On January 17, 2025, the United States Supreme Court handed down its decision on a case that has gripped much of the nation for the past two weeks. With unanimous support from all nine Supreme Court Justices, the TikTok ban is being upheld and allowed to proceed as planned unless the Chinese parent company ByteDance divests from TikTok by January 19, 2025. ByteDance has already had months to divest but has elected not to do so. In the digital landscape of the United States, TikTok isn’t just a video app enjoyed by a small segment of the population. TikTok boasts over 170 million users in the United States alone, with at least 7 million of those users earning a living through the app’s Creator program.
For those still holding out hope that someone might intervene to save the app, time is rapidly running out. The SCOTUS decision essentially mandates that—barring urgent action from the incoming presidential administration—TikTok’s parent company must divest all U.S.-based operations or face a total ban in the States. The reasoning behind this is national security concerns over data collection practices and ByteDance's ownership by a country considered a foreign adversary. It has been years since SCOTUS delivered a unanimous decision, but the TikTok ban is evidently a matter all nine Justices agree on, despite overwhelming outcry from free speech advocates. They argue the concern for national security outweighs the app's role in free expression. Moreover, they contend that access to an app with over 170 million users doesn’t constitute a free speech violation, as alternative platforms are available—though these platforms lack TikTok's reach and unique user base.
The people who will feel the sting of the ban most acutely aren’t the everyday scrollers but the creators responsible for generating much of the platform's content. Monetized content creators make up a significant portion of TikTok's U.S. user base and will immediately lose access to their primary source of income. TikTok has revolutionized entertainment monetization through its Creator program, which for many (though not all) has become a primary revenue stream. While creators can migrate to other platforms, these alternatives have proven less lucrative and less effective at reaching audiences.
The music industry, in particular, is set to feel disproportionate effects, as many emerging artists launched their careers by sharing content on TikTok. Similarly, small businesses that rely on the platform for marketing face losing a vital advertising avenue. Although platforms like Meta and X (formerly Twitter) exist, both are known to suppress unpaid advertising content, making them less attractive. Estimates suggest small and medium-sized businesses in the U.S. could collectively lose $1.6 billion within the first month of the ban. When creators and businesses lose revenue or must rapidly overhaul their marketing strategies, the ripple effects will be felt across the economy.
The loss of TikTok won’t eliminate the need for self-expression in a digital world. A forced exodus from the platform will likely result in users flooding other social media platforms. Instagram’s Reels and YouTube Shorts are poised to absorb much of this migration, while emerging apps like RedNote and Neptune could also see a user surge. However, monetized content creators face a unique set of challenges. They must identify platforms offering competitive payouts and convince their audiences to follow them. Navigating these changes will require creators to strike a balance between financial viability and audience retention.
For TikTok to remain in the U.S., ByteDance has limited options. It must either divest its U.S. operations to an entity owned by a U.S. citizen or face the ban. While ByteDance has shown little inclination to sell, losing the U.S. market could significantly impact its bottom line, as U.S. users account for 16.5% of TikTok’s total visits. There is speculation that President-elect Donald Trump might review or delay the ban’s enforcement, despite having initiated the push for it. Even a brief extension could provide creators and businesses more time to adapt.
Globally, the precedent set by banning a foreign-owned application over national security concerns raises important questions. In an increasingly digital world, where entire companies operate without physical interaction and global connections flourish online, access to platforms like TikTok fosters cultural exchange and empathy. Restricting such access could have implications for U.S.-China relations and the global tech industry that we may not fully grasp until well into the future.
The Supreme Court’s decision to uphold the TikTok ban is both disappointing and alarming to many. As creators scramble to secure new revenue streams, the resulting economic ripple effects will likely be felt across the U.S. economy. If there is one lesson to be learned from TikTok’s uncertain fate, it’s that creators and businesses should avoid becoming overly reliant on any single platform. The digital environment is rapidly evolving, and adaptability will be key to thriving in this new landscape.
