After a UK Government Cabinet Office security review, Chinese-owned app, TikTok, has been banned on all government electronic devices. However, experts think the decision may spook consumers and brands.
The announcement, which came on 16th March, as a result of concern about information being accessed by the Chinese government through the app.
Thomas Walters, Europe CEO and co-founder of marketing agency Billion Dollar Boy told Verdict: “Today’s decision to ban TikTok from UK government phones isn’t unexpected as it follows a precedent set by other Western countries.
“This ban could significantly shake up the social media landscape in the UK. The concern is that this ban could spook some consumers and brands, reducing the amount of time and investment they put into the platform,” said Walters.
Other social media platforms, such as Instagram reels and Youtube shorts will also try to capitalise on this ban in efforts to emulate TikTok’s success – despite previous failure.
Companies like Meta will need to provide similar functionality as TikTok, while differentiating itself to turn loyal TikTok users away.
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For TikTok to reassure stakeholders and users the company must address its transparency with data handling to avoid any further damage.
Thomas adds, “we could see TikTok’s Chinese owners having to divest their stakes in it, and/or split from parent company, ByteDance.”
GlobalData is the parent company of Verdict and its sister publications.