Lutnick Warns: TikTok Could Go Dark in U.S.,Unless China Signs Off

U.S. Commerce Secretary Howard Lutnick has stated that the popular short video app, TikTok, may cease operations in the United States should China fail to approve its sale deal. This app, owned by China-based ByteDance, is utilized by approximately 170 million American users.

Lutnick, while addressing CNBC, emphasized that the United States must regulate the algorithm that drives the functionality of this social media platform. This situation follows President Donald Trump’s decision to extend a deadline for ByteDance to divest the U.S. assets of TikTok from January 19 of this year to September 17, as stipulated by a 2024 law.

Lutnick stated, “China can have a little piece, or ByteDance, the current owner, can keep a little piece. But basically, Americans will have control. Americans will own the technology, and Americans will control the algorithm.” He went on to add that if the deal is approved by the Chinese authorities, it will proceed; if not, TikTok faces the potential of going dark in the United States. These decisions are expected in the immediate future.

According to reliable sources, a deal was in progress earlier this year to transition TikTok’s U.S. operations into a new, U.S.-based firm, majorly owned and managed by U.S. investors. However, this was stalled after China signaled it would not approve it following President Trump’s announcements of substantial tariffs on Chinese goods. TikTok, it should be noted, has yet to comment on these developments.

In conclusion, the future of a major social media platform in the U.S. hangs in the balance, dependent on international trade negotiations and approval.