Why the latest TikTok ban attempt is different — and what it means for marketers

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TikTok is back in the hot seat — not that it ever really left — again facing threats of a nationwide ban in the U.S. under a proposed bill now in the hands of the Senate. The bill, which would force a sale of the app if it wishes to remain in the region, raises questions of how an evolving social media landscape could play into TikTok’s fate and what the impact may be for marketers.

The latest bill against TikTok comes as the ByteDance-owned platform continues to stoke national security concerns stemming from its Chinese ownership and handling of U.S. data. The bill, dubbed the Protecting Americans from Foreign Adversary Controlled Applications Act, was passed rapidly by the House in a landslide 352-65 vote last week and now heads to the Senate. If the bill progresses, President Joe Biden has already stated that he would sign it into law, giving TikTok 165 days to sell or be banned in the U.S.

“The bill’s progression to the Senate with the overwhelming support from the House and as Biden has voiced that he backs the bill is what makes this one feel more real — but it’s still not time to panic,” said Ed East, co-founder and group CEO of Billion Dollar Boy, in emailed comments. East noted that ultimately, he doesn’t expect a total ban to go into effect given that the Senate’s decision is still up in the air and TikTok would have time to sell if the bill becomes law. 

While the Senate has also indicated that there will be some down time before a decision is made, questions have understandably surfaced as to what makes this ban attempt different, who could stand to benefit and where social media ad dollars may shift. 

The making of a ‘perfect storm’

TikTok has repeatedly found itself in political crosshairs since its Western emergence — the app is already banned on most U.S. government devices — but arguably the most serious threat to its existence beyond that of the present day came in 2020 under former President Donald Trump, who attempted to ban the app via a since-revoked executive order. At the time, multiple parties hoping to buy the app came forward, including Microsoft, Walmart and Texas-based tech firm Oracle, which now helps store U.S. TikToker data. Trump has since changed his stance and come out against the current push for a ban.

While the latest ban attempt is in some ways reminiscent of those of the past, the key difference in the current debate is the passing of time, which has allowed for a wider awareness and aperture around the issues surrounding TikTok, according to Mike Proulx, vice president and research director for Forrester. The years since 2020 have seen a rise in questions around social media’s impact on aspects like mental health, misinformation and children’s safety while consumer privacy concerns and antitrust legislation have reached a boiling point. 

“All of these things together equate to the perfect storm of government needing to take some type of regulatory action with regards to social media,” Proulx said. “This is something that has been brewing for some time and the conditions just happened to be ripe at the moment for heightened action.” 

There’s no shortage of instances that demonstrate the growing desire by the government to regulate social media. In January, a Senate hearing discussing apps including TikTok, Snap, Meta and X (formerly Twitter) and their ability — or lack thereof — to keep children safe saw Republican Sen. Thom Tillis of North Carolina decrying to top social executives that, “We could regulate you out of business if we wanted to,” painting a tense picture of Congress’ current regard for the platforms.


“The bill’s progression to the Senate with the overwhelming support from the House and as Biden has voiced that he backs the bill is what makes this one feel more real — but it’s still not time to panic.”

Ed East

co-founder, group CEO, Billion Dollar Boy


The protection of data has also been a hot-button topic across the board. In the U.S., TikTok has attempted to address concerns about its data practices with Project Texas, its billion-dollar U.S. data separation project. However, damning findings from The Wall Street Journal in January based on information from internal documents and current and former employees found that TikTok still is sharing U.S. user data with its parent company in China, something that Project Texas was put in place to avoid. 

Beyond social itself, the broader economic landscape has shifted. President Biden has been more comfortable imposing trade sanctions on China than former President Trump. In a potential push to combat China’s attempts for economic dominance, Washington could be more likely to go through with a TikTok ban if ByteDance refused a sale. 



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