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TikTok Appears to Be Here to Stay. What Does That Mean for Us?

the uncertain future of tiktok impact on users and business

On January 18, I found myself among millions of Americans scrolling through TikTok when, without warning, the video-streaming service abruptly stopped functioning. This occurred just as a federal government ban was set to take effect, leaving me and many others momentarily stranded without our daily source of entertainment.

The sudden disruption felt like a significant loss. Where else could I turn for the latest Hollywood gossip, updates on video games, and news from the anime world?

Owned by the Chinese tech giant ByteDance, TikTok was under pressure to either sell to a U.S. entity or face an outright ban. However, the app resumed operations the following day, offering a brief reprieve. Shortly afterward, former President Donald Trump signed an executive order extending the deadline for the sale of TikTok to April 5.

With that deadline fast approaching, the app’s future remains uncertain. Boasting more than 170 million American users, TikTok’s fate is still up in the air. However, a repeat of January’s blackout seems unlikely.

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Recently, Trump indicated that he might grant another extension. Meanwhile, ByteDance has not announced any definitive plans to sell, though Oracle and several other companies have emerged as potential buyers.

This critical juncture presents an opportunity to examine TikTok’s role in society. Here are some key observations.

TikTok Remains the Premier Short-Video Platform

Initially launched as Musical.ly 11 years ago, TikTok has evolved from a lip-syncing app into a broad entertainment platform featuring short videos across various genres. Today, it boasts more than a billion users worldwide.

Over the past five years, as TikTok’s popularity soared, competitors such as Meta and Google introduced their own versions of the app, offering endless streams of short video content. Despite these alternatives, younger audiences still overwhelmingly favor TikTok, according to a survey conducted by research firm eMarketer.

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The preference for TikTok likely stems from the superior quality of its content. Videos produced on TikTok generally appear more polished, engaging, and well-edited than those on similar platforms like Instagram Reels. TikTok’s built-in tools, including the video editing app CapCut, simplify the process of creating high-quality videos.

During the brief TikTok outage, I attempted to switch to Reels but found it frustrating. Many videos seemed incomplete—one, for instance, showcased sourdough bread but required viewers to read the caption for baking instructions rather than explaining them directly in the video.

Meta, which owns Instagram, is trying to catch up with TikTok’s editing capabilities. The company recently announced the upcoming launch of “Edits,” a competitor to CapCut, which will allow users to edit videos in higher resolution and improve overall production quality.

Another key factor that distinguishes TikTok is its highly refined recommendation algorithm. Users often report that TikTok’s algorithm is exceptionally good at curating content to their interests—whether it’s meal prep ideas, gaming content, or niche hobbies—keeping them engaged for hours at a time.

Concerns Over Mental Health and Addiction

TikTok’s ability to keep users scrolling has raised concerns among parents and researchers about potential addiction, similar to how excessive video gaming can become problematic.

Studies on this issue remain inconclusive. A 2023 study led by Christian Montag, a cognitive and brain sciences professor at the University of Macau, examined overuse of TikTok. Among 378 participants of various ages, only a small number reported feeling addicted to the app.

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However, research generally suggests that younger users are more likely to report feelings of dependency. Dr. Montag emphasized that children should avoid such platforms entirely, as their brains take at least two decades to fully develop and regulate behavior.

In response, TikTok has implemented tools to help users manage their screen time, including parental controls that allow guardians to restrict access during specific hours.

A Growing Hub for Marketing and E-Commerce

Beyond entertainment, TikTok has become a major platform for businesses to market products and sell directly through TikTok Shop, its in-app marketplace.

The company has launched an extensive advertising campaign to highlight its economic impact, positioning itself as a champion of small businesses. According to a study commissioned by TikTok, the platform contributed $15 billion in revenue for small businesses in 2023—though such figures should be interpreted with caution, given TikTok’s involvement in the research.

Regardless, a quick browse through the app reveals that many brands are using TikTok to showcase their products creatively. Personally, I’ve been influenced by TikTok videos to purchase an overpriced pet hair remover for my car seats and an automatic scrubbing tool for my kitchen.

For content creators, TikTok serves as a powerful tool for self-promotion, though it is not always lucrative. Actress Alyssa McKay, who has over 10 million followers, noted that a video with two million views might earn her only a few dollars. This is because TikTok compensates creators based only on views from non-followers.

National Security Remains a Major Concern

The primary reason for TikTok’s ban in the first place was national security. U.S. officials worry that ByteDance could potentially share American user data with the Chinese government, posing a risk of espionage.

These concerns culminated in a Supreme Court hearing in January, where the Biden administration argued that TikTok could provide a new avenue for Chinese intelligence agencies to infiltrate U.S. digital infrastructure. However, no direct evidence was presented to support these claims.

That said, TikTok has faced smaller-scale data privacy controversies. In 2022, the company admitted that four employees were fired for using internal tools to track journalists in an attempt to identify their sources.

To address concerns over data security, TikTok has partnered with U.S. tech giant Oracle to safeguard American user data through a secure server system. A TikTok spokesperson reiterated that the app takes significant measures to protect user information from unauthorized access.

Matthew Green, a cybersecurity researcher and professor at Johns Hopkins University, suggested that while concerns about TikTok may be somewhat overstated, they are not entirely unfounded. Many American apps also collect vast amounts of personal data, often sharing it with third-party data brokers—including entities in China.

However, TikTok’s potential access to sensitive user data, such as contact lists and location details, could indeed be valuable to an adversarial foreign government.

“We already leak so much personal information across various apps,” Green said. “But with millions of users running TikTok on their devices, the risk becomes significantly greater.”

Conclusion

As the April 5 deadline for TikTok’s sale looms, the app’s future remains uncertain. Whether it remains under ByteDance’s control or transitions to a U.S. owner, its impact on society is undeniable.

From being the top short-video platform to raising mental health concerns, facilitating business growth, and sparking national security debates, TikTok continues to be at the center of cultural, economic, and political discourse. For now, users can continue enjoying their scrolling sessions—but the long-term fate of the app is yet to be determined.

One response to “The Uncertain Future of TikTok: Impact on Users and Business”

  1. […] TikTok CEO Shou Chew made personal appearances, engaging with content creators who later shared their interactions on the platform. Among them were viral personalities like @ReesaTeesa — whose real-life relationship saga has become the basis for a television adaptation — and comedian @AdamW (Adam Waheed), both of whom TikTok flew to Cannes as part of its promotional strategy. These influencers not only mingled with fans but also spoke on discussion panels, highlighting their success on the platform and the creative ecosystem it fosters. […]

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