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January 9, 2023

Will the United States Ban TikTok?

United states set to ban TikTok, A phone held against the national flag

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Will the United States Ban TikTok?

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Launched in 2016 by the Chinese tech company ByteDance, the platform has risen in popularity, but could we see the United States ban TikTok all together? We look at how likely it is.

Having rapidly gained popularity , particularly among younger users, TikTok had already been downloaded more than 2 billion times globally by 20220. In 2022 it became the most downloaded app globally. So how have we got to this stage?

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TikTok History in the U.S.

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Despite its success, TikTok has also faced a number of challenges and controversies.

In India, the app was briefly banned in 2021 due to national security concerns, although the ban was later lifted by the Indian Supreme Court. In the United States, the Trump administration issued an executive order in 2020 directing ByteDance to divest its U.S. operations, citing national security concerns. The Biden administration has continued to review the national security implications of TikTok’s operations in the United States, but no formal action has been taken, yet.

So far, ByteDance has promised to move data centres from China to the US for all US personal data. This would mean US owned and operated companies would house the data ensuring some security concerns raised.

Seemingly, this doesn’t seem to be enough. Federal issued devices can now longer have the app installed, with government devices set to follow suit. In the private sector, it is expected financial institutions and large corporates will also ban company owned devices from having the app. This is all in efforts to stop potential data leaking into the Chinese owners hands.

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What’s the latest?

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As of Aug 2022, Biden passed an act banning TikTok on federal devices. Since then not much has changed, except one thing – Growth.
 
TikTok has continued to dominate download charts Globally and ad revenue and brands continue to adopt the platform. This could cause a problem to the governments concerns. Whilst on one hand National security threats to the United States could be real, the economic opportunities it has provided can no longer be ignored. 
In Q3 2022 TikTok had the largest in app spending outside of gaming, sat at $914m, showing consumers are ready to spend big. So where does the money go and who is benefiting? Gen Z, Millennials and the boomers are reaping the rewards. Cashing in on viral fame from loyal followers, E-commerce opportunities and striking big brand deals.
It’s part of their everyday life. So much so, TikTok now has more searches per month than Google. Let’s really think about that. The Worlds largest search engine is now out searched by a teens social media app.

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Summary

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It’s a space to watch, but can the beast be tamed. Will TikTok be banned in the United States? Only time will tell, let us know your thoughts in the comments.

Sources:

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