Donald Trump’s victory could hand a lifeline to TikTok, which faces a ban in the US under the current Biden Administration.
The app is owned by Chinese tech giant ByteDance. It faces an imminent ban in the United States unless it is sold to a non-Chinese company by January 19, one day before Donald Trump’s inauguration.
However, the president-elect has hinted at a potential lifeline, reversing his previous stance on banning TikTok in 2020.
A Surprising Reversal from Trump
During his campaign, Trump expressed interest in finding a way to keep TikTok operational, a stark contrast to his efforts in 2020 to block the app over national security concerns.
Karoline Leavitt, a spokesperson for Trump’s transition team, said:
“The American people re-elected President Trump by a resounding margin, giving him a mandate to implement the promises he made on the campaign trail. He will deliver.”
While Trump’s team has promised to act, specific plans remain unclear.
Legal analysts believe Trump might intervene through executive actions or by pushing ByteDance to make structural changes that would satisfy national security concerns.
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Legal and Political Hurdles Ahead
A federal law signed in April mandates TikTok must be sold by mid-January or face a ban in the United States.
The law, which passed with bipartisan support, cites national security risks due to TikTok’s ownership by ByteDance.
TikTok is challenging the law in court, arguing that a forced sale would be impossible due to Chinese government restrictions and would violate First Amendment rights.
Experts believe the courts are likely to side with the US government.
However, Trump could potentially extend the deadline if there is “significant progress” towards divestiture. However, he may choose not to enforce the law. This could complicate matters for tech companies like Apple and Google that would be penalized for hosting TikTok on their platforms.
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Influential Backers and Lobbying Efforts
TikTok’s relationship with the Trump campaign has evolved considerably.
The company made inroads with key Republican figures, including Jeff Yass, a billionaire investor and significant shareholder in ByteDance.
Yass is a prominent supporter of the anti-tax group Club for Growth, which hired former Trump counselor Kellyanne Conway to lobby for TikTok’s interests in Washington.
Tony Sayegh, a former Treasury official under Trump, has also played a crucial role in advising TikTok’s executives, including CEO Shou Chew.
Sayegh’s connections with the Trump family and his strategic counsel have helped shape TikTok’s outreach efforts to the Republican party.
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Growing Popularity Among Trump and His Family
Trump himself has become a popular figure on TikTok, amassing 14.4 million followers since rejoining the platform.
Several members of the Trump family, including Ivanka Trump and Donald Trump Jr., have also joined TikTok, boosting its visibility among conservative audiences.
TikTok’s outreach extended to both sides of the political spectrum, with former Democratic strategists like David Plouffe previously advising the company.
Vice President Kamala Harris also leveraged TikTok during her campaign, gaining millions of followers and showcasing the platform’s broad appeal.
Challenges and Uncertain Future
Despite optimism surrounding Trump’s potential intervention, the path forward for TikTok remains fraught with uncertainty.
The legal mandate for a sale, combined with a fast-approaching deadline, creates significant hurdles. Analysts warn repealing the law would require Congressional action, and courts may not favor TikTok’s legal challenge.
Ian Tang, an analyst at Capstone, said:
“Trump being elected improves the conditions for TikTok a little bit. It’s still an uphill battle, and there will have to be some structural change for it to remain operating in the US.”
Other tech companies could face legal risks if they continue to distribute TikTok without a formal policy change.
ByteDance’s Options and Trump’s Potential Approach
ByteDance could attempt to implement changes that would satisfy national security concerns without a full sale of TikTok.
Trump may also consider extending the deadline for divestiture if he sees progress, allowing ByteDance time to restructure its ownership.
Jacob Helberg, an adviser to Palantir and a proponent of the law targeting TikTok, expressed confidence in Trump’s ability to find a creative solution, saying:
“President Trump is going to bring a fresh approach to pursuing a divestiture. He’s an out-of-the-box thinker.”
The US government’s stance is rooted in concerns TikTok’s Chinese ownership poses a national security threat, potentially allowing Beijing to access sensitive user data or spread propaganda.
However, no public evidence has been presented to suggest TikTok has acted at the behest of the Chinese government.
Legal Battle Awaits a Decision
TikTok’s immediate hurdle is its ongoing legal challenge to the ban, currently awaiting a decision from a three-judge panel in the U.S. Court of Appeals for the District of Columbia Circuit.
Both TikTok and the Biden administration have indicated they may appeal to the Supreme Court if the ruling is unfavorable.
Alan Rozenshtein said: “It’s still very uncertain for TikTok, but this is certainly the best outcome they could have hoped for.”
Will Trump’s Support Be Enough to Save TikTok?
As the January 19 deadline approaches, TikTok’s future in the U.S. hangs in the balance.
While Trump’s election victory has brought renewed hope, the company faces significant legal and political challenges:
- Can Trump effectively intervene to delay or alter the ban on TikTok?
- Will ByteDance make enough changes to satisfy national security concerns?
- How will the tech giants respond if enforcement of the ban is postponed?
For now, TikTok is navigating an uncertain landscape, hoping that Trump’s promises translate into tangible action to keep the app accessible to its 170 million U.S. users.
