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Tick Tock…TikTok 💣

The Trojan Horse, an innocent wooden gift, was the cunning tool that allowed Greek soldiers to infiltrate and ultimately bring down the mighty city of Troy. Today, U.S. security experts and officials warn of a modern parallel—not a wooden horse, but a digital app: TikTok.

TikTok is now facing a potential ban in the U.S. on January 19, 2025. So how did an app loved by millions of Americans become the center of a heated national debate? Behind the viral dances, funny videos, and addictive trends hide national security and data privacy concerns. Before we delve into these issues, let’s first trace TikTok’s journey and how it rose to prominence in the United States.

The beginning 

TikTok’s rise to popularity, especially in the U.S., wasn’t just luck. It’s the result of smart tech, a key acquisition, a deep understanding of what people love, questionable data practices, and, of course, a global pandemic that kept everyone glued to their screens.

TikTok's story begins in 2016 in China when ByteDance, a Chinese tech company, launched Douyin, a short-form video platform. It quickly found considerable success domestically, but ByteDance had bigger ambitions — they wanted to take this format globally. Enter TikTok in 2017. 

ByteDance knew it would be challenging to break into the U.S. market, build a successful app, and gain a loyal user base in such a competitive space. So, in 2017, it made a bold move: it acquired Musical.ly for nearly $1 billion.

TikTok acquired Musical.ly for nearly $1 billion

But why Musical.ly?

Musical.ly, launched in 2014, was already a massive hit with U.S. teens. The app allowed users to create short lip-sync videos and amassed over 100 million users worldwide, with a huge chunk of them in the U.S. Its fun, creative, and community-driven vibe made it the perfect bridge for ByteDance to enter the American market.

However, the biggest breakthrough for TikTok came in the form of the coronavirus and the lockdown that followed. The pandemic created a perfect opportunity for TikTok’s growth. With so much time on their hands, people turned to the app to consume content and create it. 

Between January and March 2020, TikTok was downloaded more than 315 million times globally—the highest number of downloads for any app in a single quarter. In the U.S., its user base surged as people loved the lighthearted entertainment and community-driven engagement the app offered. In 2020, TikTok had nearly 70 million monthly active users from the United States. 

In one remarkable instance, a woman discovered she had ADHD after the FYP repeatedly surfaced videos about its symptoms, leading her to consult a doctor and seek a diagnosis. Stories like these have become increasingly common, with users sharing similar experiences directly on TikTok itself.

Fast-forward to today, TikTok has evolved far beyond an entertainment app. It’s now a powerful platform where Americans shop, sell, discover, and advertise products and stay informed with daily news. According to a Pew Research Center study, the share of adults who say they regularly get news from TikTok has grown about fivefold since 2020, from 3% to 17% in 2024.

It’s even become a critical tool for presidential candidates, who leverage its reach to engage with teens and young voters across the nation. TikTok’s influence stretches well beyond viral dances and memes— it’s reshaping how people connect, consume content, and communicate.  

As of 2024, TikTok boasts around 170 million American users — about half the U.S. population — who spend an average of 58.4 minutes per day on the app. To put that into perspective, Instagram users spend about 33 minutes daily, while Facebook sees an average of 31 minutes.

TikTok’s ability to captivate attention sets it far ahead, solidifying its position as the most engaging platform in the social media landscape. In 2023, TikTok generated $120 billion globally, with $16 billion of that coming from the U.S. alone. 

However, TikTok’s meteoric success has not come without scrutiny.

As of 2024, TikTok boasts around 170 million American users - about half the U.S. population

The spark 

One of the most prominent figures who criticized TikTok’s practices and called for a TikTok ban in the U.S. was Donald Trump. Back in 2020, he labeled the app a national security threat, claiming it could be used by China for espionage or propaganda.

His administration argued that TikTok’s parent company, ByteDance, could be forced by the Chinese government to hand over data on American users. To counter this, Trump issued an executive order demanding ByteDance sell TikTok’s U.S. operations to an American company or face a ban. 

Companies like Oracle and Microsoft showed interest, but no deal ever came through. To stop the app's growing popularity, President Trump also directed the Commerce Department to restrict its operations to block downloads. 

However, TikTok fought back in court and won, with judges blocking the ban. In the end, Trump’s efforts stalled, especially after he left office. 

While Trump’s campaign to ban TikTok failed to achieve its immediate goal, it marked a pivotal moment in the app’s journey. It brought the debate over TikTok’s data practices and ties to China into the spotlight. 

