ByteDance’s CapCut Returns: Temporary Relief Under Trump’s Executive Order

CapCut resumes U.S. operations after Trump’s executive order delays enforcement, but legal risks persist for ByteDance under app ban regulations

ByteDance’s CapCut Returns: Temporary Relief Under Trump’s Executive Order

The video editing software CapCut, which is owned by ByteDance and is similarly banned as TikTok, is back online in the United States. Users who had previously downloaded the app received a notification on Tuesday, inviting them back and thanking them for their patience. This development follows President Donald Trump's executive order, issued shortly after his inauguration, which pauses enforcement actions under the Protecting Americans from Foreign Adversary Controlled Applications Act (PAFACA) by 75 days.

The executive order intends to reduce immediate fears among service providers who may face significant fines for hosting or maintaining restricted apps. However, legal experts point out that the injunction does not erase the underlying legal issues. Notably, while CapCut is back online, it is still unavailable on Apple's App Store and Google Play, similar to TikTok.

PAFACA requires that apps controlled by China-based ByteDance be sold to a non-adversary firm by January 19, 2025, in order to continue functioning in the United States. Instead of completing a sale, ByteDance sought legal action, but lost in the Supreme Court. In order to address national security concerns, President Trump is currently negotiating a prospective joint venture that would give the United States a 50% share in TikTok. However, this approach faces serious legal obstacles.

For the time being, CapCut's reinstatement brings some respite to users, but the larger problem highlights the difficulty of reconciling national security with access to popular internet services. The future of CapCut and TikTok in the United States remains uncertain, depending on growing legal and political developments.

Source : The Verge