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Thoughts on the TikTok ban?

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Junior Software Engineer at Taro Community23 days ago

I'm just curious about people's opinions from a tech perspective

  • Does this impact current tiktok employees?
  • Can this affect their RSU/equity?

Any other thoughts are also welcome!



  • 1
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    Tech Lead @ Robinhood, Meta, Course Hero
    23 days ago

    Does this impact current tiktok employees?

    I imagine that the immediate effect is morale being down. If the ban goes through, then everyone in TikTok US offices would be laid off probably as TikTok has now said that they wouldn't sell if the ban goes through, shutting down in the US instead.

    Can this affect their RSU/equity?

    It might lead to a down-round, which leads to their stock being worth less.

    Overall though, it's hard to tell what's going to happen. TikTok will definitely pursue legal action to overturn the ban, and litigation will take years. So it's not super relevant to us just yet.

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    Tech Lead/Manager at Meta, Pinterest, Kosei
    23 days ago

    A company getting banned and/or regulated is so rare so it's hard to know what will happen. Unpredictability is usually a bad thing when it comes to career growth, so I'd avoid it if possible.

    My understanding of the "ban" is that TikTok would have 6 months to sell the US operation to another company, or it'll truly get banned. Given the power of TikTok, it will certainly get bought. What does this mean for TikTok employees?

    • Many people who don't want to deal with the uncertainty in that 6-month timeframe will leave, which will stagnate your career growth.
    • Since this is a distressed sale, the purchase price might be lower than the grant price of your RSUs. (Then again, it might be more, too.)

    Unless you feel like you have a lot to gain by sticking around (e.g. you will lead a team or want to fill the void that will get created), I would have other job options ready.

    A lot of Big Tech skills will be transferable.

TikTok, known in China as Douyin, is a short-form video hosting service owned by Chinese company ByteDance. It hosts a variety of short-form user videos with durations from 15 seconds to ten minutes
TikTok16 questions