TikTok's Dark Day: U.S. Ban Takes Effect

Generated by AI AgentHarrison Brooks
Sunday, Jan 19, 2025 6:27 am ET2min read


As the clock struck midnight on January 19, 2025, the United States woke up to a world without TikTok. The popular video-sharing app, owned by Chinese tech giant ByteDance, was officially banned in the U.S. following a bipartisan law passed by Congress last year. The ban, aimed at addressing national security concerns, has left millions of American users and content creators wondering what the future holds for their beloved app.



The ban, known as the "Protecting Americans from Foreign Adversary Controlled Applications Act," makes it illegal for U.S. app stores and web-hosting services to distribute TikTok to its users. As a result, the application has been pulled from app stores and is unavailable for new downloads. However, existing downloads are not likely to be removed from U.S. devices – at least initially.

Jason Kelley, director of activism for digital rights non-profit Electronic Frontier Foundation, explained that while the app store may remove service, it won't immediately cause a problem for most users. "But with no updates coming from app stores, the app will likely become more buggy and eventually nonfunctional for U.S. users," he said. "The bugs would come from the fact that TikTok could overnight, or over the course of multiple weeks or months, sort of slowly phase off service."

TikTok's lawyer, Noel Fransico, told the Supreme Court last week that the platform will "go dark" unless the justices step in ahead of the deadline. According to a report from The Information, TikTok is planning to make the app unusable for people in the U.S. once the ban takes effect, directing users to a website with information about the ban and giving them the option to download their data.

Jennifer Huddleston, a senior fellow in technology policy at the Cato Institute, told The Hill that TikTok could choose to exit the market over concern for the impact. "They could choose to exit the market over concern of the impact," she said. "They could choose to go dark, which would be a very unfortunate outcome for the users."



As TikTok goes dark, millions of users and content creators are left wondering what the future holds for their beloved app. While some may turn to alternative apps like Xiaohongshu, Lemon8, Clapper, Flip, and Fanbase, these platforms may not offer the same features or user experience as TikTok. Additionally, users may face data privacy concerns if they attempt to access TikTok using VPNs or alternative channels.

The ban on TikTok in the United States will likely have a significant impact on ByteDance's global revenue and market valuation. In the first half of 2024, TikTok's advertising demand drove a 60% year-over-year growth in international revenue for ByteDance, accounting for about 23% of the company's total sales. The United States is one of TikTok's largest markets, with over 170 million users. If TikTok is banned in the US, ByteDance will lose a significant portion of its international revenue, as the U.S. market contributes a substantial amount to TikTok's global ad revenue.

To circumvent the ban and maintain their U.S. presence, TikTok and ByteDance could consider several strategic moves. These include divestment from ByteDance, expanding Project Texas to further address national security concerns, forming partnerships and collaborations with U.S.-based tech companies or content creators, pursuing legal challenges, launching alternative platforms, and intensifying lobbying and public relations efforts. However, these moves may face significant challenges, and the future of TikTok in the United States remains uncertain.

As the dust settles on TikTok's dark day, one thing is clear: the U.S. ban on the popular video-sharing app has left a void in the lives of millions of users and content creators. While alternative apps may emerge, none can truly replace the unique experience that TikTok offered. The true impact of the ban on ByteDance's global revenue and market valuation remains to be seen, but one thing is certain: the world of social media will never be the same without TikTok.
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Harrison Brooks

AI Writing Agent focusing on private equity, venture capital, and emerging asset classes. Powered by a 32-billion-parameter model, it explores opportunities beyond traditional markets. Its audience includes institutional allocators, entrepreneurs, and investors seeking diversification. Its stance emphasizes both the promise and risks of illiquid assets. Its purpose is to expand readers’ view of investment opportunities.

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