Contractors can still market on TikTok — for now

This weekend, popular social media app TikTok temporarily shut down as part of a months-long legal battle over national security concerns, resuming service less than 24 hours later.

Why it matters: The platform counts 170 million U.S. users and serves as a marketing and advertising tool for over 7 million businesses nationwide, including many contractors. 

What’s happening: TikTok’s Chinese parent company faced a January 19 deadline to sell its U.S. operations to an American owner or be banned in the U.S. 

• After shutting down on Saturday night, President-elect Donald Trump on Sunday promised to extend the deadline upon taking office Monday, prompting the company to restore its service.

Yes, but: The extension requires “significant progress” toward a deal with a U.S. buyer, of which there’s currently no evidence. 

What it means: Contractors who use the platform for marketing and advertising can continue operating as usual — for now.

• Zoom in: “We’ve prioritized our growth on Facebook, Instagram, and YouTube,” one contractor shared with Homepros, expecting these platforms to absorb TikTok’s user base should a ban take effect. 
• “At the end of the day, it’s just a game of attention, and we’ll go wherever the attention is,” the person added. 

Between the lines: TikTok’s video format is ubiquitous across social media platforms, giving contractors content flexibility regardless of the outcome.  

What to watch: TikTok generates approximately $10 billion in U.S. advertising revenue that would need a new home under a potential ban. 

• Platforms like Facebook and Instagram would likely capture most of these advertising dollars, driving up costs for all advertisers on the platforms. 

What’s next: The President-elect gets sworn into office Monday, and while he hasn’t specified the exact extension length, he indicated on Saturday he would “most likely” give the company 90 days to find a legitimate U.S. buyer.