The tension surrounding TikTok is rising once again. U.S. President Donald Trump indicated in a weekend interview for NBC News that he’s willing to extend the deadline for the sale of TikTok’s U.S. assets if a deal is not reached by June 19.
Speaking from his Mar-a-Lago estate, Trump confirmed that the app played a key role in his campaign by helping him connect with younger voters. “TikTok is very interesting. It will be protected,” he said, adding that he has “a sweet spot” for the platform.
TikTok Under Pressure: Deadline Approaching
Under current law, TikTok was supposed to shut down its U.S. operations by January 19, 2025, unless its Chinese parent company ByteDance sold off its American assets. However, upon beginning his second term, Trump opted not to enforce the mandate and has already delayed it twice — first to April, and then to June 19.
A potential deal that would spin off TikTok’s U.S. operations into a newly formed, U.S.-based company with majority domestic ownership remains on hold. The reason? China signaled it would block the deal — particularly after Trump announced steep new tariffs of 145% on Chinese goods.
Politics vs. Legal Boundaries
Democratic senators argue that the president has no legal authority to continue delaying the deadline without meeting the legislative requirements for divestiture. They also claim that the proposed deal may not satisfy legal definitions of ownership separation.
Still, a source close to ByteDance’s U.S. investors recently said the deal is still in motion — but will require resolution of the tariff dispute between Washington and Beijing.
Trump’s Strategy: Pressure and Leverage
President Trump confirmed he would keep the tariffs in place, despite their evident impact on China’s economy. He did, however, hint at potential adjustments later as part of a broader agreement. “At some point, I’m going to lower them because otherwise, you could never do business with them. And they want to do business very much,” he stated.
What Does This Mean for Brands and Creators?
TikTok currently has over 170 million active users in the U.S. For brands, creators, and agencies, the ongoing uncertainty is a serious signal. While deadline extensions buy time, they also create a sense of paralysis when it comes to campaign planning, investment decisions, and strategic budget allocations.
Brands relying heavily on TikTok as a key channel for reaching younger audiences should now have a contingency plan in place — whether that means reallocating part of their budget to YouTube Shorts, Instagram Reels, or owned content platforms.
Conclusion: TikTok Remains a Big Question Mark. Being Prepared Is the Only Certainty.
Even if President Trump gives TikTok another chance, there’s still no long-term guarantee that the platform will survive in its current form within the U.S. Brands should view this situation realistically: politics is not a reliable tech strategy.
At New School Digital, we help clients not only unlock the power of platforms like TikTok, but also minimize risk from overdependence on any single network. If you’re ready to future-proof your digital strategy and diversify across platforms, get in touch. We’ll help you build a system that thrives — even when the rules change.
Source: edition.cnn.com
May 2025