From NASDAQ: 2024-03-26 09:23:42

TikTok faces potential ban in the U.S. within six months unless parent company ByteDance sells stake. Legislation aims to address national security concerns over Chinese influence and potential misuse of data. Several legal and congressional hurdles must be overcome for app to survive under proposed bill.

Meta Platforms and Google could benefit most from TikTok ban, according to Wedbush Securities analyst Scott Devitt. Former U.S. Congressman Ryan Costello predicts legislation will pass, leading to TikTok ban. H.R. 7521 bill, aimed at protecting national security, passed easily in the House of Representatives with bipartisan support.

U.S. Congresswoman Shontel Brown supports bill targeting foreign adversary controlled applications like TikTok to protect American consumers’ privacy and national security. President Biden ready to sign bill into law if passed. Second bill (H.R. 7520) also passed to prevent data brokers from selling sensitive information to foreign adversaries.

Meta and Google well positioned to capitalize on TikTok’s potential ban, attracting approximately 170 million users in need of a new platform. Digital advertising revenue expected to shift to Meta and Google as TikTok’s projected U.S. revenue of $7-$8 billion is redirected. Instagram Reels and Snap’s Spotlight predicted to benefit from TikTok’s absence.



Read more at NASDAQ: How Meta, Google Can Benefit From TikTok Ban