In a move that could temporarily safeguard TikTok's availability in the U.S., President-elect Donald Trump has expressed his intention to possibly offer the social media platform a 90-day extension to find a domestic buyer, forestalling a mandated ban.
TikTok, currently facing a looming Sunday deadline, is at risk of being banned under a law passed last year unless it can secure a U.S.-based owner according to NBC News.
Trump has not reached a final decision but mentioned he might reveal his choice on Monday, the day of his inauguration.
This potential extension stems from a law signed by outgoing President Joe Biden, which mandates the app's sale to a non-Chinese entity for continued operation in the United States.
This law, upheld by the Supreme Court, allows for a single 90-day postponement if specific conditions are met, providing a short-term reprieve for the app. The court dismissed TikTok’s arguments that the law impinged on free speech rights.
Despite these developments, the Biden administration announced it would not enforce the sale or ban, leaving future actions up to Trump's incoming administration. This stance has caused apprehension among service providers who are essential to the app's U.S. operations.
Karine Jean-Pierre, the White House press secretary, criticized TikTok for planning to cease operations on Sunday without new assurances from the administration. She described this threat as a "stunt," suggesting the app's strategy is excessive given the pending transition of power.
TikTok stated on X (formerly Twitter) that without prompt and definitive clarity from the Biden administration to reassure key service providers, the app could face shutdown on January 19. This statement underscores the tension and urgency the company feels as the deadline nears.
President-elect Trump shared on Truth Social his need to thoroughly review the situation before making a decision, emphasizing the complexity of the matter. He acknowledged the Supreme Court's decision as anticipated and called for respect towards the ruling.
Trump's shift from previously supporting a ban to now considering an extension occurred after discussions with an American investor involved with TikTok. This turn of events highlights the flexibility and negotiations influencing major business and regulatory decisions.
TikTok users, numbering over 170 million in the U.S., are awaiting clearer leadership directives that could ensure the app remains accessible. The company's CEO, Shou Chew, is expected to attend Trump's inauguration, marking a significant moment in the ongoing deliberations over the platform's future.
TikTok expressed gratitude towards Trump for efforts that may allow the app to continue serving its American audience. This acknowledgment reflects the platform's optimism and hope for a resolution that avoids a shutdown.
Developments in this story have positioned TikTok at the center of regulatory, political, and legal discussions. As the United States prepares for a new administration, the outcome of these negotiations will significantly impact TikTok's strategy and operation in a key market.
The potential 90-day reprieve serves as a crucial opportunity for TikTok to secure a U.S. buyer, aligning with legal requirements and mitigating the threat of a ban. This period would afford stakeholders time to finalize necessary transactions and adjustments to comply with the law.
