TikTok Threatens Legal Action as US House Passes Bill to Force Ownership Dilution Within a Year

TikTok is once again facing legislative pressure in the United States as the House of Representatives passed a bill that could lead to the platform’s ban unless its Chinese parent company, ByteDance, dilutes its stake within twelve months.

The House overwhelmingly approved the legislation with a vote of 360 to 58, sending it to the Senate for further consideration. President Joe Biden has signaled his support for measures against TikTok, citing national security concerns over the potential for data sharing with the Chinese government.

Lawmakers from both parties, along with Biden administration officials, argue that TikTok’s ownership structure poses risks to national security, particularly regarding the privacy of its 170 million American users.

By incorporating TikTok into a broader foreign aid package, legislators aim to expedite the process of potentially banning the app, after previous standalone bills faced challenges in the Senate.

In response, TikTok has condemned the House’s move, accusing lawmakers of attempting to stifle free speech under the guise of national security and humanitarian aid.

The platform, which contributes billions to the US economy annually, insists it has never shared American user data with the Chinese government and pledges to challenge the bill in court once it becomes law.

However, concerns about TikTok’s ties to China persist among some lawmakers, with Democratic Senator Mark Warner warning of its potential as a propaganda tool. Critics of the bill argue that it may not effectively address national security risks or protect user privacy.

As the legislation moves to the Senate, discussions surrounding TikTok’s ownership and operations continue to shape US-China relations, with implications for the future of social media regulation and data protection.