TikTok faces potential US ban After losing key legal battle

TikTok's effort to overturn a law that could lead to its ban or forced sale in the US starting in early 2025 has been rejected by a federal appeals court. The social media platform argued that the law was unconstitutional, claiming it would have a significant impact on free speech for its 170 million US users. However, the court upheld the law, noting that it was the result of comprehensive, bipartisan efforts by Congress and successive US presidents.

The platform announced plans to take the case to the US Supreme Court, arguing that the law was based on flawed and hypothetical information that would infringe on the rights of US citizens. The US government has cited the platforms' ownership by Chinese company ByteDance as a national security risk, which the platform has consistently denied. The court found that the law was carefully designed to address control by a foreign adversary and was part of a broader strategy to counter national security threats posed by the Chinese government.

President-elect Donald Trump's victory in the 2024 US presidential election could potentially affect the platforms' future in the US. Trump, who had sought to ban TikTok during his first term, had expressed before the election that he would not allow the ban to go into effect. His inauguration on January 20 would coincide with the law's effective date, but it remains uncertain whether he will follow through on his pre-election stance.

Meta, the parent company of Facebook, Instagram, WhatsApp, and Threads, has been developing features similar to the platforms' short-form videos in anticipation of potential market shifts. If the platforms' appeal fails and a ban is enforced, it could lead to significant disruptions, benefitting platforms like Meta, YouTube, and Snap, while negatively impacting content creators and small businesses that rely on TikTok for income.

Despite its rivals’ efforts, TikTok’s capabilities make it difficult to replicate. The platforms' recommendation engine is powered by complex AI and deep learning models, requiring significant technical infrastructure. The challenges of implementing such advanced technology were highlighted by Elon Musk’s adjustments to algorithms on his social media platform X, formerly known as Twitter, which raised concerns over algorithmic biases and content control.