As the high court signaled it was inclined to uphold the law during oral arguments earlier this month, U.S. TikTok users started moving to Xiaohongshu, nicknamed RedNote. This app has gained nearly 3 million U.S. users just this week, which shows the rapid shift of American users seeking alternatives to TikTok. RedNote is now ranked No. 1 on Apple's free app chart, highlighting the growing interest in Chinese-owned alternatives.
However, officials express concerns regarding RedNote potentially facing similar scrutiny as TikTok, due to its Chinese ownership and similar functionalities. One official indicated that, 'This appears to be the kind of app that the statute would apply to and could face the same restrictions as TikTok if it’s not divested.' This points to a broader uncertainty for foreign apps in the U.S. market following legislative action.
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