Bussiness
Read the full memo TikTok sent to staff as Congress stepped up its ban threat: ‘This is the beginning, not the end’
The legislation passed the House on Saturday and is scheduled for a Senate vote on Tuesday. It already has the White House’s backing.
In other words, TikTok is poised to lose its political fight in Washington, even after its parent company ByteDance boosted lobbying spending to $8.7 million in 2023, a 77% spike compared to the previous year. Its next move is to fight the bill in the courts, which it plans to do, according to a memo sent to employees on Saturday by its head of public policy in the Americas, Michael Beckerman.
“At the stage that the bill is signed, we will move to the courts for a legal challenge,” Beckerman wrote in the memo, which Business Insider has viewed. “We’ll continue to fight, as this legislation is a clear violation of the First Amendment rights of the 170 million Americans on TikTok.”
TikTok did not respond to a request for comment from Business Insider. The Information earlier reported on the memo.
This divest-or-ban bill is the culmination of years of political attacks on TikTok. Politicians fear its China-based owner, ByteDance, could be compelled to share US user data with the Chinese Communist Party, or be pressured to censor or promote information in its political interests. TikTok has denied both of these claims.
Politicians have called TikTok “digital fentanyl” and likened it to a Chinese spy balloon in our pockets. Trump, Biden, Congress, and even the state of Montana have unsuccessfully pushed to ban or divest TikTok from its China-based owner ByteDance. TikTok, for its part, has been running ads this month promoting its impact on small businesses and the US economy, along with arguments that a ban would violate the First Amendment rights of Americans.
Here is the full memo that Beckerman sent out to employees on Saturday via its internal messaging platform, Lark:
The House proposed a new bill that combines financial aid for Ukraine, Israel, and Taiwan with a version of the Protecting Americans from Foreign Adversary Controlled Applications Act. This unconstitutional bill was drafted in a way where, if passed, the Senate would send the House-passed aid bill directly to the President, without an opportunity for lawmakers to vote on the TikTok clause individually. The only major change to the bill from the previous version is an extension of the “divestment” time period from 180 days to 270 days, with an additional 90 days added by the President if a deal is close (i.e., up to 1 year).
Latest Update
Today (Saturday, April 20), the bill has passed the House and is expected to pass the Senate by early next week. This is an unprecedented deal worked out between the Republican Speaker and President Biden. At the stage that the bill is signed, we will move to the courts for a legal challenge. We’ll continue to fight, as this legislation is a clear violation of the First Amendment rights of the 170 million Americans on TikTok and would have devastating consequences for the 7 million small businesses that use TikTok to reach new customers, sell their products, and create new jobs. This is the beginning, not the end of this long process.
This is a developing situation, and we will continue to provide updates as part of our commitment to be transparent. Together, let’s do our best to stay composed and focus on the business, continuing to deliver the best experience and service to our users. We invite you to join Wednesday’s Global TikTok All Hands for additional context.
Are you a TikTok or ByteDance employee with insight to share? Contact reporter Dan Whateley at dwhateley@businessinsider.com or on Signal using a non-work device.