Banning the Chinese social media app from U.S. government smartphones will have small consequences on the number of users but fatal consequences for the company itself.
No more TikTok on U.S. government smartphones; Image: Asia Financial
The U.S. government is proposing a law that would not allow U.S. government employees to download the Chinese app TikTok. However, only a small target group suffers from this. But the company has bigger problems than the relatively few lost users.
The company's image would suffer drastically under this law. The app would become less attractive for advertisers. This would hurt revenue.
Another problem would then be the next step of the U.S. government. If both the Democrats and the Republicans are in favor of this law, a complete ban in the U.S. would be quite conceivable.
