“How TikTok’s Strategic Shutdown Aimed for Survival, Yet Trump’s Fix Might Miss the Mark”

As TikTok halted its operations early Sunday, it issued a politically savvy message to its discontented users: “We are grateful that President Trump has indicated he will collaborate with us on a resolution to restore TikTok once he assumes office.”

While TikTok may boast over 170 million followers in the United States, its focus was directed towards just one of those individuals. The flattering note directed at the man who once famously proclaimed, “I Alone Can Fix It,” was unmistakable. Moreover, few corporate political messages — particularly one as overt as this — produce such immediate effects.

By midmorning on Sunday, Mr. Trump asserted that he indeed would remedy the situation: “I will issue an executive order on Monday to prolong the timeframe before the law’s restrictions take effect, allowing us to negotiate a deal that safeguards our national security.”

Mr. Trump elaborated, albeit in vague terms, on his latest proposal: Transform TikTok into a 50-50 “joint enterprise” between its current Chinese owner, ByteDance, and some form of American entity. This concept has superficial appeal, though it remains unclear if it would meet the criteria set by the law passed by Congress and signed by President Biden, which prohibits the app unless the company and its algorithm are under American oversight.

It is also uncertain whether this plan would resolve the national security issues that arise from having TikTok’s algorithms — which analyze user preferences and select subsequent content — devised in China.

However, the political maneuvers were impressive on all fronts. By terminating the app for part of Saturday night and Sunday morning, TikTok vividly illustrated to its loyal users a glimpse of what life without the app would be like. (This scenario should not be difficult to envision: it first appeared on American phones in 2016, just two months prior to Mr. Trump’s initial election.) Additionally, it fabricated, if only for a few hours, a standoff that Mr. Trump could then resolve, at least momentarily, as he headed towards his supporters’ rally in Washington on Sunday afternoon.

It comes as no surprise that TikTok’s CEO, Shou Chew, is planning to be present at the inauguration and, at least prior to the ceremony being moved indoors due to the cold, had a seat at the dais. He will not be alone among tech leaders; Jeff Bezos, Mark Zuckerberg, and Elon Musk will also be in attendance.

For TikTok, Mr. Trump’s recent shift — from intent on banning the app to striving to preserve it — was nothing less than miraculous. On Sunday morning, just as Mr. Trump was granting the app a reprieve, his incoming national security adviser, Michael Waltz, remarked that amidst all the national security fears, “it’s an outstanding app. It’s something that 170 million Americans appreciate, and we are confident that we can preserve TikTok, while also safeguarding Americans’ data and preventing external influences, whether that involves an outright purchase” or firewalls “to ensure that the data is secured within U.S. territory.”

He seemed to be giving a preview of Mr. Trump’s plan: devise a solution that will comply with the law’s requirement making it illegal, as of Sunday, to “distribute, maintain or update” a “foreign adversary controlled application.” There is a provision if the president determines the app is “no longer being controlled by a foreign adversary,” especially regarding the development of the algorithms that power TikTok.

Would Mr. Trump’s 50/50 joint venture fulfill that requirement? It remains to be seen. If ByteDance continues as the owner and designer of the algorithm, and that algorithm is crafted in China by Chinese engineers, then it remedies very little.

The national security anxieties that led to the law’s enactment stemmed from fears that the algorithm could be manipulated by the Chinese government, or that Chinese officials could access users’ information or their geolocation. Additionally, there is the underlying concern that the algorithm could be subtly engineered to sway what Americans perceive on their devices.

No one is certain yet how a joint venture would be structured; Mr. Trump was vague with his wording, leaving it unclear whether the American partner would be a private company or the government. However, it is evident that the president-elect is thrilled that his first engagement with China revolves around a deal, and by the time he arrived at the Capital One center late Sunday afternoon for a pre-inauguration rally, he boasted that he possesses all the leverage.

After recognizing that the app contributed to a remarkable performance in the election among younger voters — at least for a Republican — he proclaimed: “So I appreciate TikTok! I had a somewhat enjoyable experience, wouldn’t you agree?”

As the applause faded, he suggested that the United States had no plans to compensate for its 50 percent stake in the company; ByteDance would surrender half the company in exchange for the presidential endorsement that will permit it to operate. “Whether you favor TikTok or not, we are going to generate substantial revenue,” he asserted, neglecting to address the national security issues.

If this scenario unfolds, it would amount to, at the very least, an unconventional business arrangement, more comparable to how the government auctions off leases for oil and gas drilling or sells bandwidth on the electromagnetic spectrum to telecom firms.

However, these are all particulars, likely to evolve. For the moment, Mr. Trump could simply revel in the message that appeared on the TikTok app as service resumed in the afternoon, just before he arrived at the rally. On a day where nothing had fundamentally changed — no executive order had been signed, no solution for the national security dilemma was identified, merely a proposal suggested — TikTok attributed all the credit to the incoming president.

“Thank you for your patience and support,” the message stated. “As a result of President Trump’s initiatives, TikTok is back in the U.S.!”