TikTok Will Have Until Nov. 27 to Finalize a Deal With an American Company
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The Trump Administration has officially approved an extension for TikTok to sell it’s app to an American company. President Donald Trump signed an executive order to allow TikTok to resume its operations until Nov. 12 unless ByteDance, TikTok’s owner, signs a deal to sell its assets beforehand.
TikTok is a social networking application, developed by Chinese owned ByteDance, which has become one of the most popular apps used worldwide, “making it one of the most downloaded apps in 2019.”
However, in January it was announced that TIkTok could get banned in the United States following a concern for privacy of Americans. President Trump was urged not to ban the app after TikTok sued the Trump Administration for an action that was unconstitutional.
On Sept. 27 U.S. District Judge, Carl Nicholas, signed off on a preliminary injunction temporarily halting the ban of TikTok being sold in app stores. The Trump Administration was then cornered to counter by adding an extension for TikTok to “strike a deal with an American technology company to defuse national security concerns.” Originally this extension was set to expire on Nov. 12, unless a 30-day extension would be granted by the Committee on Foreign Investment in the United States (CFIUS).
Since TikTok’s deadline has approached, ByteDance asked the court to delay their block by allowing them an extension. According to CNN, TikTok was given an extension of 15 more days so that their “proposed deal with Oracle (ORCL) and Walmart should be approved according to a court filing.”
This deal, although not approved yet, would eventually make TikTok an American based company. CNN stated that although nothing has been finalized just yet it does seem that the deal that has been proposed has been authorized by President Trump.
The extension is set to expire on Nov. 27, meaning that TikTok will have to have a deal finalized with an American company by then in order to keep operating.