US tells China-based company to sell TikTok share or face ban

The U.S. government has told China‑based ByteDance to sell its shares in the blockbuster TikTok app or face a national ban, the Wall Street Journal reported on Wednesday. Western powers, including the European Union and the United States, have been taking an increasingly tough approach to the app, citing fears that user data could be used or abused by Chinese officials. Concern grew earlier this year after a Chinese spy balloon was shot down in U.S. airspace.

The White House last week welcomed a bipartisan bill that would allow President Joe Biden to ban TikTok. U.S. National Security Advisor Jake Sullivan said the legislation “would empower the United States government to prevent certain foreign governments from exploiting technology services… in a way that poses risks to Americans’ sensitive data and our national security.” The Senate bill, backed by the White House, has accelerated political momentum against TikTok, which is also the target of a separate piece of legislation in the U.S. House of Representatives. Appearing tough on China is one of the few issues with potential for bipartisan support in both the Republican‑run House and the Democratic‑majority Senate.

TikTok claims it has more than a billion users worldwide, including over 100 million in the United States, where it has become a cultural force, especially among young people. Activists argue that a ban would attack free speech and stifle the export of American culture and values to TikTok users around the world. In January, U.S. government workers were barred from installing TikTok on their devices, and civil servants in the European Union and Canada face similar restrictions.

According to the Journal report, the ultimatum to TikTok came from the U.S. agency charged with assessing the national‑security risks of foreign investments. Both U.S. officials and TikTok declined to comment on the report. TikTok has consistently denied sharing data with Chinese officials and says it has been working with the United States for nearly two years to address national‑security concerns. Market tracker Insider Intelligence notes that time spent by users on TikTok has surpassed that on YouTube, Facebook, Instagram, and Twitter, and is closing in on streaming giant Netflix.