Could TikTok Get Banned Before It Goes Public? Congress Hearing Throws Doubt On Company’s Future, Keeping Tech Investors On Their Toes

Key takeaways

• TikTok faced a hostile Congressional hearing over its ties with the Chinese government, which has prompted fears over user data and privacy
• TikTok and parent company ByteDance’s rumored IPOs are at risk as the Biden administration looks to potentially ban the app or attempt to force a sale
• Meta, Alphabet and Snap stocks all rose during the hearing, which was branded a ‘disaster’ for TikTok

Geopolitical tensions between the U.S. and China escalated this week after TikTok was under-fire from Congress, with the Biden administration calling for the sale or ban of the popular video app.

Despite its wild popularity, concerns over the Chinese-owned company’s access to user data and its potential to undermine national security have come to a head. A rare bipartisan Congressional hearing was in full agreement that TikTok should be banned in the U.S.