US Expected to Extend TikTok Divestment Deadline Again

The Trump administration is expected to extend the deadline for ByteDance to divest TikTok's U.S. operations or face a shutdown, marking the fourth such extension since the original congressional mandate set January 2025 as the deadline. Despite concerns about national security risks linked to TikTok's ties to Beijing, President Trump has shown reluctance to ban the app, citing its importance for political outreach and engagement with younger voters, as evidenced by the recent launch of an official White House TikTok account. Efforts to sell TikTok's U.S. operations to American investors have faced significant hurdles, including the need for China’s approval to transfer the app's proprietary algorithm and the impact of U.S.-China trade tensions. Meta Platforms, the largest social media company, may be affected by these developments as the delay preserves TikTok's competitive presence in the U.S. digital advertising market. With Meta's strong financial position and extensive user base across Facebook, Instagram, Messenger, and WhatsApp, the extended uncertainty around TikTok's status could influence the broader social media competitive landscape. Ongoing U.S.-China trade talks include TikTok as a key agenda item, but no deal is expected before the newly extended deadline.