During a CNBC interview, Treasury Secretary Steven Mnuchin warned that the Trump administration has decided that TikTok cannot be allowed to continue as it currently operates, adding that Treasury has been empowered to end the company.
The Trump Administration has accused TikTok of collecting data on Americans, though the CIA confirmed just days ago that there is no evidence that the Chinese government ever attempted to acquire that data from the private company.
President Trump has threatened to ban TikTok next month, unless the company is sold to an American parent. Microsoft is reportedly in talks for buying the company, though Mnuchin declined to comment on this.
The biggest obstacle, beyond TikTok contesting the ban in court, is Trump’s claim that Microsoft will have to pay him the majority of the purchase price of TikTok, something which Chinese media are loudly objecting to.
US tech officials aren’t thrilled with the US imposed restrictions either, saying it sets a dangerous precedent for other foreign companies they may want to acquire in the future.