Bipartisan support 

Soon, the issue gained bipartisan support. Lawmakers across the party lines were concerned about the misuse of American user data and TikTok’s close ties with the Chinese government. 

These concerns culminated in the Protecting Americans from Foreign Adversary Controlled Applications Act (PAFACA), introduced in the U.S. House of Representatives on March 5, 2024, by Representative Mike Gallagher (R-WI) and co-sponsored by Representative Raja Krishnamoorthi (D-IL).

So, what did PAFACA address? PAFACA proposed to protect the national security of the  United  States from the threat posed by foreign adversary-controlled applications.

It explicitly targeted TikTok, requiring its parent company, ByteDance, to divest its U.S. operations or face a ban. 

On March 13, 2024, the House of Representatives passed the bill with overwhelming bipartisan support: 352 votes in favor (197 Republicans and 155 Democrats) and 65 against. 

The Senate followed suit on April 23, 2024, approving the bill with a vote of 79 to 18. The very next day, on April 24, 2024, President Joe Biden signed PAFACA into law, officially putting ByteDance on notice.

The law gave TikTok a clear ultimatum: ByteDance must divest TikTok’s U.S. operations by January 19, 2025, or the app would face a nationwide ban. This means TikTok would be removed from major app stores like Google Play and Apple's App Store in the U.S., preventing new downloads and updates. Additionally, The U.S. government asked internet service providers (ISPs) to block access to TikTok’s servers. 

The strong bipartisan support for this issue marks a significant and unifying step in addressing national security concerns. Lawmakers from both sides of the aisle have rallied together, showcasing a rare moment of consensus in the effort to safeguard the nation’s interests.

But why are the United States and its lawmakers so committed to banning an app millions of Americans love and use daily? 

Twin reasons 

The push to ban TikTok in the U.S. boils down to two major concerns: the potential misuse of American citizens’ data and the risk of TikTok being used as a tool for spreading misinformation. These aren’t hypothetical worries—evidence and examples show that TikTok’s parent company, ByteDance, and its ties to the Chinese government raise serious red flags. 

At the core of the U.S. government’s concern is TikTok’s ability to collect vast amounts of personal data from its users, including location information, search history, and even biometric data. If you ask us if it is just TikTok that is doing this? The answer is no.

Almost all social media platforms gather similar data, but TikTok’s ownership is the problem. Despite its repeated claim of being an independent entity, TikTok is a subsidiary of a Beijing-based company, and the possibility of the Chinese government accessing the user data is very high. 

While the privacy policy mentions “limited remote access” and “certain entities,” it does not mention what information is being shared or with whom!

The evidence of ByteDance having access to the US user data has been reported by multiple news organizations. For example, in 2022, BuzzFeed News published a report based on leaked audio from 80 internal TikTok meetings, revealing that ByteDance employees in China had repeatedly accessed U.S. user data. 

The recordings, which covered discussions between September 2021 and January 2022, included admissions from multiple TikTok employees that "everything is seen in China." These revelations starkly contradicted TikTok's public assurances that U.S. user data was stored exclusively on domestic servers to prevent foreign access, further fueling concerns about its data-sharing practices. 

After the leak, ByteDance claimed to take the issue seriously, but its actions told a different story. Instead of mending its ways, the company doubled down on questionable practices. In what felt like a plot straight out of a James Bond novel, ByteDance launched an internal investigation called Project Raven to uncover the source of the leaks.

As part of this probe, ByteDance targeted several journalists, including those from Forbes and the Financial Times. They accessed these journalists’ TikTok accounts, pulling IP addresses and user data in an effort to match them with the locations of ByteDance employees suspected of leaking information. The move raised alarms about the company’s disregard for user privacy and reinforced concerns that TikTok could be misused for surveillance.

In addition to this, US lawmakers have been briefed by security officials about TikTok's misuse of user data. However, these briefings have remained classified till now. 

The next pressing question is: Does the Chinese Communist Party (CCP) control TikTok, and can it use TikTok to spread misinformation in the United States? 

This is a concern that top US officials have stated multiple times. For example, FBI Director Christopher Wray, during a 2023 hearing, warned that TikTok’s ownership structure creates a pathway for potential exploitation by the Chinese government, whether for surveillance, propaganda, or disinformation campaigns. 

And this could be true. 

