The Supreme Court has unanimously upheld the law requiring ByteDance to divest TikTok's US operations or face a complete ban, and with no buyer finalized, TikTok is preparing for shutdown of its US service. Here is a comprehensive breakdown of what happens next for the 170 million Americans who use the app.
When does it go dark? The statutory deadline gives ByteDance 90 days from the ruling to complete a divestiture. If no sale closes, TikTok must cease operations for US users. App stores are required to remove TikTok, and web hosting companies must terminate service agreements.
What about existing users? Americans who have the app installed will likely find it continues to function until server-side enforcement begins. The app will stop receiving updates, and eventually the servers will stop responding to US traffic.
Where will creators go? Instagram Reels and YouTube Shorts are the most obvious beneficiaries. Both platforms have already launched dedicated funds and higher revenue share rates to attract TikTok creators. A new American-owned short video app called Clover has already raised $400 million in venture capital to try to fill the void.
What about the business? Approximately 7,000 US TikTok employees face an uncertain future. ByteDance has offered transfers to its global operations. Meta, Google, and Snap have all launched dedicated TikTok talent recruiting programs.
The ban will also affect millions of US small businesses that use TikTok Shop as a significant sales channel, with some reporting that TikTok accounts for 30-40% of their total revenue.