TikTok set to shut down app in US on Sunday – 170m users to be affected

At least 170 million Americans are expected to be shut off from TikTok as plans to cease U.S. operations looms.

TikTok is staring at a potential ban in the U.S. if the Supreme Court decides to uphold a national security law in which service providers such as Apple and Google would be penalised for hosting the app after the Sunday deadline.

Shutdown

The social media giant plans to completely shut down its operations in the United States when a federal ban ordered by legislators goes through as planned.

TikTok will implement an immediate blackout rather than allowing existing users continued access as had been expected.

The apparent shutdown comes as TikTok faces a January 19 legislative deadline to sever ties with its Chinese parent company ByteDance or cease US operations.

While the law only requires app stores to remove TikTok and cloud providers to stop hosting US user data, the company will opt for a full suspension of service, The Information said.

Users attempting to open the app after the deadline will encounter a message redirecting them to a statement about the federally mandated ban, along with options to download their personal data, the report said.

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Elon Musk

The Chinese government has considered a plan in which X owner Elon Musk would acquire the operations as part of several scenarios in consideration, Bloomberg News reported Monday.

If ByteDance decides to sell, potential buyers may have to spend between $40 billion and $50 billion, according to an estimate by CFRA Research Senior Vice President Angelo Zino.

A consortium of businesspeople including billionaire Frank McCourt and O’Leary Ventures Chairman Kevin O’Leary have previously said they’d be willing to pay up to $20 billion for TikTok.

Zino based his valuation on estimates of TikTok’s U.S. user base and revenue in comparison to rival apps, according to CNBC.

Freedom of speech

TikTok’s reported plan would follow sceptical questioning from Supreme Court justices during oral arguments last Friday, suggesting they would uphold the ban.

The company has challenged the law on First Amendment grounds, which protect freedom of speech.

The shutdown would coincide with the US presidential transition, as Donald Trump, who has expressed opposition to the ban, takes office Monday.

In an internal email obtained by The Verge on Tuesday, TikTok assured its US employees that their “employment, pay, and benefits are secure” and offices will remain open even if the situation remains unresolved by Sunday’s deadline.

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