{"id":1565,"date":"2025-01-24T19:11:32","date_gmt":"2025-01-24T19:11:32","guid":{"rendered":"https:\/\/site.itshrt.com\/worldnews\/tiktok-ban-and-trump-executive-order-lead-to-tech-company-dilemma\/"},"modified":"2025-01-24T19:11:32","modified_gmt":"2025-01-24T19:11:32","slug":"tiktok-ban-and-trump-executive-order-lead-to-tech-company-dilemma","status":"publish","type":"post","link":"https:\/\/site.itshrt.com\/worldnews\/tiktok-ban-and-trump-executive-order-lead-to-tech-company-dilemma\/","title":{"rendered":"TikTok Ban and Trump Executive Order Lead to Tech Company Dilemma"},"content":{"rendered":"<p> <script async src=\"https:\/\/pagead2.googlesyndication.com\/pagead\/js\/adsbygoogle.js?client=ca-pub-6606220950177433\"\r\n     crossorigin=\"anonymous\"><\/script>\r\n<!-- ItShrt World News -->\r\n<ins class=\"adsbygoogle\"\r\n     style=\"display:block\"\r\n     data-ad-client=\"ca-pub-6606220950177433\"\r\n     data-ad-slot=\"1882483372\"\r\n     data-ad-format=\"auto\"\r\n     data-full-width-responsive=\"true\"><\/ins>\r\n<script>\r\n     (adsbygoogle = window.adsbygoogle || []).push({});\r\n<\/script>\r\n<br \/>\n<\/p>\n<div data-testid=\"companionColumn-0\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">For more than six years, Amazon Web Services, the world\u2019s largest cloud computing company, provided<span class=\"css-8l6xbc evw5hdy0\">  <\/span>technical support to deliver TikTok videos to tens of millions of Americans.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">But over the weekend, Amazon faced a dilemma. A new law was taking effect banning TikTok, owned by the Chinese company ByteDance, in the United States. Tech companies were barred from distributing and updating it or they would face financial penalties. At the same time, President-elect Donald J. Trump was telling tech companies he planned to pause enforcement of the law with an executive order.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Just hours before the ban took effect, Amazon appeared to comply with the law, according to a New York Times review of the way TikTok\u2019s web traffic is handled. Instead, Akamai Technologies, a Massachusetts-based company that was already helping to deliver TikTok videos to phones, took over more of the technical support.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">The change, which was picked up by digital forensics conducted by The Times, was one of the small behind-the scenes-maneuvers that showed how tech companies have diverged in their approach to the TikTok ban.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-1\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">Apple and Google also chose to follow the law. They swiftly removed TikTok and other apps owned by ByteDance from their app stores. But Oracle, another tech giant, was still processing and serving TikTok user data. Akamai and Fastly, which speed processing times for TikTok videos, were also still doing so.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">The schism highlights the dilemma the TikTok ban has forced on major American tech companies: risk alienating a mercurial president who made his support for TikTok an extremely public part of his inaugural policymaking, or risk breaking federal law and face up to billions of dollars in penalties. Several legal experts said it was unclear whether Mr. Trump\u2019s executive order shields companies from the law\u2019s monetary penalties or potential lawsuits.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cOn one hand, you have this massive theoretical liability of up to $850 billion and on the other side, you have the potential benefits of complying with Trump\u2019s wishes and being in his good graces,\u201d said Neil Suri, an analyst at Capstone, a policy research firm.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">The tech companies made different assessment of that risk. Apple did not believe Mr. Trump\u2019s executive order would be enough to override their responsibility to follow the law, according to two people who spoke with Apple representatives about its plans but didn\u2019t have permission to speak publicly. Google reached a similar decision, said one of these people, who also spoke to its representatives, and a person familiar with the company\u2019s thinking.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Oracle and others had been hesitant to violate the law under the Biden administration, said two people involved in their work over the weekend who didn\u2019t have permission to speak publicly \u2014 a key reason the app stopped working for half a day over the weekend, when the ban took effect.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-2\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">But they believed that the promise of an executive order from Mr. Trump carried new power, prompting them to help the app restart operations in the United States, the people said.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Amazon, Fastly and TikTok didn\u2019t respond to requests to comment. Google, Apple, Oracle and Akamai declined to comment.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">The different responses appear to be driven by money, politics and fear.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Apple and Google were under intense scrutiny in the weeks leading up to the TikTok ban. They control the software that powers millions of American smartphones.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">They also have a financial interest in the app, as they profit from TikTok\u2019s use of their in-app payment services. Last year, Apple made $354 million in fees from TikTok, while Google collected $63 million, according to Appfigures, a market research firm focused on the app industry. That was mainly through digital coins on TikTok that users can purchase and gift to creators that they like, the firm said.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">But removing the app would be consistent with the positions Apple and Google had taken in the past, around the world, to follow the laws of the countries where they operate.