US Congress took a significant step towards curbing the influence of TikTok, as legislators voted overwhelmingly to compel its sale.
Amid mounting concerns over national security and the app’s role in disseminating information, the House of Representatives passed a bill with a decisive 362-65 vote, demanding ByteDance to divest TikTok within 180 days to avoid app stores distributing it.
While TikTok’s CEO Shou Zi Chew expressed bewilderment over the move, citing a lack of clarity on the company’s alleged wrongdoing, lawmakers have long voiced apprehensions about a Chinese-owned platform gaining prominence among American youth, with fears ranging from data privacy to electoral interference.
The bill’s passage marks a significant bipartisan effort, highlighting widespread concerns about TikTok’s influence and ByteDance’s ties to the Chinese government.
Despite TikTok’s assertions of independence and claims of implementing safeguards to protect user data, critics argue that the app’s growing role as a news source and its algorithmic biases raise serious questions about its operations.
Legal challenges
TikTok’s efforts to mobilise users in lobbying against the bill and its history of legal challenges, reminiscent of past clashes with the Trump administration, underscore the company’s determination to defend its position in the US market.
However, the bill’s fate in the Senate remains uncertain, with Senate Majority Leader Chuck Schumer yet to indicate the chamber’s stance.
While several senators have expressed support for the measure, including key figures from both parties such as Mark Warner and Marco Rubio, the threshold for its passage remains unclear.
TikTok’s executives, skeptical of the bill’s prospects, anticipate a tough battle in the Senate, with potential legal challenges looming should the legislation advance. Moreover, former President Donald Trump’s recent opposition to the bill, citing concerns over its impact on rival social media platforms, adds another layer of complexity to the ongoing debate.
HOUSE PASSES TIKTOK BILL: U.S. House PASSES bill forcing on requiring TikTok to divest from China or face U.S. ban, 352-65. pic.twitter.com/4Fs4RRH0I6
For TikTok, the stakes are high, with potential ramifications extending beyond the US market.
Past attempts to negotiate deals, including discussions with Microsoft and Oracle, have faltered, and ByteDance’s reluctance to divest TikTok further complicates the situation.
As investors grapple with uncertainty and internal frustrations mount, TikTok’s future hangs in the balance, with global bans and regulatory challenges posing additional hurdles to its operations.
Amidst mounting pressure and dwindling morale among employees, TikTok finds itself at a crossroads, grappling with the prospect of a forced sale and navigating a turbulent regulatory landscape.
While TikTok’s fate remains uncertain, the battle for its future underscores broader geopolitical tensions and concerns surrounding tech platforms’ influence, raising fundamental questions about data privacy, national security, and corporate governance in the digital age.
As legislators weigh the implications of their actions and TikTok confronts existential challenges, the outcome of this high-stakes standoff will shape the future of social media regulation.
Ahron Young is an award winning journalist who has covered major news events around the world. Ahron is the Managing Editor and Founder of TICKER NEWS.
As businesses embrace cutting-edge tech, challenges like data sovereignty and AI are taking centre stage.
Over the past six months, the AI industry has seen significant advancements, with competing models such as Meta’s Luma and Google’s Gemini entering the market.
However, these developments come with a reality check. Building large language models (LLMs) requires substantial computing power and time, making immediate returns on investment unlikely.
One promising innovation is agentic AI, a step beyond generative AI, which enables proactive, automated solutions.
For instance, this technology could stabilise IT systems autonomously, diagnosing and resolving issues without human intervention.
Data sovereignty has also emerged as a key focus, with increasing emphasis on keeping data within national borders to comply with local laws. This has driven the adoption of sovereign clouds and private data centres, ensuring secure and localised data processing for AI development.
Deepak Ajmani, Vice President of ANZ & APAC Emerging Markets at Confluent, joins to discuss the evolving business landscape.
Key lessons and tips for seamless Copilot adoption
In this episode, Kate Faarland, the Senior Vice President of Data and AI Programs at AvePoint, discusses the importance of AvePoint’s data and AI program, internal challenges with implementing CoPilot, and the organisation’s learnings from rolling out CoPilot for their workforce.