The TikTok controversy in the US has triggered wider scrutiny of Chinese apps, with legislation like the Protecting Americans from Foreign Adversary Controlled Applications Act (PAFACA) threatening to reshape the digital landscape.
While TikTok faces the immediate threat of a nationwide ban, this law’s potential impact extends beyond TikTok, potentially ensnaring rising stars like Lemon8 and RedNote.
Both apps, gaining traction as TikTok alternatives, could face regulatory action if their links to China are deemed a national security risk.
With ByteDance-owned Lemon8 and Shanghai-based RedNote climbing to the top of the US iOS charts, their rising popularity raises concerns about whether they too could be targeted under PAFACA.
This article explores the implications of the legislation and its possible ripple effects on other Chinese platforms operating in the US.
How PAFACA could affect Lemon8 and RedNote
The Protecting Americans from Foreign Adversary Controlled Applications Act, designed to safeguard national security, names TikTok explicitly but has broader applications.
Lemon8, as a subsidiary of ByteDance, is directly implicated. RedNote (known as Xiaohongshu in China) could also fall within the law’s purview if its US user base continues to grow.
PAFACA prohibits hosting, distributing, or maintaining apps tied to “foreign adversaries” that pose significant national security risks.
The expansive wording allows the US government to target platforms connected to entities like ByteDance or other Chinese tech firms.
Legal experts caution that this legislation creates a precedent for scrutinising any app with perceived links to China.
As US regulators ramp up efforts to curb potential data security threats, the scope of such measures could extend beyond Lemon8 and RedNote to include other platforms like Shein and Temu.
Rising regulatory pressure on Chinese apps
Chinese tech companies have long been accused of lax data privacy practices and close ties to the Chinese government.
These concerns have intensified with the US adopting stricter policies aimed at mitigating risks posed by foreign-controlled platforms.
The precedent set by TikTok’s case has broader implications. A Supreme Court ruling upholding the TikTok ban could strengthen the government’s ability to scrutinise other Chinese apps.
For Lemon8 and RedNote, this would mean facing stricter compliance measures or possible bans unless their ownership structures change to mitigate concerns.
RedNote’s growing presence in the US market, as demonstrated by its recent surge to the top of app store rankings, further highlights its potential vulnerability.
If deemed a threat, the app could be subject to PAFACA’s provisions, requiring operational adjustments or divestitures by its Chinese parent company.
The path ahead for Chinese tech in the US
The legislative push to ban TikTok has sent ripples across the broader tech sector, with Chinese companies increasingly wary of their standing in the US market.
While Lemon8 and RedNote currently benefit from TikTok’s woes, their long-term viability may depend on their ability to distance themselves from Beijing.
US lawmakers remain divided on the issue. Some argue that banning these apps undermines innovation and consumer choice, while others prioritise national security concerns over market competition.
As TikTok’s fate hangs in the balance, the outcome will likely serve as a litmus test for how the US approaches foreign apps.
Lemon8 and RedNote could become the next battleground in this geopolitical tech war, reshaping the digital ecosystem in the process.
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