TikTok shuts down affecting 890,000 small businesses in California

Published on

CALIFORNIA – TikTok shut down their social media app, January 18, to comply with a law that requires parent company, ByteDance, to sell the app to a U.S. company or shut down operations in the United States by Sunday, Jan. 19.

According to TikTok, 890,000 businesses actively use TikTok in California. 

“In 2023, SMB’s [small and midsize businesses] use of TikTok in California as an advertisement and marketing platform contributed $3.4 billion to GDP and supported 28,000 jobs. SMB activity also generated more than $820 million in federal, state, and local tax revenue in the state,” said TikTok in a March 2024 Oxford Economics fact sheet.

The study also found that 60% of small businesses in California agree that their business needs to continue to use and improve upon TikTok marketing content in order to stay competitive.

‘Presidents and other politicians use TikTok to campaign’

In April, President Joe Biden signed the law arguing that the Chinese-based app poses a risk to national security.

TikTok says the ban violates their First Amendment rights to free speech. However, the U.S. Supreme Court ruled against TikTok on Friday.

The app is no longer working on 170 million American users’ phones with a message stating that TikTok is in the process of trying to reinstate service.

 

TikTok users took to other social media platforms to express their frustrations.

It makes absolutely no sense that presidents and other politicians would literally use TikTok as a platform to campaign, but then say it’s too corrupted by China,” said one Reddit user.

Just look at how many senators invested in Meta (TikTok’s biggest competitor). I hope Meta tanks very soon,” said another user.

“This also has nothing to do with the 1st amendment or freedom of speech (even though that’s what TikTok is arguing in court). It’s all about control and access to data and the government is mad that such a big platform with so many American users exists outside of the control of the American oligarchs,” said another user.

Photo credit: German Marshall Fund

Trump wants U.S. to have 50% ownership in TikTok

President-elect Donald Trump issued an executive order for TikTok’s ban in 2020, citing a national security threat similar to Biden.

Trump said once he takes office he would “extend the period of time before the law’s prohibitions take effect, so that we can make a deal to protect our national security.”

“I would like the United States to have a 50% ownership position in a joint venture,” he wrote on Truth Social.

TikTok CEO Shou Zi Chew plans to attend the U.S. presidential inauguration and a rally with Trump on Sunday, according to a Reuters source.

RELATED: Popular department store laying off 690 at SoCal warehouse and closing 10 stores across state

spot_img

Latest articles

California blood test lab owner pleads guilty to $11.2 Million tax evasion in Medicare fraud

CALIFORNIA – The U.S. Department of Justice (DOJ) announced August 29 that a California...

Shell EV charging to lay off 53 in California – shutting 2,000 charging stations nationwide

CALIFORNIA – Shell’s EV charging network, Zeco Systems, Inc. (Shell Recharge Solutions), notified the...

Over 100 “Workers over Billionaires” protests taking place on Labor Day in California

CALIFORNIA – Labor groups and community members across California are planning more than a...

Newsom deploys CHP teams statewide – San Bernardino County Sheriff welcomes anti-crime support

CALIFORNIA  –  Governor Gavin Newsom announced on August 28 a new phase of his...

More like this

Shell EV charging to lay off 53 in California – shutting 2,000 charging stations nationwide

CALIFORNIA – Shell’s EV charging network, Zeco Systems, Inc. (Shell Recharge Solutions), notified the...

Popular accessory brand closing 23 stores in California – 50% off liquidation sale

CALIFORNIA – Claire's Holdings, the jewelry and fashion accessories retailer for tweens, teens and...

Silicon Valley to Silicon Savannah: California builds climate and trade partnerships in Africa

CALIFORNIA – California Transportation Secretary Toks Omishakin recently led a state delegation to Kenya...