The Mercury News Weekend

Biden backs off TikTok ban, orders review

- By Tali Arbel and Matt O’brien

The Biden administra­tion is backing off former President Donald Trump’s attempts to ban the popular video app TikTok, asking a court to postpone a legal dispute over the proposed ban as the government begins a broader review of the national security threats posed by Chinese technology companies.

A court filing Wednesday said the U.S. Commerce Department is reviewing whether Trump’s claims about TikTok’s threat to national security justified the attempts to ban it from smartphone app stores and deny it vital technical services. Separately, the Biden administra­tion has “indefinite­ly” shelved a proposed U.S. takeover of TikTok, according to a Wall Street Journal report. Last year, the Trump administra­tion brokered a deal that would have had U.S. corporatio­ns Oracle and Walmart take a large stake in the Chineseown­ed app on national-security grounds.

The unusual arrangemen­t stemmed from a Trump executive order that aimed to ban TikTok in the U.S. unless it accepted a greater degree of American control.

White House press secretary Jen Psaki did not deny the Journal report, but said Wednesday the Biden ad

ministrati­on hasn’t taken a “new proactive step” in the process.

Psaki added that the Biden administra­tion is comprehens­ively evaluating risks to U.S. data, including those involving TikTok. A review of TikTok by the Committee on Foreign Investment in the United States, which considers national security implicatio­ns of such investment­s, is ongoing, Psaki said. She didn’t offer a timetable for that process.

Trump targeted TikTok over the summer with a series of executive orders that cited concerns over the U.S. data that TikTok collects from its users. But courts temporaril­y blocked the White House’s attempted ban, and the presidenti­al election soon took overshadow­ed the TikTok fight.

While President Joe Biden has said TikTok is a concern, his administra­tion hadn’t said whether it will continue to try to ban TikTok or force a sale. Biden has so far taken a cautious approach to inheriting Trump’s China policies and hasn’t promised to scale back or cancel tariffs and other combative measures.

The Biden administra­tion appears to be creating a clearer set of criteria to evaluate which Chinese technology platforms pose a legitimate security risk to Americans, said Samm Sacks, a China expert at Yale Law School.

“I don’t think they see TikTok itself as a high-priority issue,” she said, calling it a hypothetic­al future threat. “This one-off ban on a rotating cast of Chinese tech companies, that’s not likely to continue.”

In September, Trump gave his tentative blessing to a proposal by TikTok’s Chinese owner ByteDance that would form a new U.S. arm of TikTok in partnershi­p with Oracle and Walmart, who would make significan­t investment­s in the new company. The arrangemen­t aimed to hand management of the app’s U.S. user data to Oracle. CFIUS, however, has not completed its required review of the arrangemen­t. A government deadline for TikTok to sell its U.S. operations has passed.

TikTok has been looking to the U.S. Court of Appeals for the District of Columbia Circuit to review Trump’s divestment order and the government’s national-security review.

 ?? KIICHIRO SATO — THE ASSOCIATED PRESS ARCHIVES ?? The Biden administra­tion is halting a deal that would have had Oracle and Walmart buying a big stake in TikTok.
KIICHIRO SATO — THE ASSOCIATED PRESS ARCHIVES The Biden administra­tion is halting a deal that would have had Oracle and Walmart buying a big stake in TikTok.

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