Budapest Post

Cum Deo pro Patria et Libertate
Budapest, Europe and world news

Wh​y India​ banned​ TikTok​ — and what the US can learn from it,​ as pressure mounts for Biden to follow suit

Wh​y India​ banned​ TikTok​ — and what the US can learn from it,​ as pressure mounts for Biden to follow suit

India ban​ned TikTok​, majorly boosting Meta ​&​ YouTube ​and sending shockwaves across its tech sector.​​ Here's what the US can learn from the move.

It hardly seems possible that TikTok could be banned in the United States. But it's getting likelier by the day.

Mark Mahaney, the respected internet analyst with Evercore ISI, told Insider that while TikTok doesn't have a "greater than 50% chance of getting banned" in the US, the percentage has risen in the past six months as scrutiny has deepened over the app's ties to ByteDance, its China-based owner.

And American regulators have one big thing they can point to in seeking that dramatic action. In a recent interview with The Economic Times, an Indian newspaper, Brendan Carr, a commissioner on the Federal Communications Commission, described India's ban on TikTok as an "incredibly important precedent" and a "guide star" for other countries.


Why did India ban TikTok?


In 2020, after a geopolitical dispute with China, India banned the app entirely, citing a law that allows the government to block websites and apps in the interest of the country's "sovereignty and integrity."

Mark Shmulik, a Bernstein analyst, said that as political pressure builds for the US to follow suit, India's actions are "a useful proxy" because its a huge market similar to the US that has banned "an app that's at the top of its popularity."

What we learned from the India situation, the analysts say, is that banning TikTok would likely be a huge boon to rivals like Instagram, YouTube, and Snapchat — but it would also complicate doing business internationally.


What happened when India banned TikTok


In the summer of 2020, India banned 59 Chinese apps including TikTok, WeChat, Weibo, and QQ, an instant-messaging service owned by the internet giant Tencent. At the time, TikTok had nearly 200 million users in India and considered the country its biggest market outside of the US.

Analysts at Bernstein wrote in a note to clients that the ban on TikTok didn't slow down the adoption of short-form video content on social media and gave more market share to competitors like Snapchat, Instagram Reels, and YouTube Shorts. It also gave way for the rise of several homegrown Indian apps.

"Instagram was the biggest beneficiary of the ban," the Bernstein analysts wrote. "Since India is a prime market for the major internet players with plenty of monetization potential, Meta and Google have been capitalizing on the void left by TikTok."

At the time of the ban, business experts told Insider that it had consequences for Indian citizens employed by the apps as engineers, customer-service agents, supervisors, and salespeople.

Those experts have also suggested that India's decision to impose such a sweeping ban on apps owned by businesses in another country could scare away international investment in the country's fast-growing tech sector. After all, they said, the government has proved its power to remove access to apps without much recourse.

"The decision to ban was taken way too quickly without considering the impact that it would have," Amit Jangir, a cofounder of Karbon Card, a fintech startup based in Shanghai, told Insider in 2020. "I'm afraid that a lot of overseas investors will now be reluctant or hesitant given that policy changes can be so drastic."

While the situation wouldn't be exactly the same, the US might face these questions if it decides to ban TikTok.


Will the US ban TikTok?


It's unclear how many users TikTok has in the US. In September 2021, TikTok said it had 1 billion active global users, and it's since grown in popularity.

State governments across the US have banned the use of TikTok on government devices, and the federal government recently banned it on all federally owned devices, citing fears that Chinese authorities could access sensitive information via the app. Some Wall Street analysts think corporations will ban TikTok on company-owned devices, if they haven't already.

Carr and others calling for the US to ban TikTok entirely have suggested that the only way to solve the national security issue raised by the app is through a so-called blanket ban. Carr is, notably, the senior Republican on the FCC, so his views don't necessarily reflect those of President Joe Biden or his administration.

Several analysts have argued that since TikTok is hugely popular with young voters, who tend to skew Democratic, the Biden administration likely wouldn't want to risk losing them by pursuing a ban.

But analysts also believe that the situation could change dramatically depending on the state of the US's relationship with China.

"At some level it's very linked to US-Chinese government relations," Mahaney said. "So if that continues to deteriorate, I can't imagine that that that doesn't increase the odds of some sort of TikTok ban."

