As the United States considers banning TikTok, a popular Chinese-owned app, uncertainty grips other similar platforms operating within its borders. Alex Capri, a lecturer at the National University of Singapore Business School and a research fellow at the Hinrich Foundation, warns of potential repercussions for these apps if TikTok faces prohibition.
The US House of Representatives recently passed a bill targeting TikTok, stipulating that the app cannot continue operating in the country unless its Chinese parent company, ByteDance, sells it to a company meeting US regulatory standards, according to reports by CNN.
The move has sparked strong reactions from Chinese authorities. Wang Wenbin, a spokesperson for the Chinese Foreign Ministry, criticized the bill during a briefing, accusing the US of disregarding principles of fair competition and international economic and trade rules.
However, China’s own track record regarding American apps sheds light on the complexities of the situation. Historically, China has restricted several prominent American social media platforms, citing concerns over data privacy and content control. Companies such as Google, YouTube, X, Instagram, and Meta have all faced barriers to entry into the Chinese market due to government regulations.
Google’s exit from mainland China in 2010, following cyberattacks on its Chinese platform and other US companies, serves as a significant precedent. Despite the differences in circumstances, the landscape has evolved considerably since then, raising questions about the fairness of China’s criticisms.
Brock Silvers, managing director at Kaiyuan Capital, highlighted the irony in China’s response, stating, “The TikTok bill appears likely to become law, and China’s displeasure seems ironic, if not hypocritical, given its stance toward American social apps.”
The debate over the ban underscores deeper tensions between the US and China regarding technology, data security, and global economic competition. With the fate of TikTok hanging in the balance, attention now shifts to the US Senate, where lawmakers are reviewing the bill. Should it pass through the Senate and reach President Joe Biden’s desk, he has signaled his intention to sign it into law.
In the midst of these developments, uncertainty prevails for Chinese-owned apps operating in the US, as they navigate the shifting regulatory landscape and geopolitical tensions between two of the world’s largest economies.
