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Implications of Biden’s Move and TikTok’s Future
President Joe Biden has just inked a bill that could set the stage for a nationwide TikTok ban, intensifying the jeopardy facing the company’s operations in the US. This development stems from a broader foreign aid package aimed at supporting Israel and Ukraine, passed by Congress and approved by both the House and Senate this week.
The legislation mandates TikTok’s Chinese parent company, ByteDance, to divest its ownership within 270 days. Failure to comply would result in severe penalties, including expulsion from US app stores and internet hosting services. Biden’s signing of the bill on Wednesday sets a deadline for the sale by January 19, 2025, with a provision for a 90-day extension if deemed necessary.
TikTok is pushing back against the law, vowing legal action to challenge its constitutionality. The platform’s CEO reassures users of their persistence and vows to defend their rights in court. Meanwhile, the company argues that the law would devastate its massive user base and business ecosystem in the US.
This legislative move’s origins lie in a tactical maneuver by House Republicans to attach a revised TikTok bill to a crucial foreign aid package, expediting its passage. For TikTok users, the immediate impact remains uncertain, pending the company’s response and potential legal battles. However, the prospect of a forced sale raises significant questions about TikTok’s future, especially concerning the fate of its algorithm, a critical component of its success.
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