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ByteDance To Launch New TikTok App As US Ban Looms

July 10, 2025
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ByteDance To Launch New TikTok App As US Ban Looms
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ByteDance, TikTok’s parent company, is preparing a secondary strategy as it faces pressure to sell its operations in the United States or be banned entirely. The company’s alternative involves releasing a separate, standalone TikTok app specifically for users in the US market.

This independent version will be accessible from US app stores starting 5 September. Eventually, existing TikTok users within the United States will have to download the new app if they wish to continue accessing the service. The original app will remain available and usable until March 2026, allowing users ample time for the transition.

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The move is a response to ByteDance’s urgent situation, as it confronts a revised deadline of September 17 to finalise a sale of its US operations. The extension came after President Donald Trump signed an executive order granting an additional 90 days for ByteDance to adhere to legislation mandating the sale or face exclusion from the US market.

Trump, in the meantime, has claimed that he secured a buyer for TikTok’s US business. He referred to the prospective buyers as “a group of very wealthy people” but refrained from disclosing any identities or financial terms of the transaction. Trump promised additional details within the next two weeks and added that approval from China, explicitly naming President Xi Jinping, would probably be necessary.

According to various reports, potential buyers involve a consortium of investors previously engaged in negotiations with ByteDance. Among these investors are Oracle, Blackstone, and venture capital firm Andreessen Horowitz. Earlier negotiations collapsed when China refused approval, especially in the aftermath of tariffs imposed by Trump’s administration on Chinese products.

Under the proposed arrangement, these investors would collectively control 50 percent of TikTok’s US segment, reducing ByteDance’s stake to less than 20 percent. US-based ByteDance investors would control approximately 30 percent, meeting conditions set forth by the US government requiring the sale or imposing a ban.

Regardless of whether ByteDance opts for the sale or proceeds with the alternative app launch, approval from both the United States and China remains essential. Ongoing tensions between the two nations could complicate reaching a mutual agreement.

Trump announced that negotiations regarding TikTok between American and Chinese officials are due to begin shortly. The outcome of these diplomatic exchanges will significantly influence TikTok’s future operations within the US.

 

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