Tiktok announces opposition to US law on change of ownership
Tiktok CEO Shou Chew wants to defend himself against the US law that aims to bring the short video app under the control of American investors. Tiktok will do everything possible to defend the platform, he said in a video published on Wednesday.
The company insists that the aim of the law is to ban the app in the US, while US politicians emphasize that they merely want to ensure that Chinese authorities cannot influence Tiktok in a way that harms American interests. The company and its parent company Bytedance deny all allegations.
The bill could lead to Tiktok being banned from American app stores if there is no change of ownership. It was passed by a large majority in the US House of Representatives on Wednesday and must now pass the Senate, the second chamber of parliament. President Joe Biden has already indicated that he will sign it.
300,000 jobs at risk
Shou Chew pointed out that the law would give "a handful of other social media companies" more influence. The Tiktok boss also claimed that the bill would jeopardize 300,000 jobs in the USA. His company often points out that small businesses use the service for advertising. Tiktok claims to have 170 million users in the USA.
It is still unclear whether the bill will receive sufficient support in the Senate. In the House of Representatives, a cross-party majority of Republicans and Democrats came together with 352 votes to 65. In the Senate, where Biden's Democrats hold a narrow majority, there are supporters and critics of the bill on both sides.
Concerns about freedom of speech
One of the concerns is that a ban on Tiktok could be challenged on the basis of the freedom of speech enshrined in the US constitution. This is why Donald Trump once failed in court as US President in his attempt to force a change of ownership at Tiktok. And it is also why a prohibition law in the US state of Montana is currently on hold.
Biden's National Security Advisor Jake Sullivan said this week that the issue is not a Tiktok ban, but a change of ownership. He then asked the rhetorical question: "Do we want Tiktok as a platform to be owned by an American company - or owned by China?"
Tiktok rejects all concerns and emphasizes that it does not see itself as a subsidiary of a Chinese company. After all, Bytedance is 60 percent owned by Western investors and the company is based in the Cayman Islands in the Caribbean. Critics counter that the Chinese founders hold a 20 percent stake thanks to higher voting rights and that Bytedance has a large headquarters in Beijing. (SDA)
