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TikTok Must Become US Firm or Will Be Banned, Treasury Secretary Says

October 1, 2020
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TikTok must become a “US based company controlled by US investors” or will be banned in the United States, Treasury Secretary Steven Mnuchin said Wednesday.

Mnuchin’s comments come amid uncertainty over a US-brokered deal to reorganise ownership of the popular Chinese-owned video-sharing app which US officials have called a national security risk.

Mnuchin said the deal brokered by the Trump administration to allow Silicon Valley giant Oracle and retail powerhouse Walmart a stake in a new operating entity called TikTok Global is “a great outcome.”

“If the deal can be closed on our terms, we’ll do it,” he told CNBC television.

“If not, it would be shut down. Any deal will fully satisfy all of our national security issues.”

Mnuchin said the plan would “build a world class US based company controlled by US investors” and fully satisfy all US national security issues.

President Donald Trump has said he would approve the plan to take TikTok out of the hands of its Chinese parent ByteDance, but it was unclear if Beijing would approve the deal.

The Chinese government has accused Trump of “bullying behavior” and “abusing national power” to take over TikTok.

A move by the Trump administration to block new TikTok downloads, in anticipation of a full ban in November to ramp up pressure for the deal, was blocked late Sunday by a US federal judge who ruled that the administration likely exceeded its legal authority.

Trump and his aides have claimed TikTok and its parent firm can be used to collect data on Americans for Chinese espionage, a claim denied by the company.


Will Xbox Series S, PS5 Digital Edition fail in India? We discussed this on Orbital, our weekly technology podcast, which you can subscribe to via Apple Podcasts, Google Podcasts, or RSS, download the episode, or just hit the play button below.

Credit: gadgets.ndtv.com

Tags: ByteDanceDonald TrumpOracletiktok bytedance us ban oracle walmart deal treasury secretary steven mnuchin tiktokwalmart
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