Once off – and then on again: the weekend was a roller coaster ride for Tiktok’s more than 170 million US users. According to a law, without a change of ownership, the video app has no long-term future in the USA – but Donald Trump suddenly likes it after winning the presidential election and already has concrete ideas.
How did Tiktok go offline in the US?
Tiktok is seen as a security risk in the USA as a subsidiary of the China-based Bytedance Group. Politicians and experts warn that the Chinese government could access Americans’ data and manipulate public opinion. The US Congress therefore passed a law according to which Bytedance must separate from Tiktok within 270 days or accept that the app will be discontinued in the USA. This deadline expired on Sunday. As a precaution, Tiktok pulled the plug shortly beforehand.
And why did it suddenly start again after half a day?
Donald Trump will be sworn in as US President on Monday. He gave Tiktok an additional deadline of three months. He also announced that he would issue a decree guaranteeing impunity for US service providers who work with the app. According to information from the broadcaster NPR, this was enough for Tiktok’s infrastructure providers Oracle and Akamai. However, the app was initially unable to be found in the Apple and Google app stores.
And what happens after three months?
That’s the big question. Donald Trump must also comply with the law on foreign ownership of online platforms. It does not provide for any further extension after an additional 90 days. Meanwhile, the law speaks clearly: According to this, Tiktok can only continue to be active in the USA with an owner who is not attributed to an opposing state. Trump was convinced that he could find a solution that would address the security concerns. On Sunday he proposed a joint venture in which “the United States” would hold 50 percent – and the rest would belong to the previous and/or new owners of Tiktok.
What could a solution look like?
Tiktok always emphasized that you couldn’t just sell a part like the US business, because that would split the platform. Bytedance has so far shown no willingness to talk about a separation from Tiktok. According to US media reports, the Chinese government has already played out the scenario of selling Tiktok to tech billionaire Elon Musk. The Tesla boss and current Trump confidant is the richest person in the world with an estimated fortune of around $450 billion. Musk has significant economic interests in China: Tesla builds cars in Shanghai.
Where are the biggest sticking points?
The biggest obstacle lies in Tiktok’s algorithm – the software that decides which video users will see next. Bytedance does not want to part with it – and the government in Beijing would first have to agree to it being passed on. In addition, the complex algorithms are generally difficult to understand. That’s why many in the US find it too risky to keep the current Tiktok algorithm. Instead, it must be replaced by US software.
What can this mean for a Tiktok sale?
If Tiktok changes hands as a whole, the buyer would have to have the competence to set up a new technical foundation for an online platform with several billion users. It could help that Tiktok was already in the process of only storing data from US users in the USA.
Who can handle that?
First and foremost, of course, is the Facebook group Meta – which, for competitive reasons, clearly falls out of the ranks of potential contenders. The meta platforms have billions of users and Instagram is direct competition for Tiktok. Otherwise, billionaire Frank McCourt took a position with his “Project Liberty,” where a technical protocol for social media has been being developed for several years. Musk, in turn, could merge Tiktok with his online platform X, the former Twitter.
Can’t Trump just have the law repealed?
Theoretically yes, because his Republicans hold the majority in both chambers of Congress – and the party rarely stands in the way of its leader. But the bill passed with overwhelming support: 360 votes to 58 in the House of Representatives and 79 votes to 18 in the Senate. In addition, important Republicans in Congress signaled on Sunday that they still believe a sale of Tiktok is unavoidable.
What did the stop mean for users in Germany?
Outside the US, the app worked as before. But: There were no more clips from the USA on the platform for the time being. In the long run, this could make Tiktok less attractive for users. But it can also be an opportunity for video authors from other countries to fill the gap and set their own trends.