Trump suspends U.S. TikTok ban for 75 days with executive order, but legal and market uncertainty hang over platform’s future – Alphabet (NASDAQ: GOOGL ), Apple (NASDAQ: AAPL )

President Donald Trump’s Executive order suspended on Monday Tik Tok The 75-day ban injects new uncertainty into the future of the social media platform, even as potential buyers emerge amid national security concerns.

what happened: The order temporarily suspends a ban that took effect Sunday under a legal requirement Byte bounce Selling TikTok’s U.S. operations. The platform, which has 170 million U.S. users, was briefly offline over the weekend before service was restored.

“I think I have a good impression of TikTok,” Trump said on Monday, suggesting the U.S. government should broker a deal to gain 50% control of the platform, which he could value at as much as $500 billion.

Market observers note that some companies may benefit from TikTok’s uncertain status. Yuan Platform Company Mehta A new video creation app called “Edits” was launched on Sunday, positioned to generate advertising revenue as TikTok faces restrictions. According to eMarketer, TikTok’s advertising revenue in the United States will be $12.34 billion in 2024.

Jeff Bezossupported Puzzled Reportedly offers $50 billion to merge with TikTok US, while Tesla Inc. Tesla Chief Executive Elon Musk’s X Platform is considered another potential acquirer. However, Tesla investors Gary Black Warned that Musk’s acquisition of TikTok could have a negative impact on Tesla’s stock price.

See also: Jefferies makes rare downgrade for Apple, analysts warn of slowing revenue growth, missing estimates and falling iPhone demand

why it’s important: Legal experts question the authority of the executive order. “Executive orders cannot override existing laws,” said Sarah Kreps,director Cornell University Institute for Technology PolicyAccording to the Associated Press. The law allows for a 90-day extension if a sale proceeds, but its retroactive application remains unclear.

Beijing said on Monday it might be flexible on the TikTok sale. A spokesman for the Chinese Ministry of Foreign Affairs said: “Business operations and acquisitions should be independently decided by enterprises in accordance with market principles.” Mao Ning.

The situation remains fluid as tech companies seek compliance. Although TikTok has restored service for existing users, apple inc. AAPL and alphabet inc. Google It has not yet reinstated the app in its store, citing U.S. legal requirements.

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