• Economy
  • Investing
Long Distance Investing
  • Stock
  • Editor’s Pick
Investing

Supreme Court upholds TikTok divestment order: Will ByteDance comply or face a US ban?

by January 17, 2025
written by January 17, 2025

The US Supreme Court has upheld the law mandating China-based ByteDance to divest its ownership of TikTok by Sunday, or face an effective ban of the popular video-sharing app in the United States.

The ruling underscores growing national security concerns tied to TikTok’s data collection practices and alleged links to the Chinese government, placing the platform’s 170 million American users at risk of losing access.

The decision supports the Protecting Americans from Foreign Adversary Controlled Applications Act, signed into law by President Joe Biden in April 2024.

The court’s unanimous opinion stressed that TikTok’s massive data collection and susceptibility to foreign influence pose significant threats to US security.

Justice Sonia Sotomayor and Justice Neil Gorsuch added separate concurring opinions.

TikTok’s uncertain future in the US

ByteDance has resisted divestment, leaving the app’s fate uncertain. While TikTok may remain functional on devices where it is already installed, the company has threatened a complete shutdown of the platform if forced to sell.

The court’s ruling also pressures third-party service providers, including Apple and Google, to remove TikTok from app stores after the January 19 deadline. Failure to comply could result in penalties for these tech giants.

White House press secretary Karine Jean-Pierre reaffirmed the administration’s stance, emphasizing that TikTok could remain available under US ownership or an arrangement that resolves security concerns.

“Implementation of this law will transition to the next administration, which takes office Monday,” Jean-Pierre stated.

National security vs. free expression

The ruling has sparked intense debate about national security and free speech.

US Solicitor General Elizabeth Prelogar defended the law, citing TikTok’s ties to ByteDance and potential influence from the Chinese Communist Party.

On the other hand, TikTok’s lead attorney Noel Francisco argued the act infringes on the First Amendment rights of millions of users who rely on the app for creative expression, news, and business promotion.

Kate Ruane, director of the Center for Democracy and Technology, criticized the decision.

“This ruling undermines the free expression of TikTok users in the US and worldwide,” Ruane was quoted as saying by CNBC, noting that the platform has become a vital tool for sharing information and fostering creativity.

As the deadline looms, TikTok creators are urging followers to migrate to platforms like YouTube, Facebook, and Instagram.

A CNBC report revealed that Instagram leadership has been preparing for a potential influx of users.

Meanwhile, TikTok-lookalike app RedNote has surged to the top of Apple’s App Store, indicating growing interest in alternatives.

ByteDance’s refusal to sell leaves room for speculation about potential buyers, including Elon Musk, as Bloomberg reported that the Chinese government is considering contingencies to retain TikTok’s US operations.

Analysts estimate TikTok’s US assets could fetch $40 billion to $50 billion if sold.

With the clock ticking, all eyes are on ByteDance and the incoming Trump administration to determine TikTok’s fate in America.

The post Supreme Court upholds TikTok divestment order: Will ByteDance comply or face a US ban? appeared first on Invezz

0 comment
0
FacebookTwitterPinterestEmail

previous post
American Express to pay $230 million to settle DOJ fraud probe, deceptive marketing claim
next post
Vottun Brings Tokenization to Web3 Development; Launches Flagship Low-Code Platform for Builders

You may also like

MEXC strengthens reserve backing with $390M asset increase

April 23, 2025

Oil prices rebound: what’s driving the rally and...

April 23, 2025

Silver rises with gold, but industrial demand outlook...

April 23, 2025

Lead Edge Capital founder Mitchell Green says recession...

April 23, 2025

Why is Toncoin price rising today?

April 23, 2025

BC.GAME to host ‘Untamed Arena’ during TOKEN2049 Dubai,...

April 23, 2025

Keycard launches pre-sale for Shell: the most open,...

April 23, 2025

BA stock rises as Boeing reports smaller Q1...

April 23, 2025

US stocks surge at open: Dow climbs 2.4%,...

April 23, 2025

iExec launches 1M $RLC fund to support AI...

April 23, 2025

    Stay updated with the latest news, exclusive offers, and special promotions. Sign up now and be the first to know! As a member, you'll receive curated content, insider tips, and invitations to exclusive events. Don't miss out on being part of something special.


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Recent Posts

    • Cargo thieves are attacking the U.S. supply chain at alarming rates

      May 10, 2025
    • Krispy Kreme stock plunges after doughnut chain pauses McDonald’s rollout, pulls outlook

      May 8, 2025
    • UnitedHealthcare sued by shareholders over reaction to CEO’s killing

      May 8, 2025
    • Semtech Showcases Next-Gen LoRa® Technology at IoT Solutions World Congress 2025

      May 8, 2025

    Categories

    • Economy (680)
    • Editor's Pick (348)
    • Investing (4,555)
    • Stock (820)
    • About us
    • Contact us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: Longdistanceinvestings.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.


    Copyright © 2025 Longdistanceinvestings.com

    Long Distance Investing
    • Economy
    • Investing
    Long Distance Investing
    • Stock
    • Editor’s Pick