Army Secretary expects briefing on possible TikTok vulnerabilities by year-end as US keeps pressure on China tech
Summary
Sen. Chuck Schumer (D-NY) has called for an investigation into the Armys use of TikTok, and Sen. Josh Hawley (R-MO) has proposed a bill that would forbid the app and other tech companies like Apple and Google from storing the data of U.S. citizens in China. The U.S. has been cracking down on a wide range of China-based technology firms despite ongoing protests from those companies, which include artificial intelligence and surveillance giants, as well as Chinas largest equipment manufacturers Huawei and ZTE. Companies with Chinese investors are also facing a possible money crunch, as the Treasury Departments Committee on Foreign Investment in the United States (CFIUS) has been working to significantly expand its review process to include businesses in technology, infrastructure and sensitive personal data. CFIUS has contacted TikToks Chinese parent, Bytedance, over concerns that its acquisition of social media app Musical.ly poses a national security risk, people familiar with the situation have told CNBC. An adverse CFIUS review can have significant implications for any company that takes money from China-based firms, including giving the U.S. power to block, modify or unwind financial transactions and investments.