The Biden administration is reportedly demanding that TikTok be sold by its Chinese owners or risk facing a ban in the US.
The move is an escalation of efforts by federal officials to address national security concerns about the owner of the Beijing-headquartered social media company ByteDance. TikTok, the popular short video app, used by more than 100 million Americans, has raised concerns about the company’s ties to China and its handling of user data.
TikTok is “disappointed with the outcome,” an NPR spokesperson said of the apparent ultimatum.
TikTok has been negotiating for more than two years with the Committee on Foreign Investment or CFIUS, a committee made up of officials from several government agencies, including the Departments of the Treasury, Justice, Homeland Security, Defense and Commerce, in an effort to reach a deal that could allow TikTok continues operations in the US with stronger safeguards to protect against cyber security and privacy risks.
TikTok insists that the CFIUS request will not solve the US official’s data problem.
“If protecting national security is the goal, divestment does not solve the problem: a change in ownership will not impose new restrictions on data flow or access,” TikTok spokeswoman Brooke Oberwetter said in a statement. “The best way to address national security concerns is with transparent, US-based data protection and systems for US users, with robust third-party monitoring, verification and verification, which we have done.”
TikTok CEO Shou Zi Chew is scheduled to testify before the House Energy and Commerce Committee next week.
Earlier this month, lawmakers introduced a bipartisan bill that would empower the Biden administration to ban technology originating from foreign adversaries from operating in the US if it poses a threat to national security, effectively paving the way for a potential ban on TikTok.