US'very in favour' of a potential TikTok ban, but it may have an effect on the economy
The White House is “strongly in favour” of the limitation, thus the United States (US) may follow a number of other nations and prohibit the Chinese-owned video-sharing app TikTok.
As tensions between Washington and China increase, a US senator has prepared a bill to target technology with connections to foreign governments. This action may be taken for national security reasons.
The social media influencers believe that the proposed ban may have an impact on the US influencer market as well as the national economy.
According to the British newspaper The Guardian, Congress has been closely monitoring the well-known app due to concerns that China may acquire private user information.
ByteDance, a Chinese company that owns TikTok, is required by Chinese law, according to US Senator Mark Warner of Virginia, to provide the ruling Communist party access to customer data.
Warner was reported in the article as claiming that 11 Democrats in his legislative chamber now support the proposed prohibition legislation.
He didn’t go into enough detail, though, to say if the Biden administration would support a ban, particularly one that targeted TikTok.
According to a research by the International Business Times (IBT), around 100 million Americans use TikTok, and among them are 65% of the 20 most well-known influencers.
The network offers the influencers a number of methods to make money, including a unique built-in monetisation technology that is unlike anything else out there.
Yet, their earnings are not capped at a certain number.
According to the survey, some users earn between $0.02 and $0.03 for every thousand views on TikTok, while others make, on average, between $9 and $38 each day.
Influencers have the option of switching to other platforms as a potential ban approaches.
Several TikTokers who talked with the newspaper claimed that TikTok’s appeal stems from the fact that, in contrast to YouTube, content producers may easily go viral with their videos and gain a following.
Possible harm to the US economy
In addition to influencers, 5 million US businesses use TikTok to connect with customers, and many of them have seen a significant increase in sales as a result of using the app.
For instance, American Eagle’s Aerie brand had a 100% increase in sales in Q2 as a result of the platform’s #AerieREALPositivity campaign.
According to a businessman cited by IBT, the ban might have an impact on economic production since employment in the IT sector will be at danger as a result of the TikTok ban.
While American firms would lose the contacts they have established through TikTok, this may potentially result in decreased economic activity.