Can the government block a foreign-owned mobile app from doing business in the US?
The First Amendment likely prevents an outright ban on usage of a foreign-owned app, but the U.S. government can effectively block its distribution and otherwise limit its business operations.
President Trump applied one tool in Aug. 7 executive orders against TikTok and WeChat. The Emergency Economic Powers Act can be used to block transactions between U.S. entities and the apps' China-based owners, effectively thwarting their U.S. business efforts.
The orders take effect in 45 days, allowing time for negotiations already underway about TikTok's fate to continue. A Treasury committee review of TikTok's status in the U.S. had already prompted ByteDance Ltd., the app's owner, to explore a sale of its U.S. assets, possibly to Microsoft Corp. A similar Treasury review led to the sale of Grindr, a dating app for gay men, by its China-based owner.
