The Government of Canada has mandated the dissolution of TikTok Technology Canada, a subsidiary of ByteDance, due to concerns regarding national security risks. However, this decision does not impose a ban on users, allowing them to continue accessing and using the platform without interruption.

This action follows comprehensive national security assessments, including close scrutiny from Canada’s intelligence and security community. The government stated that it is implementing measures to address specific national security risks associated with ByteDance’s operations in Canada through the establishment of TikTok Technology Canada, Inc.

Although the Canadian government has not clarified the specific security risks posed by ByteDance, this decision reflects ongoing concerns about data collection and the potential misuse of information by foreign entities, particularly in light of similar concerns raised in the United States.

François-Philippe Champagne, the Minister of Innovation, Science and Industry, emphasized that this decision is based on information and recommendations from Canadian security and intelligence agencies. He also affirmed that the use of TikTok remains a “personal choice” for Canadians, despite the government’s actions.

Since February 2023, TikTok has been banned on government devices in Canada, and citizens are encouraged to adopt good cybersecurity practices and remain vigilant about how their personal information may be used or shared by foreign actors.

The order to cease operations for TikTok is enacted under the Investment Canada Act, which allows the government to review foreign investments that may pose a threat to national security. TikTok has expressed that the closure would impact hundreds of high-paying jobs in Canada and plans to appeal this decision in court.

In the United States, security concerns are also escalating, with the government demanding that ByteDance divest from TikTok by January 19, 2025, or face the risk of being banned. TikTok filed a lawsuit against the U.S. government in May to prevent this order.

While TikTok asserts that it does not share user data with the Chinese government, the application has faced outright bans in several countries, including Afghanistan, India, Nepal, and Pakistan. Furthermore, the use of TikTok is also restricted on government-issued devices in many regions worldwide.