Home » US House Energy and Commerce Committee approves bill that would force China-based company ByteDance to sell TikTok

US House Energy and Commerce Committee approves bill that would force China-based company ByteDance to sell TikTok

by Derek Andrews
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A bipartisan bill, titled the “Defending Individuals from Overseas Adversary Managed Purposes Act,” was accredited unanimously by the US Home Vitality and Commerce Committee on Thursday, which might make it “illegal for an entity to distribute, preserve, or replace…a international adversary managed utility,” naming ByteDance, Ltd., TikTok and their subsidiaries as international adversaries.

The civil penalties for violating the invoice’s prohibitions could be “an quantity to not exceed the quantity that outcomes from multiplying $5,000 by the variety of customers…[who] have accessed, maintained, or up to date a international adversary managed utility.” These prohibitions would successfully pressure ByteDance to both shut down or promote TikTok.

This invoice comes after concerns have been raised relating to TikTok’s use of consumer knowledge. The corporate has been accused of permitting executives and engineers in China to entry non-public knowledge. TikTok CEO Shou Chew denied all allegations of information misuse. Because of the allegations, Montana turned the primary state to ban TikTok in Could of final yr.

Whereas the invoice has help from either side of the aisle, Consultant Jamaal Bowman (D-NY) condemned the bill, saying, “[T]he rush to ban TikTok units a harmful precedent for our nation by undermining our freedom of speech and distracts from the true problem: defending Individuals’ knowledge and privateness.” Former President Donald Trump additionally announced his opposition to the bill, saying, “In the event you eliminate TikTok, Fb and Zuckershmuch will double their enterprise.” Trump beforehand tried to ban enterprise with ByteDance throughout his administration.

TikTok took to X (previously Twitter) to voice its concern over the invoice, calling it “an outright ban on TikTok, irrespective of how a lot the authors attempt to disguise it.” The put up additionally acknowledged the ban would “deprive 5 million small companies of a platform they depend on to develop and create jobs.”

Home Majority Chief Steve Scalise posted on X that he plans to convey “this crucial nationwide safety invoice” to the Home for a vote subsequent week.

Source / Picture: jurist.org

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