TikTok in Focus: New U.S. Legislation Targets App

Amidst a flurry of legislative action, President Biden signed H.R. 815 into law, a comprehensive bill encompassing diverse provisions ranging from aid to Ukraine, support for migrants, to stringent measures against the opioid crisis, particularly targeting fentanyl. Nestled within this multifaceted legislation lies Division H – the Protecting Americans from Foreign Adversary Controlled Applications Act.

What Does the Act Entail?

The act, in essence, prohibits the distribution, maintenance, or updating of applications controlled by foreign adversaries within the United States. Specifically outlined are provisions regarding the operation of websites, desktop applications, mobile applications, and augmented or immersive technology applications. Notably, the law targets applications operated directly or indirectly by ByteDance, Ltd, notably TikTok, or by any covered company deemed to pose a significant threat to national security by the President.

Key Provisions:

• Prohibition of Distribution: Entities are barred from facilitating the distribution, maintenance, or updating of foreign adversary controlled applications through online marketplaces or internet hosting services accessible within U.S. borders.
• Data Portability: Prior to the prohibition coming into effect, owners of such applications must provide users within the U.S. with all available data related to their accounts in a machine-readable format.
• Exemptions: Certain exemptions are granted, including for qualified divestitures and necessary services to attain compliance with the law.
• Enforcement: Violations of the act may incur civil penalties, calculated based on the number of affected users within U.S. territory.

In a piece featured in The Atlantic, Zephyr Teachout remarked on the bill’s significance, highlighting Congress’s concerns regarding potential risks posed by the Chinese government’s access to personal data of TikTok’s vast U.S. user base. ByteDance, TikTok’s parent company, has refuted claims of data sharing with the Chinese Communist Party, but apprehensions persist, particularly regarding data privacy and algorithmic manipulation.

TikTok’s Response:

While the U.S. government asserts its stance on national security grounds, TikTok has voiced opposition to the legislation, calling it unconstitutional and vowing legal action. The TikTok CEO, Shou Chew,  released a post on the platform with his statement, underscoring the company’s intent to challenge the new law in court.

@tiktokResponse to TikTok Ban Bill♬ original sound – TikTok

As the ramifications of the Protecting Americans from Foreign Adversary Controlled Applications Act unfold, the tech industry braces for potential shifts in the regulatory landscape, while users of affected applications await further developments.

Sources:

The White House Press Release: Bill Signed: H.R. 815

Bill: H.R.815 – Making emergency supplemental appropriations for the fiscal year ending September 30, 2024, and for other purposes.