With its wholesome dancing and lip-syncing videos, TikTok once billed itself as “the last sunny corner on the internet”. Since launching just five years ago the app has brought a warm glow to its 1bn-plus users, as well as an icy dash of competition to the social-media incumbents of Silicon Valley. With its rise, a part of the tech industry that had seemed closed to competition has been cracked wide open.
Yet even as TikTok delights consumers and advertisers, others believe the sunny app has a dark side. ByteDance, its owner, has its headquarters in China, whose government is addicted to surveillance and propaganda—making it a worrying place for a media app to be based. As TikTok’s clout grows and as elections loom in America, there is a brewing bipartisan storm in Congress over its supposed role as a “Trojan horse”.
The hype about TikTok is justified—and so are the concerns. The app has transformed competition in social media. Yet unchecked, it presents a security risk to the Chinese Communist Party’s enemies. Finding a way for TikTok to operate safely in the West is a test of whether global business and the global internet can remain intact as us-China relations deteriorate.
Beneath TikTok’s simple interface lies fearsomely advanced artificial intelligence (ai). Its knack for learning what people like helped TikTok sign up its first 1bn users in half the time it took Facebook. In America the average user spends 50% longer on the app each day than the typical user spends on Instagram. TikTok’s revenues are expected to reach $12bn this year and $23bn in 2024, drawing level with YouTube’s. Young creators are flocking to the app—along with some older ones. This week The Economist joined TikTok (no dancing, we promise).
The effect on competition has been dramatic. In 2020 American trustbusters sued Facebook, now known as Meta, for its alleged dominance of social media. Today such worries look eccentric; Meta has been particularly hard-hit as tech stocks have taken a beating, and the firm is re-engineering its products to mimic TikTok. America often accuses China of copycat capitalism. Now the boot is on the other foot.
New: @TheEconomist asks “how long before this ticking geopolitical time-bomb blows up?”
“Federal Communications Commissioner Brendan Carr outlines his concerns about TikTok’s ability to harvest user data.”https://t.co/9qA48u8laE
— Brendan Carr (@BrendanCarrFCC) July 7, 2022