The Supreme Court's ruling now leaves TikTok and its 170 million U.S. users in uncertainty, with a looming deadline threatening the app's potential closure.
WASHINGTON, Jan 17, 2025 — The U.S. Supreme Court on Friday upheld a law requiring TikTok's Chinese parent company, ByteDance, to sell its ownership for the app to continue operating in the U.S.
The unanimous decision by all nine justices supports the law's national security rationale, setting the stage for TikTok's possible shutdown in the U.S. as soon as Sunday.
Passed with bipartisan backing and signed into law by President
Joe Biden in 2024, the legislation highlights concerns about TikTok's Chinese ties and potential data security risks.
The app's fate now depends on the actions of President-elect
Donald Trump, who will be inaugurated on Monday and has indicated plans to tackle the matter.
TikTok had challenged the law as a First Amendment violation.
However, the Supreme Court dismissed this, arguing that the risk of foreign control and sensitive data collection justified the law.
The court emphasized the national security threat from potential misuse of the app for data gathering, espionage, or Chinese propaganda.
ByteDance has made limited headway in divesting before the January 19 deadline.
President-elect Trump has indicated he is considering the situation.
'I will decide soon on TikTok,' Trump announced on social media.
TikTok CEO Shou Zi Chew, attending Trump’s inauguration, remains hopeful for a resolution.
The Biden administration has stated it will not delay the law's enforcement, leaving the matter to the incoming administration.
Companies like Apple, Google, and Oracle, which provide services to TikTok, could face legal issues if they continue after the deadline.
With over 170 million U.S. users, the app is integral to social media culture, especially among youth.
Its capacity to personalize user experiences has made it a digital economy leader.
A ban raises major concerns for users reliant on the platform for income.
Amid escalating U.S.-China tensions, TikTok's geopolitical impact has gained attention, linked to trade disputes and concerns over China's global tech influence.
The U.S. government is intensifying scrutiny on Chinese tech firms over national security concerns.
A potential TikTok shutdown may signal changes in global digital policies and international technology operations.
This situation may influence how governments address data security and foreign ownership in critical tech sectors.
TikTok's future is uncertain.
While a buyer might still emerge, only Frank McCourt, former owner of the Los Angeles Dodgers, has shown interest, valuing TikTok at $20 billion without its algorithm.
Other options include using the International Emergency Economic Powers Act to allow U.S. operations under conditions minimizing security threats.
As events unfold, TikTok’s status remains key in domestic policy and international relations, illustrating the convergence of technology, security, and governance in a connected world.