donald Trump reinstated it just 13 hours later through an executive order.
The divestment deadline was postponed to April 5, yet as this date nears without a resolution, major companies like Apple, Google, and Oracle are potentially facing multi-billion-dollar liabilities.
This concern was brought to light by three U.S. senators, who pointed out that disregarding legal requirements is not a viable long-term strategy.
A letter addressed to President Trump, signed by Edward J. Markey (D-MA), Chris Van Hollen (D-PA), and Cory Booker (D-NJ), urged the need for a resolution or, at the very least, answers to clarify the circumstances by March 28.
The officials argue that Apple and Google offering TikTok on their app stores breaches the law, which could lead to repercussions from the current administration or any future one. Additionally, Oracle is under investigation due to its provision of cloud computing services to TikTok.
Although the U.S. Department of Justice later assured these companies that the Act would not be enforced, there remains uncertainty regarding the duration of this assurance.
The senators reiterated their opposition to banning TikTok, advocating for the company’s divestment to ensure continued access for its 170 million U.S. users and 7 million creators. The 75-day extension will conclude on April 5, which is just 10 days away.
There have been ongoing rumors suggesting that U.S. companies may acquire TikTok’s American operations, although ByteDance has continually stated that separating the algorithm would be highly challenging and could take years.
On a somewhat related note, we have decided to launch our own TikTok account. Expect exclusive content, video reviews, and behind-the-scenes insights that typically don’t make it to YouTube, and you can find us at @gsmarenateam.
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