Canada has ordered the winding up of TikTok Technology Canada Inc., a unit of Chinese IT company ByteDance that oversees the social media platform’s operations in the North American nation.
Canadian Minister of Innovation, Science and Industry Francois-Philippe Champagne, who made the announcement on Wednesday, said the move aligns with the Investment Canada Act, which mandates reviews of foreign investment classified as a threat to national security.
“The decision was based on the information and evidence collected over the course of the review and on the advice of Canada’s security and intelligence community and other government partners,” the minister said.
“While Canada continues to welcome foreign direct investment, the government will act decisively when investments threaten our national security.”
TikTok Issues
Several countries have raised concerns about using the China-developed video-sharing app. In March, the U.S. Office of the Director of National Intelligence listed TikTok among technologies that Beijing could weaponize to influence the 2024 presidential elections.
As early as 2020, India implemented a complete ban on TikTok after a conflict on the India-China border left at least 20 soldiers dead, citing security and public order concerns.
Information Security Risks
Champagne clarified that the order to shutter ByteDance’s Canadian business does not mean a government-mandated ban on app use, noting that it comes down to personal choice.
“It is important for Canadians to adopt good cybersecurity practices and assess the possible risks of using social media platforms and applications, including how their information is likely to be protected, managed, used and shared by foreign actors,” he said.