Canada Reverses TikTok Ban

Canada reversed its earlier decision to ban TikTok's business unit. The reversal follows a legal settlement where TikTok committed to enhanced privacy protections, especially for minors. This contrasts sharply with the U.S., where a full TikTok ban is edging closer to reality.

The reversal comes after a Federal Court judge overturned the initial ban in January 2026, directing Industry Minister Joly to conduct a new review. The court's decision followed a challenge from TikTok, which argued that the ban would result in job losses and reduced support for Canadian creators. Industry Minister Joly stated that the decision to reverse the ban was made after a thorough assessment that included advice from Canada's security and intelligence community. As part of the new agreement, TikTok will implement enhanced data protection measures, including security gateways and privacy-enhancing technologies. An independent third-party monitor will also be appointed to continuously audit data access controls. The Canadian government initially ordered TikTok to shut down its Canadian operations in November 2024 due to national security concerns. These concerns stemmed from the possibility that China could use the app to harvest user data or advance its interests. In the U.S., a similar law led to TikTok going dark on January 18, 2025, but the app was restored after President Trump extended the deadline for ByteDance to sell. As of January 22, 2026, TikTok is no longer set to be banned in the United States, with ByteDance retaining a minority ownership stake of less than 20% in TikTok's U.S. operations.

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