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TikTok Takes Legal Action Against Biden Administration Over Mandate to Either Ban or Sell

TikTok, owned by ByteDance, is taking legal action against the US Government due to a legislation that threatens its potential ban in the country. ByteDance contends that the government’s actions infringe upon First Amendment rights. The bill, signed by President Biden on April 24, stipulates that ByteDance must sell TikTok by January 19.

TikTok, the wildly popular social media app, has launched a legal battle against the US Government following President Joe Biden’s endorsement of a bill compelling its Chinese owners, ByteDance, to divest the platform or face a ban in the United States.

ByteDance, the parent company of TikTok, has accused the Biden administration of trampling on First Amendment rights, asserting that the proposed measures aim to silence the vast user base of approximately 170 million Americans who rely on the platform for communication and expression.

The bill, which received overwhelming approval from Congress and was signed into law by President Biden on April 24, sets a deadline of January 19 for ByteDance to sell TikTok or risk a ban. This legislative move was primarily fueled by concerns over potential Chinese government access to American users’ data through the app.

In a bid to thwart the implementation of the bill, ByteDance has initiated legal proceedings, filing a lawsuit in the US Court of Appeals for the District of Columbia. Their argument hinges on the contention that divestiture of TikTok is not feasible from commercial, technological, or legal standpoints.

The lawsuit contends, “There is no question: the Act will force a shutdown of TikTok by January 19, 2025, silencing the 170 million Americans who use the platform to communicate in ways that cannot be replicated elsewhere.”

Meanwhile, amidst this legal strife, TikTok CEO Shou Zi Chew made headlines for attending the prestigious Met Gala in New York City, where he served as an honorary chair alongside Loewe creative director Jonathan Anderson. This juxtaposition highlights the clash between legal battles and public appearances for TikTok’s leadership.

The newly enacted law poses significant challenges for TikTok, as it prohibits app stores from offering the platform and bars internet hosting services from supporting it unless ByteDance divests ownership. Moreover, the lawsuit alleges that the Chinese government has explicitly stated its opposition to the divestment of the recommendation engine crucial to TikTok’s success in the US.

Despite TikTok’s efforts to assuage security concerns, including investing $2 billion in data protection measures and negotiating a comprehensive National Security Agreement with the Committee on Foreign Investment in the United States (CFIUS), the situation remains precarious. The lawsuit outlines TikTok’s previous commitments, including a “shut-down option” allowing the US government to suspend the platform if certain obligations were violated.

However, discussions between ByteDance and CFIUS soured in 2022, with the latter insisting on the divestment of TikTok’s US business. CFIUS, chaired by the US Treasury Department, reviews foreign investments for national security implications, underscoring the geopolitical dimensions of the TikTok saga.

President Biden retains the authority to extend the January 19 deadline by three months if he deems ByteDance to be making progress toward compliance. This regulatory uncertainty adds further complexity to the situation, reminiscent of the tumultuous period under former President Donald Trump’s administration.

Trump’s initial attempts to ban TikTok and another Chinese-owned app, WeChat, were thwarted by legal challenges. However, he later softened his stance, emphasizing the need for addressing security concerns while refraining from outright bans.

The feasibility of a TikTok sale remains uncertain, with questions looming over potential buyers’ financial capacity and the regulatory hurdles involved. Furthermore, the relocation of TikTok’s source code to the US, as suggested by some, is deemed impractical and time-consuming.

The protracted battle over TikTok underscores the broader conflict between the US and China in the realm of technology and cyberspace. Recent actions by China, such as ordering Apple to remove Meta Platforms’ WhatsApp and Threads from its App Store over national security concerns, further exacerbate this tension.

As the legal and geopolitical saga surrounding TikTok unfolds, it serves as a microcosm of the complex dynamics shaping the future of the internet and international relations.

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