With Oracle talking about acquiring TikTok, the ban has been put on hold for a week. Deals with Microsoft, Walmart, and Oracle will be coming to a conclusion soon. President Trump had signed an order stating that TikTok will be removed from app stores from 20th September. The conditions for the deal stated that ByteDance will no longer have oversight on the TikTok operations in the United States. This decision has been taken considering national security concerns with Chinese apps being accused of data-stealing. This can help China’s government to give out information about the country. Although ByteDance owner has denied all accusations of them sharing the information with the Chinese government, rules in China overrules this. In 2017, a law was introduced in China which stated that all apps will have to share data to Chinese authorities if asked.
How did ByteDance react to the ban?
On Friday, after Trump passed the order to block TikTok and US companies from doing business, ByteDance went on to file a lawsuit in the Washington Court. TikTok asked the judge to block Trump’s administration. According to them, Trump is getting geopolitical fights over technology and business. The company said that Trump wants to put an end to free speech. Millions of Americans use TikTok to express their views and Trump is trying to shut them up. It has also given out proof showing their security and privacy guidelines but all of them are being ignored. With the elections coming up in November, Trump believes his strategy to campaign against China will help him. However, it seems like he has upset the youth of the country. The foreign investment committee is looking out after the accusations due to the security concerns.
Will TikTok really get banned in the United States?
ByteDance is now planning on collaborating with Walmart and Oracle with them owning 80% shares and the rest being split among the two US companies. Walmart will be taking care of the payment activities and advertising whereas Oracle will be providing cloud services with security and data being stored in the country itself. They have also asked that the majority of board members should be Americans. Oracle will also inspect the code and algorithm before giving them a green light. It will be renamed as TikTok Global and this company is planned to be listed on the US Stock Exchange.
WeChat is also on the list to be banned and there are no kinds of accusations or talks about it. China is also retaliating by blacklisting many foreign companies. They have released a list called ‘unreliable entities’ and they will be forbidden to carry out trade activities in China. On 27th September, the final decision will be announced.