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Canada orders dissolution of TikTok’s Canadian business but won’t block app
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Canada orders dissolution of TikTok’s Canadian business but won’t block app

TORONTO — Canada announced Wednesday that it would not block access to the popular video-sharing app TikTok, but would order the dissolution of its Canadian operations after a national security review of the Chinese company in origin of this application.

Industry Minister François-Philippe Champagne said this was intended to address risks related to the creation of TikTok Technology Canada Inc. by ByteDance Ltd.

“The government is not blocking Canadians’ access to the TikTok app or their ability to create content. The decision to use an app or social media platform is a personal choice,” Champagne said.

Champagne said it is important for Canadians to adopt good cybersecurity practices, including protecting their personal information.

He said the dissolution order was issued in accordance with the Investment Canada Act, which allows for the review of foreign investments that could harm Canada’s national security. He said the decision was based on information and evidence gathered during the review and advice from Canada’s security and intelligence community and other government partners.

A TikTok spokesperson said in a statement that closing its Canadian offices would result in the loss of hundreds of local jobs.

“We will challenge this order in court,” the spokesperson said. “The TikTok platform will remain available for creators to find an audience, explore new interests and for businesses to thrive.”

TikTok is very popular with young people, but its Chinese ownership has raised fears that Beijing could use it to collect data on Western users or to promote pro-Chinese rhetoric and disinformation. TikTok is owned by ByteDance, a Chinese company that moved its headquarters to Singapore in 2020.

TikTok faces increased scrutiny from Europe and America over data security and privacy. It comes as China and the West are engaged in a broader tug of war over technologies ranging from spy balloons to computer chips.

Canada before bans TikTok from all government-issued mobile devices. TikTok has two offices in Canada, one in Toronto and one in Vancouver.

Michael Geist, Canada Research Chair in Internet and E-Commerce Law at the University of Ottawa, said in a blog post that “banning the company rather than the app could actually make matters worse since the risks associated with the application will remain, but the ability to hold the company accountable will be weakened.

Canada’s decision comes a day after the election of Donald Trump in the United States. In June, Trump joined TikToka platform he once tried to ban while in the White House. It has around 170 million users in the United States

Trump attempted to ban TikTok through an executive order stating that “the distribution in the United States of mobile applications developed and owned” by Chinese companies posed a threat to national security. The courts blocked the action after TikTok filed a lawsuit.

The US FBI and Federal Communications Commission have warned that ByteDance could share user data such as browsing history, location and biometric identifiers with the Chinese government. TikTok said it has never done this and would not do it, if asked.

Trump said earlier this year that he still believed TikTok posed a national security risk but was opposed to banning it.

US President Joe Biden law signed in April this would force ByteDance to sell the app to a US company within a year or face a nationwide ban. It’s unclear whether this law will survive a legal challenge filed by TikTok or whether ByteDance would agree to sell.

Copyright 2024 NPR