The TikTok application icons of Tencent Holdings Ltd. WeChat and ByteDance Ltd. are displayed on a smartphone in a curated photograph taken in Arlington, Va. on Friday, August 7, 2020.Andrew Harrer | Bloomberg | Getty Images
TikTok plans to sue the Trump administration as early as next week over President Donald Trump’s executive order banning U.S. transactions with the popular video-sharing app and its Chinese parent company ByteDance, the company confirmed on Saturday.Under the presidential decree issued on August 6, any transaction with ByteDance by US persons or persons subject to US jurisdiction will be prohibited within 45 days. The full scope of the ban is unclear, as it gives the Commerce Secretary the power to identify transactions subject to Trump’s order.
A separate order issued on August 14 gave ByteDance 90 days to divest TikTok’s U.S. operations. ByteDance is in talks with potential buyers like Microsoft and Oracle. The challenge to the decree of August 6 does not affect sales discussions with Microsoft and Oracle.
“Even though we do not agree at all with the administration’s concerns, for almost a year we have sought to engage in good faith to provide a constructive solution,” a spokesperson for TikTok told CNBC. This is the latest news. Please come back for updates.