Monday, 7 July 2025
31.9 C
Singapore
35.9 C
Thailand
22.6 C
Indonesia
30.1 C
Philippines

Trump’s re-election brings renewed hope for TikTok’s future in the US

Trump's re-election offers hope for TikTok's survival in the US as ByteDance’s valuation rises and employees sigh.

TikTok’s future in the United States appears more promising following Donald Trump’s re-election. Industry insiders note a surge in optimism among the app’s employees and its Chinese owner, ByteDance. This renewed hope comes alongside a sharp rise in ByteDance’s valuation, estimated at around US$300 billion.

Experts believe Trump’s victory has changed the narrative for the embattled short-video platform, which has faced threats of a ban over national security concerns. According to Cameron Johnson, a senior partner at consultancy TidalWave Solutions with decades of business experience in China, the platform’s outlook is “a lot brighter than it was before.”

A complex relationship with TikTok

During his first term, Trump sought to ban TikTok, citing fears over data security and its ties to China. However, his campaign took an unexpected turn in June when he joined the platform, amassing over 14 million followers. In September, he urged voters to support him, promising his leadership would “save TikTok.”

This contradiction reflects a nuanced relationship between Trump and TikTok. Johnson notes that TikTok may be used as leverage in future negotiations with China, suggesting the platform’s fate could hinge on broader political deals. While the new administration might demand concessions, such as localising data management, outright banning TikTok seems less likely, especially considering its potential role in Trump’s re-election strategy.

Reports indicate that TikTok shifted its content moderation rules a year before the election, aligning more closely with conservative viewpoints. Some observers speculate this may have indirectly bolstered Trump’s appeal among certain voter groups.

ByteDance valuation soars

The brighter prospects for TikTok have a ripple effect on ByteDance’s valuation. According to The Wall Street Journal, ByteDance’s valuation rose from US$268 billion in December 2023 to US$300 billion during a recent share buy-back for institutional investors. While this remains below its 2021 peak of US$400 billion, the increase reflects growing confidence in the company’s stability and future potential.

Despite these positive developments, TikTok and ByteDance still face significant challenges. A law signed by President Joe Biden in April requires TikTok to sell its US operations by January 2025 or risk being banned from app stores. TikTok has challenged this law in court, with a federal appellate panel currently reviewing the case. A ruling is expected by December to allow time for a potential Supreme Court appeal.

TikTok remains steadfast in its position, asserting it will not, and cannot, be sold. When Trump issued a similar order in 2020, China amended its export control laws to include technologies crucial to TikTok’s operation, effectively blocking divestiture.

Relief among TikTok employees

For many TikTok employees, Trump’s win has brought relief. One unnamed staff member described the mood as cautiously optimistic, though they acknowledged that the ongoing legal battle could still shape the platform’s future.

While Trump’s administration has not yet outlined specific plans for TikTok, spokeswoman Karoline Leavitt assured that the president intends to honour his campaign promises. TikTok’s fate is a delicate balance between political strategy, legal battles, and ongoing negotiations.

Hot this week

tesa opens new ‘Debonding on Demand’ laboratory in Singapore to support circular innovation

tesa launches its new Debonding on Demand lab in Singapore to drive sustainable adhesive solutions for repair, recycling, and reuse.

Apple could launch a low-cost MacBook with an iPhone chip by 2026

Apple may release a cheaper MacBook with an iPhone chip, possibly launching in late 2025 with the A18 Pro and four colour options.

Trump says talks with China on TikTok deal to begin this week

Trump says TikTok deal talks with China will begin this week, with possible involvement from President Xi or his team.

Meta’s investment doesn’t change Scale AI’s priorities, says new CEO

Scale AI CEO Jason Droege confirms the start-up stays independent despite Meta’s 49% stake and outlines plans for broader AI growth.

WizzTutor launches AI maths tutor for Singapore students at S$2 a day

WizzTutor launches in Singapore to offer AI-powered, syllabus-aligned Maths support for secondary students at just S$2 a day.

Embedded LLM and AMD launch TokenVisor to boost AI monetisation for GPU neoclouds

Embedded LLM and AMD launch TokenVisor, a platform enabling monetisation and management of AMD GPU clusters for LLM workloads.

Kahoot! teams up with Tour de France to deliver interactive learning experiences

Kahoot! partners with Tour de France to bring interactive cycling-themed learning to classrooms, fan parks, and homes worldwide.

How will AI integration transform industries in 2025?

AI is transforming industries in 2025 through innovation, efficiency, and new business models. Explore key tech investments, sector impacts, and future trends.

vivo introduces X200 FE, its first compact telephoto flagship smartphone

vivo launches the X200 FE in Singapore, a compact flagship with telephoto imaging, ZEISS optics, and powerful performance in a lightweight body.

Related Articles

Popular Categories