HomeBusinessU.S. Moves to Ban TikTok if Parent Company ByteDance Fails Divestiture Deal

U.S. Moves to Ban TikTok if Parent Company ByteDance Fails Divestiture Deal

The United States Congress warned it will ban the social media platform TikTok unless its Chinese owner, ByteDance, completes a forced divestiture of its U.S. operations. A bipartisan group of lawmakers revived legislation Monday to impose the ban unless ByteDance sells its ownership of U.S. user data, underlining deep concerns over national security.

The proposed bill would prohibit app stores from offering TikTok, require U.S. internet service providers and platforms to block access to it, and criminalize noncompliance. ByteDance has until a set deadline to either agree to restructure or face the full ban.

Opponents of TikTok argue that the Chinese government could access Americans’ personal data via ByteDance and view the app’s algorithm as a tool for propaganda. ByteDance has consistently denied those allegations.

On Monday, Treasury Secretary Janet Yellen cautioned that TikTok must adhere to U.S. data security rules pending any divestiture, and urged lawmakers to reach a deal that protects user privacy without harming free expression.

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