The United States Supreme Court has confirmed a federal mandate compelling Chinese conglomerate ByteDance to relinquish its stake in the popular video-sharing platform TikTok no later than January 19—or face a near-complete shutdown of the app on American soil.
This imminent deadline looms large for TikTok’s millions of U.S.-based users, as ByteDance has so far declined to sell the platform. Consequently, many individuals who depend on TikTok for entertainment, networking, or even livelihood may soon be unable to update or download the app. ByteDance has also signaled it could halt operation of the platform once the cutoff arrives, which could potentially render the app inoperable even for those who already have it installed.
Supreme Court Sides with White House
In a rare show of unanimity, the Supreme Court justices backed the Biden administration’s assertion that TikTok poses substantial national security risks, primarily due to concerns over the Chinese government’s possible access to U.S. user data. Lawmakers across the political spectrum view the platform as a potential tool for unauthorized surveillance.
Under the scope of the newly upheld legislation, intermediaries such as Apple and Alphabet—owners of major app distribution networks—will be obligated to remove TikTok from their platforms by the January 19 deadline. Failure to comply could result in penalties, reinforcing the government’s determination to cut off American access to the app.
Motivations: Defending National Interests
“Congress has determined that divestiture is necessary to address its well-supported national security concerns regarding TikTok’s data collection practices and relationship with a foreign adversary,” wrote the Supreme Court in its opinion.
All eyes are now on President-Elect Donald Trump, who initially favored an outright ban but subsequently requested that the Supreme Court delay its implementation. He argued that his incoming administration should have the opportunity to explore a diplomatic pathway. Trump’s inauguration falls on January 20—just one day after ByteDance’s deadline—adding a layer of uncertainty to the app’s fate.
Notably, TikTok CEO Shou Chew is among the technology executives expected to attend the inauguration, sparking speculation over possible last-minute negotiations or policy shifts that might preserve TikTok’s U.S. presence.
Apple’s Stock Outlook
TikTok and ByteDance remain privately held entities; however, Apple emerges as one of the corporations most affected by the looming ban. Currently, a “Moderate Buy” rating dominates among 29 Wall Street analysts covering Apple’s stock. Their consensus comprises 19 Buy, seven Hold, and three Sell recommendations. On average, analysts project a price target of $244.77, hinting at a 6.43% upside from the stock’s existing trading range.
The prospective removal of TikTok from Apple’s App Store highlights the broader conversation around how government policy intersects with global technology companies. As events unfold, industry giants like Apple must navigate complex legal obligations while addressing user demand and preserving customer trust.
