As the weekend approaches, TikTok is on the verge of being banned in the United States unless the Supreme Court steps in to halt the process.
What Happened: The potential ban of TikTok on Sunday could impact the app's nearly 17,000 employees in the U.S., sparking a wave of uncertainty.
In the latter half of 2024, TikTok saw a 38% rise in employee departures compared to the same period in 2023, as per Adweek. Many former employees have transitioned to major tech companies such as Meta
Despite the increase in departures, TikTok's hiring has slowed to its lowest level since 2020, with over 2,000 job openings still listed on its career site across various U.S. cities, covering roles in product, design, operations, advertising, and sales.
TikTok reportedly reassured its U.S. employees that their "employment, pay, and benefits are secure, and our offices will remain open, even if this situation hasn't been resolved before the January 19 deadline," Business Insider reported on Wednesday.
The memo also noted that only the U.S. user experience would be impacted.
As TikTok awaits the Supreme Court's decision, the company is preparing for various outcomes. Legal analysts suggest that the court is unlikely to overturn the existing ruling. Meanwhile, President-elect Donald Trump has expressed intentions to save the app once in office.
Why It Matters: The potential TikTok ban in the U.S. has been a topic of significant discussion, with the Supreme Court signaling support for enforcing the Jan. 19 deadline. This has led to various speculations about what might happen to the app on users' phones and which companies could benefit from the ban.
In a surprising development, Elon Musk has emerged as a potential buyer for TikTok's U.S. operations. Discussions, though preliminary, suggest a potential scenario where Musk's X platform could acquire TikTok's U.S. operations, valued between $40 billion to $50 billion. This move would merge TikTok's 170 million U.S. users with X's advertising reach.
Additionally, YouTuber MrBeast has also expressed interest in acquiring TikTok to prevent its shutdown. He is reportedly in talks with several billionaires to explore the feasibility of this purchase, although no names have been disclosed yet.
