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TikTok's US ownership battle: what it means for marketers

A potential US buyout of TikTok could change the platform's policies, features, and its role in marketing strategies.

Patrecia Meliana

24 Jan 2025 • 5 min read

After years of intense debate and legal battles, TikTok’s fate in the U.S. is finally seeing some movement. Since 2020, the platform has been at the center of a national security tug-of-war, leaving millions of users and marketers uncertain about its future. We all love TikTok and would be sad to see it go, but the question remains: Will TikTok agree to a U.S. buyout or form a joint venture to stay?

This article dives into the latest developments, including President Trump’s move to temporarily lift the ban, the implications for marketers if TikTok becomes U.S.-owned, and a snapshot of the debacle’s timeline from start to now.

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What happened?

On Monday, President Trump signed an executive order granting TikTok a 75-day extension to comply with a U.S. law requiring the platform to be sold or banned. This decision reverses his 2020 stance on banning TikTok, which he explained by saying, “Because I got to use it.”

Trump proposed a 50-50 joint venture between the U.S. and TikTok’s Chinese owner, ByteDance, though specifics were not provided. He also hinted at imposing tariffs on China if no deal is reached. While China previously called U.S. demands “robbers’ logic,” a Chinese foreign ministry spokesperson recently suggested that such decisions should rest with businesses, signaling a softer tone.

The app briefly stopped working in the U.S. over the weekend due to the Supreme Court's enforcement of the sell-off law. Although service resumed for its 170 million American users, TikTok remains unavailable for download on Apple and Google app stores. This executive order puts Trump at odds with some Republican lawmakers, like Senator Tom Cotton, who supports severe penalties for companies linked to TikTok.

Amid the uncertainty, billionaires and influencers like MrBeast and Kevin O’Leary have expressed interest in purchasing TikTok. Trump remarked that “the U.S. should be entitled to get half of TikTok,” aligning with the provisions of the Protecting Americans from Foreign Adversary Controlled Applications Act.

Implications for marketers if TikTok becomes US-owned

If TikTok transitions to US ownership, marketers could experience significant shifts in platform dynamics:

1. Enhanced data security and trust

A US-owned TikTok would likely introduce stricter data protection measures, addressing long-standing concerns about privacy.

For marketers, this could mean greater transparency in audience data and compliance with US regulatory standards. Brands hesitant about advertising on TikTok due to security fears may now feel more confident investing in the platform.

2. Potential changes in algorithm and features

Under new ownership, TikTok's famed algorithm could face modifications, possibly to align with US digital policies. These changes might affect content discoverability and engagement rates.

For marketers, this means adapting campaigns to new trends and testing strategies to maintain visibility. However, a US-owned TikTok could also add features like better integration with American advertising tools, making it easier to measure ROI.

3. Expansion of brand partnerships and monetization

A US-owned TikTok may aggressively expand monetization opportunities to offset acquisition costs. This could lead to more ad-friendly policies, advanced targeting options, and collaborations with US-based brands. Marketers could benefit from innovative ad formats and greater access to TikTok's highly engaged Gen Z and millennial audience.

The potential buyout underscores the need for marketers to stay agile. Regardless of ownership, TikTok’s influence on content marketing and digital trends remains unmatched, making it a platform worth the watch.

A snapshot timeline of the debacle

The TikTok saga has been a whirlwind since its beginnings in 2020.

Here's a quick look:

July 2020: President Trump signals plans to ban TikTok, citing national security risks tied to its Chinese ownership.
August 2020: Trump signs an executive order to ban TikTok, citing security risks and censorship concerns.
September 2020: A court blocks Trump’s order to ban TikTok downloads, citing lack of evidence and due process.
October 2020: Another federal court blocks the ban, stating Trump exceeded his authority under emergency powers.
November 2020: A second court upholds the block on appeal, citing insufficient evidence against TikTok.
July 2021: President Biden revokes Trump's ban efforts but raises similar concerns about data security.
December 2022: Congress passes a bill to block foreign-controlled social apps, including TikTok, with bipartisan support.
March 2024: US lawmakers pass a law forcing TikTok's sale to a US-based company, a move upheld by the Supreme Court in January 2025. Presidential candidate Trump says banning TikTok benefits competitors like Meta and states he wouldn't support a ban if he had a choice.
April 2024: The Senate and Biden finalize the TikTok sell-off bill, setting a January 2025 deadline.
June 2024: Trump joins TikTok and gains a large following.
September 2024: Trump pledges to save TikTok if elected, calling himself a "big star" on the platform.
December 2024: A U.S. court upholds the sell-off law, rejecting TikTok’s appeals.
January 2025: The Supreme Court upholds the TikTok sell-off law. The Biden Administration opts not to enforce the January 19 deadline, leaving implementation to the incoming administration. After brief downtime, TikTok resumes operations with a 75-day extension granted by President-elect Trump.

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