Trump told reporters he will use executive power to ban TikTok – ProWellTech
President Donald Trump said he could act to ban the world’s most popular short video app TikTok from the United States as early as Saturday, according to The Hill.
The president said he could use “emergency economic powers or an executive order” to exclude TikTok from the United States, he told reporters on board Air Force One on Friday.
The news came a few hours after the news that Microsoft was in talks to buy TikTok. Investors reportedly estimate three-year TikTok at $ 50 billion. In his observation on Friday, Trump reported that he was not in favor of allowing an American company to acquire TikTok.
On the same day, Bloomberg reported that Trump could order ByteDance to divest TikTok’s ownership.
In response to Trump’s decision, TikTok, as usual, tried to argue that it is in the interest of the United States to maintain the app and that it does not pose a threat to national security:
“100 million Americans come to TikTok for fun and connection, especially during the pandemic. We have hired nearly 1,000 people on our US team this year alone and are proud to hire 10,000 other employees in excellent paid jobs in the United States. Our $ 1 billion creator fund supports U.S. creators who are building livelihoods from our platform. TikTok user data in the United States is stored in the United States, with strict controls on employee access. TikTok’s biggest investors are from the United States. We are committed to protecting the privacy and security of our users as we continue to work to bring joy to families and significant careers for those who create on our platform, “said a TikTok spokesman.
Trump’s announcement confirmed weeks of speculation that U.S. regulators planned to block TikTok, which is immensely popular with American teenagers, due to concerns that it could be an espionage tool for Beijing.
The question is Such as a transfer or a ban on TikTok will take shape. TikTok is owned by ByteDance, based in Beijing, which has emerged as the most promising technological startup in China in recent times, according to an estimated value of $ 100 billion. It manages Douyin, the popular Chinese version of TikTok, separately for users based in China.
ByteDance has looked for various ways to remove TikTok from any Chinese association. Efforts in recent months range from the appointment of former Disney executive Kevin Mayer to TikTok CEO, claiming that the app’s data is stored on American soil, up to a promise to create 10,000 jobs in the United States.
TikTok’s client team also sought to allay concerns by reiterating that four of its parent company’s five board positions are “controlled by some of the world’s most respected global investors,” including Arthur Dantchik, CEO of the Susquehanna International Group ; William Ford, CEO of General Atlantic; Philippe Laffont, founder of Coatue Management; and Neil Shen, the head of Sequoia China. ByteDance founder and CEO Zhang Yiming is the chairman of the board.
It is worth noting that the United States Foreign Investment Commission (CFIUS) has not yet released its decision as to whether the merger of Musical.ly-TikTok poses a threat to national security for the United States, even if it orders TikTok to miss Musical.ly, it is not clear how the sale will take place in practice. When ByteDance merged the two apps in 2018, he asked existing Musical.ly users to download the TikTok app, which already had users, so all current TikTok users are technically TikTok users.
If the sale is destined for TikTok, will ByteDance be forced to sell all its international activities? TikTok also has a significant user base outside the United States. Before India forbade TikTok to fear national security, one of the criticisms preferred by many U.S. politicians, the country was the app’s largest foreign market.
Zhang Yiming’s worst nightmare seems increasingly likely to happen. The entrepreneur aspired to conquer the international market from the beginning, and now his startup has become the last pawn in US-China relations.