TikTok's Tumultuous Weekend: Why Apple and Others Are Playing It Safe

The 850 Billion Reasons Apple and Others Aren’t Taking a Chance on TikTok

This article discusses the series of events surrounding the ban and subsequent reinstatement of TikTok in the United States during the transition from the Trump to the Biden administration. Here’s a summary:

• Timeline of Events

  • Friday: The US Supreme Court upheld a law banning TikTok, set to take effect on January 19.
  • Biden Administration Statement: They stated they would not enforce the ban during their last day in office, leaving it to Trump.
  • Sunday: TikTok went offline in the US. Apple and other app stores removed the app due to legal obligations.
  • Trump’s Post: Trump announced he would suspend the ban upon taking office and that companies could ignore the law without liability.
  • TikTok Restoration: Bytedance, with Oracle's decision to trust Trump, began restoring service. However, Apple and Google did not restore the app on their stores.

• Legal Risks

  • The law allows for fines of $5,000 per user, totaling up to $850 billion, which is a significant risk for any company violating it.
  • Legal scholars are uncertain if Trump can provide legal immunity before taking office.

• Apple and Google’s Stance

  • Both companies chose not to reinstate TikTok in their app stores due to the high risks involved. This decision is seen as prudent, given the potential financial and legal consequences.