logo
TikTok's U.S. Spinoff in the Works Ahead of Deadline, But Will It Be Enough? — GeekTyrant

TikTok's U.S. Spinoff in the Works Ahead of Deadline, But Will It Be Enough? — GeekTyrant

Geek Tyrant07-07-2025
TikTok might be preparing to reinvent itself in the U.S. again. According to a report from The Information, the company is quietly developing a new version of the app specifically for American users, potentially launching it as early as September 5, just ahead of the latest deadline extension for a government-mandated sale or shutdown.
That deadline is September 17th and it marks the third extension issued by President Trump, who delayed enforcement of the law originally passed under the Biden administration.
That law, signed by Biden and upheld by the Supreme Court, requires TikTok's parent company, China-based ByteDance, to sell off its U.S. operations or face a full ban. Trump halted enforcement the day after taking office and has continued to extend the deadline ever since.
So what's next? Well, TikTok's plan to launch a new U.S.-specific app appears to be part of its strategy to stay alive in the American market while a sale is negotiated. ByteDance reportedly aims to shut down the current version of TikTok by March 2026.
Meanwhile, Trump recently told Fox News that a group of 'very wealthy people' are in talks to buy TikTok. 'We'll let you know who they are in a couple of weeks,' he said, adding that while the deal will likely require approval from the Chinese government, he expects President Xi Jinping to go along with it.
In a public statement on the current delay, TikTok said: 'We are grateful for President Trump's leadership and support in ensuring that TikTok continues to be available for more than 170 million American users and 7.5 million U.S. businesses that rely on the platform as we continue to work with Vice President Vance's Office.'
It's the latest twist in a long-running political tug-of-war over the wildly popular short-form video platform. Lawmakers in both parties have argued that TikTok poses national security risks, with concerns over potential data-sharing with the Chinese government.
ByteDance and TikTok have denied these allegations. Still, U.S. lawmakers overwhelmingly passed legislation last year forcing ByteDance to divest or risk losing the entire American market.
Complicating the matter even further is the broader U.S.-China relationship. Trump's trade policy has amped up tensions, imposing stiff tariffs on Chinese imports. For now, both nations are in a shaky truce, with negotiations underway and some tariffs temporarily lowered, but that could shift.
So, will TikTok's new U.S. app be enough to satisfy regulators, or is it just a temporary fix in a much larger geopolitical standoff? One thing's for sure… the clock's ticking.
Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

AI demand boosts iPhone maker Foxconn's second-quarter profit by 27%, beating forecasts
AI demand boosts iPhone maker Foxconn's second-quarter profit by 27%, beating forecasts

CNBC

time11 minutes ago

  • CNBC

AI demand boosts iPhone maker Foxconn's second-quarter profit by 27%, beating forecasts

Taiwan's Foxconn, the world's largest contract electronics maker, reported Thursday that its second-quarter operating profit rose 27% year over year, as it leans into its artificial intelligence server business. Here's how Foxconn did in the second quarter of 2025 compared with LSEG SmartEstimates, which are weighted toward forecasts from analysts who are more consistently accurate: The company's net profit for the second quarter came in at NT$44.36 billion, beating LSEG's SmartEstimates of NT$38.81 billion. Foxconn, formally called Hon Hai Precision Industry, is the world's largest manufacturer of Apple's iPhones, and has been looking to replicate its success in consumer electronics in the world of AI. The firm manufactures server racks designed for AI workloads and has become a key partner to American AI chip darling Nvidia. On July 30, Foxconn announced that it was taking a stake in industrial motor maker TECO Electric & Machinery in a strategic partnership to build AI data centers. The company has also shown its willingness to expand into new areas, including the assembly of electric vehicles and even the manufacturing of semiconductors. However, U.S. President Donald Trump's global tariffs could impact Foxconn's outlook this year. In response to Trump's tariff threats, the company has already moved most of its final production of made-for-the-U.S. iPhones to India. Foxconn reported Aug. 5 that its July revenue hit a record for the month, driven by strong demand for AI products. The firm said it expected the third quarter would see further revenue growth, but noted that the impact of "evolving global political and economic conditions" would be closely monitored.

