TikTok US ban and sale update - Episode 77
TikTok—the app that revolutionized short-form video—is expected to change hands in the United States in just a few weeks.
From its origins in China to its global impact on creators, music, and culture, this episode of Create & Consume breaks down the full story of TikTok’s rise, the U.S. ban debate, and what the recent sale deal means for creators moving forward.
Whether you’re a casual scroller, full-time creator, or just curious about what’s really happening, here’s your deep dive into how we got here and what comes next.
Create & consume:
What Austen is creating this week: It was Taylor’s wedding weekend and the day was just incredible. I did make her film one TikTok with me just for kicks—it was the trend “what are you wearing today?”
What Austen is consuming this week: I finished Nobody Wants This season 2! I had a fun time watching it, I love the dynamic of Morgan and Sasha on screen and I thought Dr. Andy was a hilarious foil for Joanne.
In this episode:
Quick history & impact on creators
TikTok began in China and merged with Musical.ly, becoming a global brand and sparking explosive growth during the late 2010s and pandemic years.
It completely democratized content creation — lowering the barriers to entry with short vertical videos, simple editing tools, and an algorithmic feed that prioritized discovery over follower count.
Early content creation required DSLR cameras, editing skills, and a blog or YouTube channel.
TikTok changed that. It allowed creators to film, edit, and upload viral content straight from their phones. You didn’t need a perfectly curated feed to build an audience.
By early 2020, as lockdowns began, more people downloaded TikTok than ever before.
Many who started as viewers became creators themselves — from viral dance trends like Renegade (Jalaiah Harmon) and M to the B (Bella Poarch), to collectives like Hype House that launched new influencers like Addison Rae and Charli D’Amelio (who became the first TikTok user to reach 100 million followers).
Evolution of virality & the music industry
The For You page and short-form format transformed the music industry.
Songs started trending because of 15-second dance clips or clever loops—not traditional radio play. Examples include WAP, Cannibal, and even user-created songs like Bored in the House.
TikTok also revived older tracks like Fleetwood Mac’s Dreams after the viral skateboarding video.
Artists now build marketing campaigns around TikTok, launching songs, partnering with creators, and even shaping releases to fit viral moments.
Taylor Swift’s Actually Romantic and its “Stop talking dirty to me” trend is a perfect modern example of a single lyric pulled from a song that people started creating videos with.
How short-form video user behavior has changed
Today’s engagement metrics tell a different story.
While likes and comments have dipped, consumption hasn’t. People are watching, just sharing privately instead of publicly.
This new wave of passive engagement includes saving videos, DM-ing them to friends, or sharing across apps.
For creators, that means focusing more on retention, storytelling, and connection than raw engagement numbers.
Why TikTok was targeted: national security & political drivers
In 2020, the Trump administration issued an executive order to ban TikTok unless sold to a U.S. company, as a response to their handling of the Covid-19 pandemic.
Courts blocked it, ruling the ban unconstitutional under the First Amendment (freedom of speech).
Under the Biden administration, the scrutiny continued, and civil rights groups like the ACLU and EFF warned that new regulations could violate the First and Fourth Amendments.
The fear: ByteDance (TikTok’s parent company) could be compelled to share U.S. user data or manipulate the algorithm for propaganda.
In 2024, Congress passed legislation requiring ByteDance to divest or face a shutdown citing concerns over data privacy and Chinese government influence.
That set off a year-long back-and-forth of negotiations and political maneuvering.
You can also read my Forbes interview from April 2024, where I shared practical advice for creators preparing for the potential ban.
Tracking the ban & negotiations through 2025
TikTok briefly went offline for 24 hours in January 2025 (I was at a bachelorette party — probably for the best 😅).
Multiple legal extensions, negotiations, and political statements followed.
The final months of 2025 brought a major shift toward a sale and restructuring agreement between U.S. and Chinese officials.
The current deal
A breakthrough agreement has been reached allowing a sale/spin-off of TikTok’s U.S. operations.
Majority ownership will now go to a group of conservative U.S. investors, including: Larry Ellison (Oracle), Michael Dell (Dell Technologies), and Rupert Murdoch (News Corp) according to Trump, but this could easily change.
ByteDance will retain a minority stake in the US operations.
The deal is reportedly valued at $14 billion, with 65% U.S. and international ownership.
As of late October, the agreement was officially greenlit by both U.S. and Chinese officials, with full implementation expected by December 2025.
Remaining questions:
How will algorithm access and data control work?
Will U.S. regulators have oversight of content moderation?
How will the app’s global version differ from the U.S. one?
What this means for creators
For now, nothing changes for day-to-day creators.
Engagement and posting are still normal, but long-term, it’s a reminder to:
Diversify your platforms (repurpose to Reels, YouTube Shorts, or your own newsletter).
Review brand contracts for any platform-specific clauses.
Plan for outages or algorithm shifts — own your audience wherever possible.
Don’t forget to also back up your data I use Repurpose.io to do this and share my content on other platforms
This isn’t the first time creators have faced uncertainty, and it won’t be the last.
As with all platforms, the key is adaptability.
Summary
TikTok’s journey from viral dance app to global political flashpoint is unprecedented.
It reshaped how we consume content, launched countless careers, and even redefined the music industry.
Now, its future depends on a delicate balance between innovation, data control, and creative freedom.
The app that built modern creator culture is rewriting its next chapter…one that could redefine the internet once again.
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