“The times have changed” How TikTok in the U.S. is facing a dilemma

“Wielding Pepper Spray at Washington with Money” – An official from the U.S.-China Economic and Security Review Commission commented on the short video social media platform TikTok’s lavish spending on lobbying the U.S. Congress, without ever clarifying TikTok’s relationship with the Chinese Communist Party.

“Times have changed.” A senior senator in the U.S. Senate stated before voting on the “Sell or Ban” TikTok bill that now, the U.S. is becoming increasingly sensitive to national security and the threat posed by the Chinese Communist Party.

Since 2019, TikTok and its parent company ByteDance, based in Beijing, China, have spent at least $27 million on lobbying efforts in Washington to prevent the U.S. government and Congress from imposing a ban on TikTok.

Just when TikTok had managed to escape several waves of danger in recent years and continued to optimistically believe that 2024 would be smooth sailing, the U.S. House of Representatives overwhelmingly passed a bill on April 20 requiring TikTok to separate from ByteDance within nine months, divesting from all Chinese ownership, or face a ban on operating in the U.S. The Senate also passed the “Sell or Ban” bill targeting TikTok on April 23. Subsequently, President Biden swiftly signed it into law on April 24.

Such rapid changes may have caught TikTok and ByteDance off guard, as they seemed to be puzzled as to why their strong lobbying efforts didn’t work. Let’s summarize the key aspects and turning points in TikTok’s journey towards demise in the U.S.

Since officially entering the U.S. market in 2018, TikTok’s influence on American youth has raised concerns among some individuals, especially Republicans. By 2020, the Trump administration attempted to ban TikTok, but the executive order was overturned in a court led by Democratic judges.

At that time, TikTok had around 100 million users in the U.S., mostly young people. Now, TikTok has 170 million users in the U.S.

After narrowly escaping the first threat in 2020, TikTok began to invest more in lobbying and public relations. Its lobbying expenditure in Washington with ByteDance increased from $2.5 million in 2020 to $4.75 million in 2021, nearly doubling.

According to federal records, TikTok and ByteDance have collectively spent at least $27 million on lobbying the U.S. government and Congress since 2019. They hired dozens of lobbyists from well-known PR firms in Washington, and even engaged former officials from the Obama administration as advisors.

Member of the U.S.-China Economic and Security Review Commission, Jacob Helberg, said, “They wield pepper spray at Washington with money, but they have never taken the time to truly answer people’s questions satisfactorily, specifically ‘Are you under the control of the Chinese Communist Party?'”

Observers interviewed by Politico stated that TikTok’s arrogance, disregard, and hubris led to their lobbyists losing in crucial battles in Washington.