The Senate has passed a bill that would force a sale of TikTok by its Chinese owner, ByteDance, or ban it outright, citing national security concerns. President Biden signed the bill into law on Wednesday, but the process is expected to get even more complicated.
The law gives ByteDance 270 days to sell TikTok, with a possible extension to a year. However, legal challenges and resistance from Beijing could delay the process. TikTok has vowed to challenge the law in court, arguing that a forced sale could violate users’ free speech rights.
The price tag for TikTok is estimated to be in the tens of billions of dollars, limiting potential buyers. Tech giants like Meta or Google may be blocked from acquiring the app due to antitrust concerns. Private equity firms or investors could form a group to raise funds for the purchase, but approval from the U.S. government is required.
The process of separating TikTok from ByteDance after a sale is expected to be messy, as the legislation prohibits any connection between the two entities. The Chinese government could also play a role in blocking a sale, as it has opposed similar actions in the past.
Overall, the future of TikTok in the U.S. remains uncertain as legal battles, regulatory hurdles, and geopolitical tensions complicate the situation. Stay tuned for updates on this evolving story.
