Chairman Moolenaar has voiced strong concerns regarding ByteDance’s continued control over TikTok, emphasizing potential national security threats and legal violations. In a National Review op-ed, Moolenaar stressed that any agreement allowing ByteDance to maintain influence over the app would breach U.S. law.
Moolenaar highlighted reports of ByteDance attempting to retain control of TikTok despite looming deadlines for the app’s sale or ban. The company’s recent ad campaigns have raised suspicions about its intentions, prompting calls for vigilance. According to Moolenaar, “The law is clear: any deal must eliminate Chinese influence and control over the app to safeguard our interests.”
He warned that if ByteDance remains involved with TikTok, it could lead to legal issues affecting U.S. consumers and businesses. This scenario could result in shareholder lawsuits against American tech companies, causing significant disruptions.
ByteDance reportedly seeks a licensing arrangement to keep its algorithm and core applications running on TikTok while maintaining significant ownership stakes. This strategy mirrors previous attempts under Project Texas in 2023, which failed to address data privacy concerns despite storing data on U.S. servers.
Moolenaar pointed out that “A deal that keeps ByteDance in control wouldn’t just miss the mark on addressing national security concerns — it would directly violate the law.” The Protecting Americans from Foreign Adversary Controlled Applications Act mandates complete divestiture by ByteDance.
He noted early signs of potential fallout within the tech industry if ByteDance continues its involvement with TikTok. Companies like Akamai have acknowledged legal risks under current arrangements, and other tech giants may face similar challenges.
The situation underscores broader implications for U.S. digital infrastructure and legal systems. Moolenaar concluded by affirming his commitment as chairman of the House Select Committee on China to ensure compliance with statutory requirements: “We cannot afford to gamble with the future of American tech and national security.”
