Skip to main content

TikTok Is Facing a Potential App Store and Advertising Ban

Publish date:
Video Duration:

TikTok could soon be disappearing from U.S. app-store sites, if the Trump administration has its way.

The popular video-sharing app is facing potential banishment from U.S. app stores and a declaration that U.S. advertising on its platform is illegal as part of President Donald Trump’s executive order banning the service in the continental United States.

Trump last week signed the order prohibiting transactions with TikTok if its parent ByteDance does not reach a deal to divest its U.S. operations in 45 days. It did not specify the scope of the ban, stating only that the U.S. Department of Commerce would define which transactions would be barred at the end of the 45-day period.

However, Reuters reported on Wednesday that the U.S. government is considering disrupting key aspects of TikTok’s operations and funding, including banning U.S. app stores from offering it and making U.S. advertising on the platform illegal. 

For its part, the U.S. government has expressed concerns over the safety of personal data that TikTok collects and stores from users. TikTok officials have countered those claims, stating that U.S. user data is safely stored and not shared with the Chinese government.

TikTok is prepping to file a federal lawsuit against the Trump administration in the U.S. District Court for the Southern District of California, where TikTok's American operations are based, deeming the executive order as unconstitutional.

Meantime, Microsoft (MSFT) - Get Report has been in discussions with ByteDance about buying TikTok’s North America, Australia and New Zealand operations, which would make the executive order against TikTok moot.

Latest Videos From TheStreet and Jim Cramer:

Related Videos