TikTok CEO Chew: Montana’s Ban on the App ‘Unconstitutional’ 

In this photo provided by the Montana Governor's Office, Republican Gov. Greg Gianforte signs a law banning TikTok in the state, May 17, 2023, in Helena, Mont. (Montana Governor's Office via AP, File)
In this photo provided by the Montana Governor's Office, Republican Gov. Greg Gianforte signs a law banning TikTok in the state, May 17, 2023, in Helena, Mont. (Montana Governor's Office via AP, File)
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TikTok CEO Chew: Montana’s Ban on the App ‘Unconstitutional’ 

In this photo provided by the Montana Governor's Office, Republican Gov. Greg Gianforte signs a law banning TikTok in the state, May 17, 2023, in Helena, Mont. (Montana Governor's Office via AP, File)
In this photo provided by the Montana Governor's Office, Republican Gov. Greg Gianforte signs a law banning TikTok in the state, May 17, 2023, in Helena, Mont. (Montana Governor's Office via AP, File)

TikTok CEO Shou Zi Chew said on Tuesday the US state of Montana's ban of the app was unconstitutional and that he was confident his company will prevail in a lawsuit challenging the decision.

The Chinese-owned company filed a lawsuit on Monday against Montana's decision to ban TikTok from operating in the state to protect residents from alleged intelligence gathering by China.

"We believe that the Montana bill that was recently passed is simply unconstitutional," Chew told the Qatar Economic Forum organized by Bloomberg.

US lawmakers and state government officials have called for a nationwide ban on the video-sharing app, which is used by more than 150 million Americans, over concerns about potential Chinese government influence over the platform.

"The Chinese government never asked us for US users' data and we will not provide even if asked," Chew said.

Chew said his company has worked with Oracle to keep US users data stored in the United States.

"Today by default, all US data is stored in the Oracle cloud service already," he said.

"We have built over the last two years something we call internally 'Project Texas', which ensures that American data is stored on American soil by an American company and overseen by American personnel," Chew added.

In March, a congressional committee grilled Chew about whether the Chinese government could access user data or influence what Americans see on the app.

But calls to ban TikTok nationwide or give the Biden administration new powers to crack down or ban TikTok have not advanced in Congress.

Montana could impose fines of $10,000 for each violation by TikTok and additional fines of $10,000 per day if it violates the ban. The law does not impose penalties on individual TikTok users. It is not clear how Montana would enforce a TikTok ban.



Trump Extends Deadline for TikTok Sale by 90 Days

FILE PHOTO: A TikTok logo is displayed on a smartphone in this illustration taken January 6, 2020. REUTERS/Dado Ruvic/Illustration/File Photo
FILE PHOTO: A TikTok logo is displayed on a smartphone in this illustration taken January 6, 2020. REUTERS/Dado Ruvic/Illustration/File Photo
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Trump Extends Deadline for TikTok Sale by 90 Days

FILE PHOTO: A TikTok logo is displayed on a smartphone in this illustration taken January 6, 2020. REUTERS/Dado Ruvic/Illustration/File Photo
FILE PHOTO: A TikTok logo is displayed on a smartphone in this illustration taken January 6, 2020. REUTERS/Dado Ruvic/Illustration/File Photo

President Donald Trump announced Thursday he had given social media platform TikTok another 90 days to find a non-Chinese buyer or be banned in the United States.

"I've just signed the Executive Order extending the Deadline for the TikTok closing for 90 days (September 17, 2025)," Trump posted on his Truth Social platform, putting off the ban for the third time.

A federal law requiring TikTok's sale or ban on national security grounds was due to take effect the day before Trump's January inauguration.

The Republican, whose 2024 election campaign relied heavily on social media, has previously said he is fond of the video-sharing app.

"I have a little warm spot in my heart for TikTok," Trump said in an NBC News interview in early May. "If it needs an extension, I would be willing to give it an extension."

TikTok on Thursday welcomed Trump's decision.

"We are grateful for President Trump's leadership and support in ensuring that TikTok continues to be available for more than 170 million American users," the platform said in a statement.

Digital Cold War?

Motivated by a belief in Washington that TikTok is controlled by the Chinese government, the ban took effect on January 19, one day before Trump's inauguration, with ByteDance having made no attempt to find a suitor.

TikTok "has become a symbol of the US-China tech rivalry; a flashpoint in the new Cold War for digital control," said Shweta Singh, an assistant professor of information systems at Warwick Business School in Britain.

Trump had long supported a ban or divestment, but reversed his position and vowed to defend the platform -- which boasts almost two billion global users -- after coming to believe it helped him win young voters' support in the November election.

The president announced an initial 75-day delay of the ban upon taking office. A second extension pushed the deadline to June 19.

He said in May that a group of purchasers was ready to pay TikTok owner ByteDance "a lot of money" for the video-clip-sharing sensation's US operations.

Trump knows that TikTok is "wildly popular" in the United States, White House spokeswoman Karoline Leavitt told reporters Thursday, when asked about the latest extension.

"He also wants to protect Americans' data and privacy concerns on this app, and he believes we can do both things at the same time."

The president is "just not motivated to do anything about TikTok," said independent analyst Rob Enderle. "Unless they get on his bad side, TikTok is probably going to be in pretty good shape."

Tariff turmoil

Trump said in April that China would have agreed to a deal on the sale of TikTok if it were not for a dispute over his tariffs on Beijing.

ByteDance has confirmed talks with the US government, saying key matters needed to be resolved and that any deal would be "subject to approval under Chinese law."

Possible solutions reportedly include seeing existing US investors in ByteDance roll over their stakes into a new independent global TikTok company.

Additional US investors, including Oracle and private equity firm Blackstone, would be brought on to reduce ByteDance's share in the new TikTok.

Much of TikTok's US activity is already housed on Oracle servers, and the company's chairman, Larry Ellison, is a longtime Trump ally.

Uncertainty remains, particularly over what would happen to TikTok's valuable algorithm.

"TikTok without its algorithm is like Harry Potter without his wand -- it's simply not as powerful," said Kelsey Chickering, principal analyst at Forrester.

Despite the turmoil, TikTok has been continuing with business as usual.

The platform on Monday introduced a new "Symphony" suite of generative artificial intelligence tools for advertisers to turn words or photos into video snippets for the platform.