Trump said he could use emergency economic powers or an executive order to enforce the action, insisting, “I have that authority.” He added, “It’s going to be signed tomorrow.”Reports by Bloomberg News and the Wall Street Journal citing anonymous sources said the administration could soon announce a decision ordering ByteDance to divest its ownership in TikTok.
On Saturday it posted a short video from its U.S. General Manager Vanessa Pappas saying that “We’re not planning on going anywhere.” TikTok maintains it doesn’t censor videos based on topics sensitive to China and it would not give the Chinese government access to U.S. user data even if asked. The company has hired a U.S. CEO, a former top Disney executive, in an attempt to distance itself from its Chinese ownership.
The Trump administration has stepped in before to block or dissolve deals on national-security concerns, including stopping Singapore’s Broadcom from its $117 billion bid for U.S. chipmaker Qualcomm in 2018 in an effort to help retain U.S. leadership in the telecom space. It also told China’s Beijing Kunlun Tech Co. to sell off its 2016 purchase of gay dating app Grindr.
The federal government has not passed broad privacy or data-security legislation despite efforts to do so last year, and the Justice Department has tried to undermine encryption – which makes sure only a sender and receiver can see content they exchange – for law-enforcement reasons. Tech companies have pushed back against that.
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