According to the Epoch Times on May 5, 2024, US National Security Advisor Jake Sullivan stated on Saturday that the conversion of Chinese-owned short video platform TikTok to a US-controlled company is “completely reasonable” and there is no reason not to do so.
President Biden signed into effect last month a comprehensive $95 billion foreign assistance law that includes a provision requiring TikTok to sever ties with its Beijing-based parent company ByteDance and become a US-owned entity.
ByteDance has 270 days to complete the divestment, with the possibility of a one-time 90-day extension if the transaction is deemed close to completion. The platform has 170 million users in the US, and if the sale is not completed before the deadline, it will be removed from all app stores and blocked by internet service providers nationwide.
Speaking at the FTWeekend Festival held at the John F. Kennedy Center for the Performing Arts, Sullivan said, “We believe that the withdrawal of Chinese investment and the eventual ownership of TikTok’s US operations by an American company is entirely reasonable,” adding, “There is no reason not to achieve this goal by the end of this year.”
The ban could potentially come into effect as early as January next year. If extended, the ban would be implemented in April next year. Both scenarios would occur after the US presidential election in November this year, as neither Biden nor his expected opponent, former President Donald Trump, want to alienate TikTok fans in public opinion polls, as these fans are primarily young voters.
Ian Bremmer, President of the Eurasia Group, wrote an article in his media outlet GZERO this week discussing the necessity of TikTok’s divestment from Chinese ownership. He stated that while the situation is delicate, legislation to “divest or ban” is the right step to take.
Bremmer mentioned, “TikTok is ultimately beholden to the Chinese government, a dictatorial state-capitalist regime increasingly engaged in strategic competition with the United States. As intelligence agencies have warned, the platform poses a national security vulnerability. Because Beijing can exploit it to surveil and manipulate Americans. Without Chinese divestment or a complete ban, no remedial measure or half-hearted assurance can mitigate this risk.”
He emphasized, “Most importantly, the Chinese Communist Party has banned all American social media applications on national security grounds. TikTok itself is banned in China, and ByteDance is only allowed to operate a heavily censored version for domestic users. … The CCP is not quick to dismantle their so-called Great Firewall, so I believe the US divestment or ban is a fair and reciprocal response that will not only protect US national security but also shield American social media companies from the most serious threats.”
He also cited TikTok’s role in the Israel-Hamas conflict to illustrate the urgency and necessity of taking action. He said, “Since October 7, many Americans’ TikTok recommendation feeds have been filled with anti-Israel content, often accompanied by anti-Semitic content.”
Regarding Steven Mnuchin, former Treasury Secretary and current head of private equity firm Liberty Strategic Capital, leading a group to acquire TikTok, Bremmer commented on the potential cash requirements for the acquisition. He added, “The most likely acquirers of the company may be a publicly traded tech giant, subject to immediate regulatory scrutiny due to antitrust concerns.”