TikTok Prepares New App Version Before Potential US Sale
Amidst mounting U.S. regulatory scrutiny, TikTok is reportedly building a new version of its app. Furthermore, the planned sale of its American operations requires a fresh build. Meanwhile, ongoing negotiations and data-security concerns shape this strategic pivot.
Why a New Version?
The development of a new version could serve several purposes:
- Addressing Security Concerns: A fresh codebase allows TikTok to implement enhanced security measures and address any potential vulnerabilities that have been raised.
- Meeting Regulatory Requirements: The new version might be designed to comply with specific data privacy and security requirements set forth by the US government.
- Facilitating a Smooth Transition: A new app version could streamline the transfer of ownership and ensure a seamless experience for US users during and after the sale.
TikTok U.S. Sale: Who’s in the Running?
TikTok’s U.S. sale process has attracted multiple bidders and it still needs regulatory sign off.
Several groups have shown interest:
- A consortium backed by Frank McCourt, including Alexis Ohanian and Kevin O’Leary.
- Technology and investment giants like Oracle, Blackstone, and Amazon.
- Investor-focused firms such as Perplexity AI.
- Possible bids from Walmart, Microsoft, AppLovin, and even MrBeast
Meanwhile, President Trump says a deal is pretty much” in place and talks with China are scheduled to start this week. Still, the final structure and timing remain uncertain .
Regulatory Hurdles Ahead
First, U.S. regulators must sign off under the Protecting Americans from Foreign Adversary Controlled Applications Act (PAFACA), which prohibits distribution or updates of “foreign-adversary-controlled applications” unless developers divest within a set time frame
Then, ByteDance will need Chinese government approval, because China’s export controls require consent before transferring core algorithms and related tech .
Finally, only after both steps can the U.S. operations legally transfer.
Impact on Users
- Mandatory App Transition
Starting September 5, 2025, U.S. users must download the new U.S.-only version (internally called M2 to keep using TikTok. The current app will stop working by March 2026 - Disrupted Experience
The switch might interrupt user habits and data continuity. It could reset personalized feeds, disrupt algorithmic recommendations, and change in-app settings and content history - Advertising & E-commerce Effects
Marketers may lose targeting accuracy and behavioral insights during the shift. TikTok Shop’s subscription features and ads may see fluctuations as user data systems realign - Data Privacy & Trust
Users concerned about data security may welcome this move. Hosting U.S. data on separate infrastructure could reduce foreign-government access concerns businessinsider.com
How to Prepare
- Download the M2 app once available in early September.
- Back up important content, like drafts or favorites, beforehand.
- Stay informed about changes in privacy settings or new U.S.-only policies.
Bottom Line
Amid efforts to comply with U.S. legal demands, TikTok plans to spin off an American version of its app to retain its massive user base. Nevertheless, users may encounter hiccups—such as feed resets, disrupted data, and shifting ad environments—during the transition. However, in the long run, users could benefit from stronger data protections and a more secure experience.
- Data Privacy: Users will be keen to understand how their data will be handled under new ownership.
- App Functionality: The new version may introduce changes to the app’s features and functionality.
- Terms of Service: Users should carefully review the updated terms of service and privacy policies.