Oil regains ground from 2-month lows ahead of Trump-Putin meeting
Oil regains ground from 2-month lows ahead of Trump-Putin meeting

CNBC

time11 minutes ago

  • CNBC

Oil regains ground from 2-month lows ahead of Trump-Putin meeting

Oil prices edged higher on Thursday, regaining ground after a sell-off in the previous session, with the upcoming meeting between U.S. President Donald Trump and his Russian counterpart Vladimir Putin raising risk premiums in the market. Brent crude futures were up 28 cents, or 0.43%, at $65.91 a barrel at 0057 GMT, while U.S. West Texas Intermediate crude futures rose 23 cents, or 0.37%, to $62.89. Both contracts hit their lowest in two months on Wednesday after bearish supply guidance from the U.S. government and the International Energy Agency (IEA). Trump on Wednesday threatened "severe consequences" if Putin does not agree to peace in Ukraine. Trump did not specify what the consequences could be, but he has warned of economic sanctions if the meeting in Alaska on Friday proves fruitless. "The uncertainty of U.S.-Russia peace talks continues to add a bullish risk premium given Russian oil buyers could face more economic pressure," Rystad Energy said in a client note. "How Ukraine-Russia crisis resolves and Russia flows change could bring some unexpected surprises." Another support for oil is that the expectation that the U.S. Federal Reserve will cut rates in September is at close to 100% after U.S. inflation increased at a moderate pace in July. Treasury Secretary Scott Bessent said he thought an aggressive half-point cut was possible given recent weak employment numbers. The market is putting the odds of a quarter-percentage point cut at the Fed's September 16-17 meeting at 99.9%, according to the CME FedWatch tool. Lower borrowing rates would drive demand for oil. The dollar was hovering near multi-week lows against the euro and sterling on Thursday as traders ramped up bets for the Fed to resume cutting interest rates next month. Oil prices were kept in check as crude inventories in the United States unexpectedly rose by 3 million barrels in the week ended on August 8, according to the U.S. Energy Information Administration on Wednesday, against expectations in a Reuters poll for a 275,000-barrel draw. Also, holding oil back was an International Energy Agency forecast that 2025 and 2026 world oil supply would rise more rapidly than expected, as the Organization of the Petroleum Exporting Countries and its allies, together known as OPEC+, increase output and production from outside the group grows.

Dollar in doldrums as Fed rate-cut bets build; bitcoin soars to record high
Dollar in doldrums as Fed rate-cut bets build; bitcoin soars to record high

CNBC

time11 minutes ago

  • CNBC

Dollar in doldrums as Fed rate-cut bets build; bitcoin soars to record high

The dollar languished near multi-week lows against the euro and sterling on Thursday as traders ramped up bets for the Federal Reserve to resume cutting interest rates next month. Rising expectations for Fed easing combined with increasing institutional cryptocurrency investment sent bitcoin powering to a fresh record peak. The dollar index, which measures the currency against the euro, sterling and four other major peers, was steady at 97.704 as of 0002 GMT. It dropped some 0.8% over the previous two sessions, having dipped to 97.626 on Wednesday for the first time since July 28. The euro edged up to $1.1713, nearing Wednesday's high of $1.1730, a level last seen on July 28. Sterling rose to $1.3586 for the first time since July 24. Against Japan's currency, the greenback lost 0.3% to 146.95 yen. Fed rhetoric has turned overall more dovish of late, amid signs of a cooling labor market and with President Donald Trump's tariffs not adding to price pressures in a significant way as of yet. Traders see a Fed rate cut on September 17 as a near certainty, according to LSEG data, and even lay around 7% odds on a super-sized half-point reduction. "For the markets, it's not even a matter of if the Fed cuts interest rates in September, it's a question of how much," said Kyle Rodda, an analyst at "Signs of a downturn in the labor market have pushed futures to bake in a series of rate cuts before the end of the year." On Wednesday, Treasury Secretary Scott Bessent called for a "series of rate cuts," and said the Fed could kick off the policy rate easing with a half-point cut. Trump has repeatedly criticized Fed Chair Jerome Powell for not easing rates sooner. A weaker dollar, the specter of political interference in U.S. monetary policy, and the increase in investor risk appetite amid Fed easing prospects all converged to buoy bitcoin to its first record peak since July 14, pushing as high as $123,674.71 in the latest session. Bitcoin was already underpinned by increased institutional money flows this year in the wake of a spate of regulatory changes spearheaded by Trump, who has billed himself the "cryptocurrency president." In the latest move, an executive order last week paved the way to allow crypto assets in 401(k) retirement accounts. "Corporate treasuries like MicroStrategy and Block Inc. continue to buy bitcoin," said IG analyst Tony Sycamore. "Technically, a sustained break above $125,000 could propel bitcoin to $150,000."

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store