The CCP has a history of making private companies comply with its demands, regardless of their claims of independence. A prime example is Alibaba, one of China’s largest tech giants. In 2020, after Jack Ma, Alibaba’s co-founder, criticized China’s regulatory system, the government cracked down on the company. Jack Ma’s disappearance from the public eye for months after these events further highlighted the CCP’s reach.

Furthermore, TikTok has gained notoriety for spreading misinformation, with a recent and alarming example being the European Union’s formal investigation into the platform for alleged interference in Romania’s presidential election in November 2024. Countries like India, Australia, and New Zealand have banned TikTok or restricted its use on government devices on grounds of national security, data privacy, and concerns over misinformation. 

So, how has TikToK reacted to these serious allegations and the potential ban? 

TikTok’s response 

TikTok has repeatedly denied allegations that it shares U.S. user data with ByteDance or the Chinese government.

The company insists that all American data is securely stored on Oracle’s servers within the U.S., a key part of its Project Texas initiative. According to TikTok, this setup prevents foreign access and includes independent oversight to ensure everything stays above board. 

On the issue of Chinese influence, TikTok claims it operates independently of ByteDance through its U.S.-based subsidiary. It states that neither its algorithm nor its content moderation is influenced by the Chinese government. 

TikTok is fighting back against the looming ban by arguing that it violates First Amendment rights, claiming it would silence the free speech of its 170 million American users. 

TikTok has also remained steadfast in its refusal to sell its U.S. operations to an American company. ByteDance has argued that divestment would not resolve the underlying concerns and continues to push Project Texas as the solution to address data privacy and security issues. 

The company says TikTok isn’t just an app—it’s a space for creativity, self-expression, and connection. Banning it, they argue, would take away a platform that millions rely on to share their voices. 

According to TikTok, free speech is not the only thing in danger. A potential ban could negatively impact millions of US businesses.

Economic impact 

According to TikTok, banning the app in the U.S. would have significant economic consequences, particularly for small businesses and creators who rely on the platform to reach audiences and generate income. TikTok estimates that over 7 million U.S. businesses use the app, which helped small businesses earn $15 billion in revenue in 2023. 

The e-commerce feature TikTok Shop, launched in September 2023, plays a significant role in its ecosystem, allowing businesses to sell directly to engaged users. According to reports, TikTok Shop has over 500,000 US sellers. According to court filings by TikTok, a ban could also result in a monthly revenue loss of $1.3 billion for creators and small businesses. 

TikTok estimates that over 7 million U.S. businesses use the app

However, this could be a silver lining for American companies like Meta and YouTube, poised to gain significantly from a TikTok ban. The gap left in the billion-dollar short-form video ecosystem could be filled by platforms like Instagram Reels and YouTube Shorts, attracting creators, advertisers, and users. This shift would boost their engagement and ad revenue significantly.

What happens next

Recently, TikTok’s argument in the U.S. Circuit Court that the ban imposed on it violated the First Amendment — claiming it would restrict the free speech of its 170 million American users — was rejected.

TikTok, in its appeal, cited First Amendment protections, comparing itself to a public square that facilitates free speech. Drawing on NetChoice v. Paxton, where platforms’ rights to curate content were upheld, the company argued that banning or forcing divestment would set a dangerous precedent for regulating speech. 

However, the judges were skeptical about TikTok’s comparisons to domestic free speech cases, emphasizing that the government’s rationale was not to ban the app or restrict free speech but to address national security concerns tied to its Chinese ownership.

Finally, the judges concluded that the government's actions were justified to protect national security interests, stating that the First Amendment exists to protect free speech in the United States. Here, the government acted solely to protect that freedom from a foreign adversary nation and to limit that adversary’s ability to gather data on people in the United States.

Now, TikTok has taken its battle to the U.S. Supreme Court, filing an emergency plea to block the ban. The Supreme Court has agreed to hear TikTok’s argument on Jan 10, 2025. 

As the January 19, 2025, deadline approaches, the company is running out of legal options, making this Supreme Court decision critical for TikTok’s future in the U.S.

Amid this, there’s an unexpected twist: former President Donald Trump, who originally pushed to ban TikTok during his first term, recently met with TikTok’s CEO. This meeting has sparked speculation that Trump, now President-elect, might reconsider his stance and potentially work to save the app.

As the January 19 deadline looms, the battle over TikTok highlights a larger conversation about data sovereignty and global tech competition—one that could reshape the future of social media in the United States.

This newsletter was written by Shyam Gowtham

Thank you for reading. We’ll see you at the next edition!