The Prague Post - TikTok in the US goes American, but questions remain

EUR -
AED 4.135003
AFN 74.312152
ALL 91.998807
AMD 407.29472
ANG 2.015836
AOA 1032.483179
ARS 1716.910796
AUD 1.624961
AWG 2.029499
AZN 1.91856
BAM 1.955775
BBD 2.262771
BDT 138.128209
BGN 1.895446
BHD 0.423495
BIF 3389.456062
BMD 1.125935
BND 1.437881
BOB 13.498825
BRL 5.867029
BSD 1.123485
BTN 108.843589
BWP 15.531799
BYN 3.383956
BYR 22068.333923
BZD 2.259471
CAD 1.604402
CDF 2600.911191
CHF 0.934977
CLF 0.028256
CLP 1115.712356
CNY 7.548891
CNH 7.557396
COP 3725.451706
CRC 514.793327
CUC 1.125935
CUP 26.96265
CVE 110.263571
CZK 24.454533
DJF 200.057407
DKK 7.479143
DOP 67.07913
DZD 150.570048
EGP 58.768238
ERN 16.889031
ETB 183.500221
FJD 2.530259
FKP 0.850378
GBP 0.852303
GEL 2.933107
GGP 0.850378
GHS 13.194829
GIP 0.850378
GMD 82.760588
GNF 9882.871886
GTQ 8.585889
GYD 235.006954
HKD 8.83567
HNL 30.162609
HRK 7.540056
HTG 147.118093
HUF 368.676725
IDR 20141.295479
ILS 3.436727
IMP 0.850378
INR 108.456295
IQD 1471.780921
IRR 1966490.662268
ISK 137.285738
JEP 0.850378
JMD 177.857694
JOD 0.798333
JPY 177.718077
KES 145.82811
KGS 98.463484
KHR 4556.940927
KMF 493.160101
KPW 1013.342222
KRW 1512.345607
KWD 0.347723
KYD 0.936188
KZT 504.773457
LAK 25235.672864
LBP 100605.895823
LKR 371.535184
LRD 192.10751
LSL 18.784656
LTL 3.324595
LVL 0.681068
LYD 7.194907
MAD 11.161855
MDL 20.07674
MGA 4963.935651
MKD 61.574202
MMK 2364.29564
MNT 4049.170136
MOP 9.080782
MRU 44.894418
MUR 54.214216
MVR 17.407387
MWK 1948.074747
MXN 20.447892
MYR 4.599338
MZN 71.951471
NAD 18.784656
NGN 1498.384001
NIO 41.339464
NOK 10.829927
NPR 174.149742
NZD 2.004693
OMR 0.432034
PAB 1.123485
PEN 3.89325
PGK 5.087934
PHP 70.464983
PKR 311.170466
PLN 4.386363
PYG 6572.914794
QAR 4.095147
RON 5.339077
RSD 117.478477
RUB 93.798784
RWF 1663.878431
SAR 4.214702
SBD 9.095387
SCR 15.468899
SDG 677.254284
SEK 11.304508
SGD 1.439625
SHP 0.850115
SLE 27.702139
SLL 23610.293318
SOS 642.091676
SRD 42.573311
STD 23304.589613
STN 24.499682
SVC 9.829873
SYP 14639.412412
SZL 18.780757
THB 37.722942
TJS 10.341466
TMT 3.940774
TND 3.347757
TOP 2.710982
TRY 55.314396
TTD 7.617901
TWD 35.829296
TZS 2960.361624
UAH 50.551445
UGX 4482.941887
USD 1.125935
UYU 45.279413
UZS 13250.828227
VES 974.472491
VND 29257.994447
VUV 134.641697
WST 3.139796
XAF 655.957
XAG 0.018651
XAU 0.000271910232
XCD 3.042897
XCG 2.024774
XDR 0.796095
XOF 655.957
XPF 119.331742
YER 266.062577
ZAR 18.752511
ZMK 10134.773796
ZMW 22.075714
ZWL 362.550741
SSP 6432.009051
MXV 2.313642
  • BTI

