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TikTok to be Banned Under New Federal Law if Chinese-Owned ByteDance Doesn’t Divest

Wednesday, President Joe Biden signed House Resolution 815 into law, which not only secured funding for Ukraine, Israel, and Taiwan but also plans to ban foreign-owned and operated internet applications. This rule would notably apply to the Chinese-owned company, ByteDance, which in turn owns the popular social media application, TikTok.
Image: Solen Feyissa / Unsplash

On Wednesday, President Joe Biden signed House Resolution 815 into law, which not only secures funding for U.S. allies but also forces foreign entities operating applications in the U.S., primarily the social media platform TikTok, to divest entirely.

Under the new law, Chinese-owned company, ByteDance, which in turn owns the popular social media application, TikTok, would be forced to sell all stakes in the company or cease operations in the U.S. within the year.

The bill allocates approximately $95 billion for “supplemental emergency appropriations” to Ukraine, which has been at war with Russia since 2022, Israel, which is currently in a regional conflict with the Palestinian terror organization Hamas since the group launched an assault on Israeli civilians in October of 2023, and Taiwan, which has an extensive history of tension with its neighbor, China.

More than $60 billion will be allocated to Ukraine, $14.1 billion to support Israel, and $9.5 billion for “humanitarian assistance for civilians in Gaza, Sudan, Ukraine and other populations caught in conflict zones across the globe,” according to the Department of Defense.

Regarding the social media platform, TikTok, H.R. 815 states that any foreign-owned and operated applications must sell their stakes in such companies by 2025, though the President may issue a 90-day extension if a clear path to divest is identified and put into motion.

TikTok is used by more than 170 million Americans, and discussion surrounding a potential ban has stirred controversy for several years. Public figures who pushed for the app to be banned for all U.S. users cited national security concerns after finding that the app collected large swaths of data from American users. Opponents, however, argued that a ban would effectively infringe on the First Amendment rights of Americans and the bill has been called an “attack on free speech.”

TikTok CEO Shou Chew told the social media app users on Wednesday, “Make no mistake, this is a ban,” adding, “A ban on TikTok and a ban on you and your voice.”

“As we continue to challenge this unconstitutional ban, we will continue investing and innovating to ensure TikTok remains a space where Americans of all walks of life can safely come to share their experiences, find joy, and be inspired,” TikTok spokesperson Alex Haurek said, according to The Verge.

Potential legal retaliation to the law could further extend enforcement as the courts weigh the constitutionality of the legislation.

Reviewed and edited by Marisa Svetlik.

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