Trump to order Chinese company ByteDance to sell TikTok’s US operations, report says – CNET

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Angela Lang/CNET

President Donald Trump reportedly plans to order Beijing-based tech company ByteDance to divest ownership of popular social-video app TikTok. An order from the president could be announced as soon as Friday, according to a report from Bloomberg

The potential move shows that the US government is look at alternatives outside of banning TikTok, which the Trump administration has also been considering. Politicians have raised concerns that the Chinese government could use the app to spy on US citizens or spread propaganda during an election year. TikTok has pushed back against allegations that the app poses a national security threat, noting that it “never provided user data to the Chinese government” and wouldn’t do so even if asked.

“We’re looking at TikTok, we may be banning TikTok. We may be doing some others things. There are a couple of options. But a lot of things are happening. So, we’ll see what happens,” Trump told reporters on Friday. The White House didn’t have any further comment.

Microsoft has been in talks to buy TikTok’s US operations, Charles Gasparino, a Fox Business Network correspondent, tweeted on Friday. The New York Times, citing a person with knowledge of the discussions, reported that it’s unclear how far the talks have gone. 

A TikTok spokesperson said in a statement that the company doesn’t comment “on rumors or speculation” but it’s “confident in the long-term success of TikTok.”

Microsoft didn’t immediately respond to requests for comment. 

TikTok is under review by the Committee on Foreign Investment in the United States (CFIUS), Treasury Secretary Steve Mnuchin confirmed earlier this week. He told reporters outside the White House that Trump would get a recommendation on the Chinese-owned video app this week. 

CFIUS reviews foreign acquisitions for potential national security risks. TikTok parent company ByteDance bought US company Musical.ly for around $800 million in 2017. Musical.ly was then rebranded as TikTok.

TikTok has seen its popularity explode over the past year, but that growth has also fueled concerns that the Chinese government might have sway over the app. The US Army and Navy have banned service members from downloading the app to government-issued phones. Democratic and Republican national committees have warned staffers about it. The Transportation Security Administration barred workers from using the app for social media engagement and Wells Fargo told employees to remove it from their work devices. 

The Trump administration has also been considering action against TikTok under a federal law called the International Emergency Economic Powers Act, according to The New York Times. The law allows the president to regulate international commerce after declaring a national emergency in response to any unusual or extraordinary threat to the US. The US Commerce Department could also put TikTok on its “entity” list, restricting the company’s access to US technology. Adding TikTok to the list would mean that Google and Apple would have to pull it from their app stores. Trump’s administration could lobby US lawmakers to enact legislation that targets TikTok as well.

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