    0.2849

    52.64

    +0.54%

  • NGG

    0.7900

    76.12

    +1.04%

  • BCE

    -0.1900

    19.73

    -0.96%

  • RBGPF

    0.0900

    65.09

    +0.14%

  • RIO

    1.3400

    94.21

    +1.42%

  • GSK

    -0.1500

    47.03

    -0.32%

  • CMSC

    0.0800

    20.24

    +0.4%

  • RELX

    -0.0700

    33.42

    -0.21%

  • CMSD

    0.0900

    20.43

    +0.44%

  • BP

    0.2900

    44.79

    +0.65%

  • BCC

    0.2900

    74.99

    +0.39%

  • RYCEF

    0.1200

    19.42

    +0.62%

  • VOD

    0.4400

    16.82

    +2.62%

  • AZN

    -0.8000

    156.9

    -0.51%

  • JRI

    0.1300

    10.9

    +1.19%

TikTok in the US goes American, but questions remain
TikTok in the US goes American, but questions remain / Photo: Olivier DOULIERY - AFP/File

TikTok in the US goes American, but questions remain

After a long legal saga, TikTok has established a majority American-owned joint venture to operate its US business, deflecting the threat of a ban over its Chinese ownership.

Text size:

Here is a look at the potential consequences of the deal -- if any -- for users and beyond:

- What it means for users -

Whether the 200 million users in the United States will notice any difference in their online experience remains unclear. After the deal, users don't need to download a new app, though they were prompted to accept new terms of service covering "new types of location information" and data usage.

At the heart of the ownership drama is TikTok's powerful algorithm, which US lawmakers feared could be weaponized for data or propaganda by the Chinese government. The new ownership has promised to "retrain" the app's magic sauce, but how that will affect the user experience is still unknown.

TikTok insists that US users will maintain a "global TikTok experience," meaning US creators can still be discovered internationally and businesses can "operate on a global scale."

However, the US-only algorithm raises questions.

"There are still questions of how this new entity will interact with other versions of TikTok globally," said Jennifer Huddleston of the CATO Institute in Washington.

She also wondered about "what influence the US government may have over the algorithm and the free speech concerns that could arise from this new arrangement."

A major investor in the new entity is Larry Ellison, who is also financing his son David's recent takeover of Paramount and bidding war to take over Warner Bros -- potentially giving the family unprecedented power over US media.

Creators are watching especially closely, since their popularity and income depend on the algorithm's mysterious workings. Some have already migrated to other platforms, frustrated or anxious about the political turmoil surrounding the app.

- What it means for TikTok -

Before President Donald Trump took office, TikTok's fate in the United States looked bleak. The app was even briefly switched off in its biggest market after exhausting all legal options.

The political chaos has likely taken a toll on TikTok, despite Trump ultimately coming to its rescue.

"TikTok remains incredibly popular in the US, but it's facing more competition than ever, particularly from Instagram Reels," said Emarketer analyst Minda Smiley.

The algorithm that took the world by storm five years ago is no longer unique. Instagram Reels and YouTube Shorts now offer similar experiences, retaining engagement and attracting advertisers at comparable scale.

According to Emarketer, while US TikTok users still spend more time on the app than on other social networks, that time is declining each year, "signaling that the app is struggling to keep users hooked in the way it once did."

- What it means for national security -

The divestment may have satisfied the Trump administration, but whether it will satisfy the lawmakers who passed the divest-or-ban law remains to be seen, warned University of Florida media professor Andrew Selepak.

"The TikTok deal has improved the privacy of exactly no one and has done nothing to improve national security," said Kate Ruane of the Washington-based Center for Democracy & Technology.

ByteDance now owns just under 20 percent of the company, with the rest spread across several mainly US companies.

However, John Moolenaar, the Republican chairman of the House Foreign Affairs Committee, has vowed to conduct full oversight of the agreement, signaling potential trouble ahead.

TikTok says key functions like e-commerce and marketing will remain tied to the global entity and that could be problematic.

"I don't know how you could accomplish e-commerce and not take data from me as an American user," Selepak said.

For Carl Tobias of the University of Richmond School of Law, "It seems like Trump has just eclipsed whatever Congress might have intended in terms of national security."

H.Dolezal--TPP