Recently a new order issued by the U.S. commerce department. The order told people in the U.S. to block downloading the popular video-sharing app TikTok as of September 20. On Friday morning, the full order published by the department of commerce.
The order reads that Any transaction by any person, or concerning any property, subject to the jurisdiction of the United States, with ByteDance Ltd, shall prohibited under the law up to the extent mentioned. The new order set to take effect on September 20, 2020.
It has been said that over the past few weeks, Chinese parent company ByteDance has engaged in talks with several U.S. companies, including Microsoft and Oracle, to develop a new company TikTok Global. The new company creation would obviously require a nod from Trump’s administration regarding data security concerns.
Earlier in September, it has said that President Trump had spoken about some negotiations after engaging in talks about U.S. TikTok operations to shut down if the company isn’t sold by September 15 to a U.S. company.
How did Oracle and Microsoft react?
Ideally, Microsoft had dropped out of the bidding, leaving Walmart and Oracle as leading applicants to hold a significant stake in the TikTok Company. Yet, the administration is, however, to strike a deal that meets all the requirements.
Officials had stated that a commerce department rule is banning U.S. downloads of TikTok and several other Chinese owned apps, including WeChat. Reportedly the law will go into effect from Sunday that is September 20. As per the new law, downloads from both Twitter and We chat would be banned altogether.
How did all start?
Recently, Trump’s administration had claimed that it wants to prevent the Chinese government from accessing data on Americans. As per the executive orders signed August 6, 2020, the new rules issued by the commerce department pertain to it. It indicates that the U.S. will completely ban business transactions with TikTok and WeChat as of Septemeber 20.
In simple terms, it means that Apple’s play store and Google play, for instance, will barred from providing any downloads of apps or updates to users in the USA.
What is TikTok, and who owns it?
Ideally, Tiktok is a popular short-form video-sharing app that owned by Beijing based ByteDance. The company is known to a mediator in a negotiating deal with the treasury department to sell almost all control ownership of the app to U.S. interests like Oracle. For such an agreement to completed, Trump has set a deadline of November 12; otherwise, TikTok will banned entirely in the U.S.
Trump could drop the app download ban provided the TikTok deal with Oracle and other parties are completed before Sunday that is September 20. Also, a TikTok spokesperson had concluded in a statement recently that they don’t agree on the commerce department’s decision. Furthermore, they aren’t happy that it stands to block new app downloads from September 20 and ban the use of TikTok from November 12.
The TikTok community in the USA comprises 100 million followers who love to use the app for entertainment, connection, and self –expression. Above all, the company states that the company committed to protecting their safety and privacy. They will continue to bring joy in families and meaningful careers to those who are willing to create on this platform.
How did WeChat react to the banning news?
As per the recent news, it can concluded that Tencent owned WeChat is set to be disabled in the U.S. It includes the ability for American users to transfer money or process payments integrated with the app.
Furthermore, in the latest statements given by Tencent, it could concluded that the company had designed the app to serve international users outside China, and it has always fulfilled the highest standard of data security and privacy.
The officials also said that the decision announced today is unfortunate, but they aren’t willing to giving up on the desire to offer ongoing service to the users for whom WeChat is an essential communication tool. The company will continue to discuss the issue with the government and other stakeholders in the country for achieving a long term solution.
U.S. commerce department’s reaction on it
As per actions, the U.S. commerce department Secretary Wilbur Ross had said that the new prohibitions once again prove that president Trump will do anything and everything at his power for national security. The new rule will also protect the Americans from threats of the Chinese communist party.
We have taken significant actions at the president’s direction to combat China’s malicious collection of American citizen’s personal data. Furthermore, Ross also said that the moves promote our democratic rules-based norms, national values, and aggressive enforcement of U.S. law and regulations.
The commerce department also made a statement saying both WeChat and TikTok tend to swath a large amount of data from users, including location data, network activity, and search histories. The U.S. government has pointed out that Chinese companies tend to work in cooperation with the guidelines given by the Chinese communist party.
Thus the combination creates unacceptable risks to the country’s national security.
As per TikTok, under its proposal to the Trump administration. The company has committed already to additional levels of transparency and accountability well beyond other apps are planning to do. The company is also willing to do third party audits.
Referring to its deal with Oracle, TikTok stated that an American technology provider would be solely responsible for maintaining and operating the company’s network in the country. It will include everything from services to data serving U.S. consumers.
The final statement by U.S.’s commerce department states that the rules prohibit the provision of service from maintaining or distributing the Wechat or Tiktok mobile applications. Furthermore, commerce will not likely penalize any citizens who use WeChat or TikTok in the United States.