Clock ticking on TikTok with US shutdown looming over sale deal

TikTok could go dark, if China rejects proposed sale giving Americans control over its algorithm and operations.


Pop Culture & Art July 25, 2025 1 min read
Photo: Reuters

TikTok could be forced to cease operations in the United States if China does not approve a proposed sale of the platform, according to U.S. Commerce Secretary Howard Lutnick.

Speaking on CNBC, Lutnick emphasized the urgency of reaching a deal and asserted that control of TikTok’s algorithm and technology must rest with Americans. “China can have a little piece or ByteDance, the current owner, can keep a little piece. But basically, Americans will have control,” Lutnick said. “If [China doesn’t] approve it, then TikTok is going to go dark, and those decisions are coming very soon.”

The short-form video app, owned by Beijing-based ByteDance, is used by approximately 170 million Americans. A law passed in 2024 required ByteDance to either divest TikTok’s U.S. assets or face a shutdown by January 19, unless substantial progress was made. Although President Donald Trump extended the deadline by 90 days to September 17, legal and political challenges have stalled negotiations.

A plan had been in development earlier this year to spin off TikTok’s U.S. business into a separate, American-owned company. However, progress halted after China signaled it would not approve the sale, especially following Trump’s announcement of new tariffs on Chinese imports.

Attorney General Pam Bondi recently sent letters to tech companies like Apple and Google, indicating that the Justice Department would not pursue enforcement actions against them for continuing to host TikTok. The letters cite Trump’s conclusion that an immediate shutdown could hinder his ability to manage national security and foreign affairs.

Some Democratic lawmakers have questioned Trump’s authority to extend the deadline and argue that any deal reached must fully comply with U.S. law. TikTok has not issued a public comment on the situation as of yet.

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