AI Disclaimer: An advanced artificial intelligence (AI) system generated the content of this page on its own. This innovative technology conducts extensive research from a variety of reliable sources, performs rigorous fact-checking and verification, cleans up and balances biased or manipulated content, and presents a minimal factual summary that is just enough yet essential for you to function as an informed and educated citizen. Please keep in mind, however, that this system is an evolving technology, and as a result, the article may contain accidental inaccuracies or errors. We urge you to help us improve our site by reporting any inaccuracies you find using the "Contact Us" link at the bottom of this page. Your helpful feedback helps us improve our system and deliver more precise content. When you find an article of interest here, please look for the full and extensive coverage of this topic in traditional news sources, as they are written by professional journalists that we try to support, not replace. We appreciate your understanding and assistance.
Newsletter

Related Articles

0:00
0:00
Close
Japanese Technology Firm Fujitsu Launches Advanced Artificial Intelligence Tool for Corporate Disclosures
South Africa Officially Launches Nationwide Campaign for Highly Contested Local Government Elections
United Kingdom Commits Additional Funding for Unexploded Ordnance Clearance in Laos
Singapore Announces Stringent New Greenhouse Gas Regulations for Commercial Cooling Systems
Cambodia and Thailand Hold High-Level Border Security Talks at United Nations Headquarters
Myanmar Military Government and China Sign Major Agreement to Upgrade Media and Cultural Cooperation
Knife Attack at Swiss Train Station Leaves Three Injured in Suspected Act of Domestic Terrorism
Transnational Extortion Gang Threatens Canadian Police With Army of One Thousand Armed Operatives
Australia Imposes Forty-Two-Day Quarantine on Cruise Ship Passengers Following Deadly Hantavirus Outbreak
International Monetary Fund Unlocks Seven Hundred Million United States Dollars for Sri Lanka Following Economic Reforms
Australia Launches Record One Point Four Billion Dollar Lawsuit Against Chemical Giant 3M Over Contamination
China and Canada Foreign Ministers Meet in Ottawa in Effort to Stabilize Strained Diplomatic Ties
Indonesia Demands Urgent United Nations Security Council Reform Amid Escalating Global Conflicts
Extreme Weather Patterns Trigger Severe Drought in Madagascar and Destructive Flooding in East Africa
Indian State of Karnataka Faces Political Upheaval as Chief Minister Siddaramaiah Abruptly Resigns
Philippines and Japan Reaffirm Defense Ties as Crucial for Indo-Pacific Regional Stability
Norway Joins French Nuclear Deterrence Initiative in Major Shift for European Security Architecture
Global Critical Mineral Alliances Expand as Western Nations Move to Counter Chinese Supply Dominance
United States Imposes Fifty Percent Tariffs on Mexican Steel and Aluminum Ahead of Trade Pact Review
European Union and China Head Toward Major Trade Conflict Over Clean Technology Exports
United States Economic Growth Severely Downgraded to One Point Six Percent as Stagflation Fears Mount
World Health Organization Warns Central African Ebola Epidemic is Outpacing Containment Efforts
United States Treasury Department Conditions Sanctions Relief on Reopening of the Strait of Hormuz
Iranian Air Defenses Intercept and Destroy United States Military Drone Over Bushehr Province
Iranian Armed Forces Launch Ballistic Missiles Toward Unspecified Targets Prompting Regional Condemnation
United Nations Secretary-General Warns Global Order Facing Highest Level of Conflict Since 1945
Israel Issues Sweeping Evacuation Orders in Southern Lebanon Amid Intensified Hezbollah Conflict
Russia Announces Systemic Military Strikes Targeting Ukrainian Defense and Energy Infrastructure
United States and Iranian Negotiators Reach Draft Agreement to Extend Ceasefire and Resume Nuclear Talks
United Nations Security Council Deeply Divided Over United States Capture of Venezuelan President
US and Iran Exchange Direct Military Strikes Amid Fragile Gulf Ceasefire
World Health Organization Warns of Catastrophic Ebola Outbreak in DR Congo
Russia Threatens New Wave of Strikes on Ukrainian Infrastructure and Embassies
Scientists Warn Atlantic Ocean Currents Could Collapse Faster Than Projected
Anthropic Reaches $900 Billion Valuation in Historic AI Funding Round
Washington Imposes Crippling Sanctions on Iranian Maritime Authority
Japan and the Philippines Initiate Strategic Intelligence-Sharing Pact
Microsoft Deploys Autonomous Computer-Using AI Agents to Global Markets
Anthropic Secures $45 Billion Compute Infrastructure Agreement With SpaceX
U.S. Director of National Intelligence Resigns Amid Administration Shakeup
Micron Technology Crosses Trillion-Dollar Valuation Amid Unprecedented Hardware Demand
Canada and Germany Finalize Historic Long-Term LNG Export Agreement
China Expands International Travel Restrictions on Domestic AI Researchers
Japan Approves Sweeping Overhaul of National Intelligence Apparatus
Global Airlines Scramble Logistics as Middle East Airspace Remains Fractured
Japan's Naphtha Imports Plunge 47 Percent Amid Strait of Hormuz Closure
Global Crude Prices Retreat Below $96 as Gulf Tensions Momentarily Ease
Generative AI Outperforms Human Baselines in Landmark Global Creativity Study
NASA Partners With Private Aerospace to Unveil Permanent Lunar Base Architecture
South Korean Equity Markets Surge on Next-Generation Memory Chip Frenzy
×