The “Tik Tok Ban”

The Tik Tok ban was signed into law on April 24, 2024, and after legal challenges was upheld by the Supreme Court this week. The ban takes effect on Sunday, January 19, unless the app undergoes a qualified divestiture (which seems unlikely). The incoming president can put this on hold for up to 90 days and can also execute an executive order that directs the DOJ not to enforce the law.

The ban specifically applies to any “entity” subject to US law and prohibits the distribution, maintenance or updating of (or enabling the distribution, maintenance, or updating of) any foreign adversary controlled application by either:

1. Providing services to distribute, maintain, or update such application (including the source code) by means of a marketplace (including through online mobile application store) through which users in the US (including within our maritime borders) may access, maintain, or update such application
2. Providing internet hosting services to enable the distribution maintenance or updating of such application for users in the US

Foreign adversary controlled application is defined as “a website, desktop application, mobile application, or augmented or immersive technology application that is operated, directly or indirectly (including through a parent company, subsidiary, or affiliate), by— (A) any of— (i) ByteDance, Ltd.; H. R. 815—65 (ii) TikTok; (iii) a subsidiary of or a successor to an entity identified in clause (i) or (ii) that is controlled by a foreign adversary; or (iv) an entity owned or controlled, directly or indirectly, by an entity identified in clause (i), (ii), or (iii); or (B) a covered company that— (i) is controlled by a foreign adversary; and (ii) that is determined by the President to present a significant threat to the national security of the United States following the issuance of— (I) a public notice proposing such determination; and (II) a public report to Congress, submitted not less than 30 days before such determination, describing the specific national security concern involved and containing a classified annex and a description of what assets would need to be divested to execute a qualified divestiture.” This is really aimed at Tik Tok, but as you can see if broad enough to cover Red Note as well should it effectively replace Tik Tok.

The ban authorizes the Department of Justice to investigate violations and if found in violation, the fine is $5,000 per user who accessed, maintained or updated the application via the offending entities violation. The ban also requires the application to provide a user with all available account data (including posts, photos, and videos) at the user’s request before the prohibition takes effect.