The clock is ticking

The TikTok divestment bill passed the US Senate late on Tuesday night, with an overwhelming 79-18 vote. 

• US President Joe Biden signed the bill into law this morning. 

The clock is ticking: This will give TikTok 270 days, plus a possible 90-day extension, to divest from its parent company, ByteDance, or it will face a ban in US app stores.

In case you’re wondering: Beijing has already indicated it will not approve the divestiture, and TikTok says it's not even considering the option.

• Instead, it’s fully committed to fighting the legislation in US courts (Caixin).

Get smart: TikTok is one of the few success stories of a Chinese tech company making substantial inroads in global markets. 

• A US ban on the company would further sour US-China relations, and potentially trigger a retaliatory response from Beijing. 

Get smarter: Washington won’t stop here. The justifications for the ban could readily be applied to other Chinese companies that gather data on US citizens.

• Think Temu and Shein, which may be next on the docket.