US threatens TikTok ban if Chinese owners don't sell stake: Media

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US threatens TikTok ban if Chinese owners don't sell stake: Media
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However, any US ban would face significant legal hurdles. Read more at straitstimes.com.

WASHINGTON - The Biden administration has demanded TikTok’s Chinese owners divest their stake in the popular video app or face a possible US ban, the Wall Street Journal reported, according to people familiar with the matter.

The move would be the most dramatic in a series of recent steps by US officials and legislators who have raised fears that TikTok’s US user data could be passed on to China’s government.TikTok spokesperson Brooke Oberwetter said in a statement to Reuters that “if protecting national security is the objective, divestment doesn’t solve the problem: a change in ownership would not impose any new restrictions on data flows or access.”Any US ban would face significant legal hurdles.

TikTok said it has spent more than US$1.5 billion on rigorous data security efforts and rejects spying allegations. The Wall Street Journal said Cfius made the sale demand recently. A Treasury spokesperson declined to comment. TikTok said on Wednesday that “the best way to address concerns about national security is with the transparent, US-based protection of US user data and systems, with robust third-party monitoring, vetting, and verification.” REUTERS

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