Three major questions revolve around the Tiktok deal
President Trump said on Friday that Chinese President Xi Jinping had agreed to a deal to keep Tijook working in the United States after months of uncertainty about the future of the application of the famous video sharing under the 2024 Law.
However, the Trump administration provided some details about the deal. The Chinese government has appeared less confident in setting the talks on Friday, indicating that the president has agreed to support the efforts made to reach a “appropriate deal on Tiktok”.
Here are the main questions that remain in the Tiktok deal:
What role will he play by attedance?
The main concern behind the payment of the Tiktok ban in the United States was the China’s parental company in China, bytedance.
The legislators have argued that the platform, which is used by about 170 million Americans, has formed the risks of national security, which may expose American user data to the Chinese government. They also expressed concerns that Beijing could address user extracts in its interest.
Ultimately, the largest majority of the two parties voted for a draft law that requires getting rid of Tiktok or facing a ban on American networks and applications. He was signed to become a law by former President Biden in April 2024.
Under the law, bytedance is prevented from maintaining an operational relationship with Tiktok in order to agree to get rid.
Recent reports indicated that the deal will revolve around it into an American separate entity, owned by a group of American investors, including Oracle, Silver Lake and Andressen Horowitz.
Many current investors in the United States in the United States will be part of this group, while Chinese shareholders in the company will own the remaining part, according to the Wall Street Journal.
This appears to be in line with the requirements of the law that the ownership of persons associated with foreign opponents, such as China, remains less than 20 percent.
Jim Johnston, a partner at the Lawyer Davis+Gilbert, said it is worth noting that the Trump administration has a lot of flexibility in determining what is considered to be “disposal of the qualified law” under the law.
“This is the part of the statute that gives the administration the greatest line of view, and I think we have seen during the past nine months that if this administration is suffering from the latitude, it will exercise it to achieve its goals,” Johnston told Hill.
He added: “I do not think that there is a lot that Congress will be able to do it if the administration takes a decision that the decline is enough to implement the application outside Chinese control, regardless of whether or not there is a financial interest.”
What happens to the algorithm?
Divest-AR-Ban also prohibits “any cooperation regarding the operation of the content recommendation algorithm or an agreement regarding data sharing.”
After Treasury Secretary Scott Beesen announced on Monday that the United States has a “framework” for Tiktok deal, Chinese officials suggested that the agreement would require the license of the application algorithm.
“Most people realize that the Tiktok recommendation algorithm is its secret sauce. This makes it convincing to use 170 million Americans for use,” pointed out, Jake Morapito, director of the Work Squad in the field of telecommunications and technology in the American Legislative Exchange Council.
This possibility has sparked concerns about how to adhere to such a deal for law and address national security risks at the heart of the Tiktok ban.
“Does this completely solve concerns related to interlocking with CCP and foreign opponents if there is still some relationship between this new entity and the country with these licensing requirements?” Moraabetto interrogated.
Representative John Molinaar (R-(R-head), head of the Chinese Parliament’s Selection Committee, confirmed in a statement that on Wednesday “setting clear legal guarantees for a deal.”
He said: “Based on the initial reports, I am concerned that the authorized license deal may include constant dependence by the new Tiktok on an algorithm and an application that can allow CCP or influence to continue control.”
He added: “I look forward to receiving full details about the deal and discussing these issues with the parties to transactions to ensure any deal is committed to the legal requirements of the law.”
On Thursday, former Vice President Mike Pines argued that such an agreement “does not comply with our national security.”
“We can not simply continue to own or run any aspect of Tiktok in the national interest,” he told CNBC. If it doesn’t happen, it should be banned, and I am sure that the market will fill it. ”
How long can it take to finish?
The timeline to finish the Tiktok deal is still unclear. When BESSENT announced the frame on Monday, he suggested that Trump speaking on Friday “to complete the deal.”
The president signed an executive order on Tuesday to delay the enforcement of the law to get rid of or Pan. The extension has regained the deadline until December 16, which means that the administration has another three months to establish an agreement before another delay request.
Some officials seem less inclined to give Tiktok other extensions. While the American commercial actor, Jameson Jarir, admitted on Monday that Trump could extend the deadline again, he also stressed that “we will not be in the field of frequent extensions.”
However, Beijing’s readings on Friday invited questions about the status of the Tiktok deal. Despite Trump’s statement that Xi had agreed to the deal, the Chinese government said that Trump agreed to “work with China on the economy and trade, and support their teams in reaching a suitable deal on Tiktok through consultation.”
“It is really interesting to see how this deal is an article with some other gaps between management and reality ads,” Johnston said. “This looks very exciting for all different definition negotiations, as the agreements were announced and then formulated, and the final dates and the final dates have moved.”
