The TikTok prohibition implemented on Sunday has been put on hold for 75 days due to an executive order signed by President Trump during his inauguration. He has also stated that U.S. companies offering services to TikTok in this period will not face legal repercussions.
Nonetheless, legal experts argue that Trump’s order may not adhere to legal standards, and suggest that companies that make TikTok available could still incur fines amounting to hundreds of billions of dollars, making it unlikely for Apple to reinstate the app in its App Store.
An eventful four days
On Friday, the U.S. Supreme Court upheld the legislation banning TikTok in the U.S., meaning the ban was set to take effect on January 19.
The Biden administration indicated that it would not enforce the law in its final 24 hours, leaving the decision to Trump. Initially, Trump stated he needed time to evaluate the situation, leading TikTok to go offline in the U.S. on Sunday.
Apple released a statement asserting its obligation to comply with the law by removing the app from its App Store.
Later on Sunday, Trump announced on social media that he would suspend the ban as soon as he took office the following day, assuring that there would be no legal consequences for disregarding the law in the meantime. Access to the application was restored by Bytedance, as U.S. host Oracle seemed willing to trust Trump’s liability promise.
However, Apple and other app store providers remained hesitant to reinstate the app solely based on a social media declaration.
Suspension of the TikTok ban for 75 days
Trump has enacted an executive order momentarily halting the ban for 75 days, clarifying that U.S. companies aiding TikTok’s reinstatement will be protected from liability.
As NPR reports, the legislation permits the TikTok ban to be suspended for up to 90 days, contingent upon proof of an ongoing negotiation.
The law allows for one exception: TikTok may operate if Trump certifies to Congress that “significant progress” has occurred for TikTok to separate from ByteDance’s ownership.
Trump is required to demonstrate to Congress that binding agreements regarding ownership changes for TikTok are currently in progress.
The executive order’s validity in question
Trump has not presented any proof that the stipulations of the law have been satisfied, leading attorneys to remain skeptical about the efficacy of the proposed liability shield.
Thus, it appears improbable that Apple, Google, Amazon, and Microsoft will risk reinstating TikTok in their app stores until the legal criteria are fulfilled.
China shows some flexibility
China’s government has consistently opposed the notion of selling to a U.S. company, but a senior official hinted yesterday that its position might be loosening.
Trump suggested that a 50/50 joint venture between China and the U.S. could serve as a potential solution. Reuters inquired about this, receiving a non-committal reply.
We hope the U.S. will sincerely listen to the voice of reason and establish a fair, just, and non-discriminatory business environment for enterprises worldwide. We believe that decisions relating to the operation and acquisition of businesses should be made independently by companies based on market principles. If it concerns Chinese firms, China’s laws and regulations need to be respected.
While this statement may not strongly endorse the idea, it represents a shift from their previous outright rejection.
Photo by Tabrez Syed on Unsplash
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