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-3\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">And it was likely that TikTok could survive for several months without their support. Over the years, TikTok has shifted much of the operation of the app to servers, primarily run by Oracle, so that it relies less on smartphone software, said Ariel Michaeli, the founder of Appfigures. He said that it also updated the app in the days before the ban, delivering the latest version at the last possible moment.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Oracle and Akamai both told investors that they stand to lose significant sales and profits if they stop hosting and distributing TikTok content.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">They also play critical roles in making sure the TikTok app is operational. If they stop working with TikTok, the app wouldn\u2019t function and an outcry would follow. Much of the internet exploded on Saturday and Sunday when TikTok briefly <a class=\"css-yywogo\" href=\"https:\/\/www.nytimes.com\/2025\/01\/18\/style\/tiktok-ban-final-hours.html\" title=\"\">went dark<\/a>.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Oracle also has a uniquely close relationship with Mr. Trump and with TikTok. Larry Ellison, the company\u2019s founder and chief technology officer, joined Mr. Trump for <a class=\"css-yywogo\" href=\"https:\/\/www.nytimes.com\/2025\/01\/21\/technology\/trump-openai-stargate-artificial-intelligence.html\" title=\"\">an announcement on Tuesday<\/a> about a new $100 billion artificial intelligence initiative. At the event, Mr. Trump mentioned that Elon Musk or Oracle could buy TikTok and emphasized his \u201cright to make a deal.\u201d<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-4\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">Oracle also <a class=\"css-yywogo\" href=\"https:\/\/www.nytimes.com\/2023\/01\/26\/technology\/tiktok-bytedance-data-security.html\" title=\"\">works with<\/a> TikTok to store sensitive U.S. user data and has been in talks with TikTok to help review the company\u2019s video recommendations in the United States as part of a broader security plan.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-5\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">Amazon\u2019s role was small but important. It had been hosting a critical piece of data, called a Domain Name Service record, that directs hundreds of millions of web browsers and smartphone apps to TikTok servers.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">But the consequences of flouting the law, which was passed with wide bipartisan support in Congress and upheld unanimously by the Supreme Court, could be painful. Oracle and other companies could be opening themselves up to new liability by relying on the executive order, legal experts say. Mr. Trump could change his mind or selectively enforce the law against companies who fall from favor, and a future administration could later pursue financial penalties under the law\u2019s timeline, they say.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Senator Tom Cotton, Republican of Arkansas and chairman of the Senate\u2019s intelligence committee, <a class=\"css-yywogo\" href=\"https:\/\/www.nytimes.com\/2025\/01\/19\/technology\/trump-tiktok-ban-executive-order.html\" title=\"\">made calls<\/a> to some major tech companies in the last week to say that they needed to comply with the law. He said on X that they could face \u201chundreds of billions of dollars of ruinous liability under the law,\u201d not just from the federal government but also if state attorneys general moved to enforce it, or if shareholders sued over the decision to violate it.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Senator John Thune, Republican of South Dakota and the majority leader, <a class=\"css-yywogo\" href=\"https:\/\/x.com\/AnthonyAdragna\/status\/1882215098523271509\" title=\"\" rel=\"noopener noreferrer\" target=\"_blank\">said<\/a> this week that \u201cthe law is the law\u201d and \u201cultimately it\u2019s going to have to be followed.\u201d<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-6\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">A group of TikTok users or social media companies like Meta or Snap could also bring lawsuits challenging the executive order. Users could argue that the U.S. government was inadequately protecting their data by failing to enforce the statute, Capstone analysts wrote, saying that was the likeliest type of lawsuit to emerge.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cOracle is making the calculus that the probability they are held liable is quite minimal,\u201d Mr. Suri of Capstone said. \u201cObviously, Apple and Google haven\u2019t made that calculus. That\u2019s a matter of them seeing the risk-reward differently.\u201d<\/p>\n<p class=\"css-798hid etfikam0\">David McCabe<!-- --> and <!-- -->Nico Grant<!-- --> contributed reporting.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<p><script async src=\"https:\/\/pagead2.googlesyndication.com\/pagead\/js\/adsbygoogle.js?client=ca-pub-6606220950177433\"\r\n     crossorigin=\"anonymous\"><\/script>\r\n<!-- ItShrt World News -->\r\n<ins class=\"adsbygoogle\"\r\n     style=\"display:block\"\r\n     data-ad-client=\"ca-pub-6606220950177433\"\r\n     data-ad-slot=\"1882483372\"\r\n     data-ad-format=\"auto\"\r\n     data-full-width-responsive=\"true\"><\/ins>\r\n<script>\r\n     (adsbygoogle = window.adsbygoogle || []).push({});\r\n<\/script>\r\n<br \/>\n<br \/><a href=\"https:\/\/www.nytimes.com\/2025\/01\/24\/technology\/tiktok-ban-trump-amazon-apple-google.html\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>For more than six years, Amazon Web Services, the world\u2019s largest cloud computing company, provided technical support to deliver TikTok<\/p>\n","protected":false},"author":1,"featured_media":1566,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[39],"tags":[],"class_list":["post-1565","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-technology"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v24.2 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>TikTok Ban and Trump Executive Order Lead to Tech Company Dilemma - World News<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/site.itshrt.com\/worldnews\/tiktok-ban-and-trump-executive-order-lead-to-tech-company-dilemma\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta 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