TikTok's unbanning is welcomed by its users, but what could it mean for the U.S. companies involved ... [+] in its operations?Getty ImagesWill TikTok be banned again? Its a question on the minds of the apps 170 million U.S. users as the platforms presence in the U.S. continues to proceed in regulatory limbo, after its brief ban and restoration last month.Following President Trumps executive order which extended the grace period of the Supreme Courts legislation for 75 days, TikTok remains useable on devices (albeit absent from Apple and Googles app stores). But while this reprieve is welcomed by its users, it may also have plunged some tech companies vital to TikTok's U.S. operations into a situation of uncertainty.Jim Johnston, partner at law firm Davis+Gilbert, states that "The executive order can be rescinded at any time without notice to any party and the statute of limitations for violations extends beyond the end of the Trump administration nothing President Trump has done invalidates the law or transforms the actions of these companies into non-violations. The Department of Justice is simply not taking steps to enforce violations that are occurring. So, the next administration could pursue enforcement of these violations if it chose.An $850 Billion Question For Big TechIf the legislation is eventually enforced, the potential stakes for U.S. tech firms are high. "Under the legislation, companies could be fined $5,000 per user they help access TikTok... if reportedly 170 million Americans use TikTok and companies could be charged $5,000 per user, that amounts to about $850 billion in fines spread across different types of tech companies, Johnston explains.As a result, Oracle, which has the crucial role of hosting TikTok's U.S. data and content delivery infrastructure, along with Apple and Google, which distribute the app through their respective app stores, face complex decisions about their continued support of the platform. "These companies are assuming two key risks," Johnston states. "That the Trump administration will not change its mind about enforcement and that a subsequent administration would follow the Trump administration's lead on this."MORE FOR YOUShould enforcement resume, companies still operating during this period might defend their actions, Johnston suggests. "If the administration did change its mind and seek to pursue enforcement, the companies would likely argue that they reasonably relied on clear and unambiguous language in the executive order."As things stand, Oracle continues to host TikTok's U.S. data and content delivery infrastructure, while Apple and Google have adopted more conservative positions, maintaining restrictions on new downloads and updates through their app stores. "The potential negative reaction of continuing to comply with the law is much lower for these businesses than it would be for Oracle," Johnston notes. "Apple and Google control access to the app, but the 170 million current U.S. users who already have access do not need Apple or Google to access TikTok," he continues. "If Oracle decided to comply with the law regardless of the executive order, the app would become unavailable in the absence of an offshore hosting solution."Solving The TikTok ProblemTikTok's 170 million U.S. userbase will be hoping for a long-term resolution.Getty ImagesTikTok's future depends on an intricate dance between regulatory requirements, corporate risk tolerance and proposed solutions that face significant practical and constitutional hurdles. As the grace period continues, President Trump has proposed a new potential solution having a yet-to-be-created U.S. sovereign wealth fund which could be used to invest in TikTok.On Feb. 3, Trump signed an executive order directing the Treasury and Commerce Departments to submit plans for creating such a fund within 90 days. Speaking to Reuters, Treasury Secretary Scott Bessent explained, "We're going to monetize the asset side of the U.S. balance sheet for the American people. There'll be a combination of liquid assets, assets that we have in this country as we work to bring them out for the American people." Bessent indicated the fund would be established within 12 months.As for the feasibility of such a fund being used to invest in TikTok? Johnston shares his doubts: "The feasibility of a meaningful U.S. sovereign wealth fund with the assets to make investments of this nature is questionable. There is no identifiable funding source for a sovereign wealth fund since the U.S. does not run the budget surpluses or control natural energy resources typically used for these funds. Moreover, the executive order itself acknowledges that Congressional action may be required to establish such a fund. The challenges facing a swift establishment of a sovereign wealth fund are significant."The timing, according to Johnston, also presents additional complications. "Treasury Secretary Bessent outlined a twelve-month timeframe for the creation of a sovereign wealth fund, which is well outside of the timeframe needed to resolve the TikTok ownership situation before President Trump's current executive order expires and well beyond the 90-day extension right available to the President under the law," Johnston notes.He also warns of significant constitutional concerns: "On top of that, an ownership stake in TikTok by the U.S. only enhances the potential First Amendment concerns relating to TikTok. As much as many politicians complain about the First Amendment implications of content moderation by social media platforms, those platforms are private businesses and have much wider latitude to monitor and control the content on their platforms. The federal government doesn't have that latitude. Even the algorithm that serves videos itself could be subject to First Amendment challenge to the extent it favors certain viewpoints."The FutureUltimately, the potential ramifications of these developments extend beyond TikTok. The existing legislation, for example, includes mechanisms for designating additional platforms as Foreign Adversary Controlled Applications, potentially affecting other Chinese apps. Johnston points to ByteDance's other applications, such as Lemon8, which already face U.S. restrictions."While the immediate focus remains on TikTok's social media platform, similar regulatory challenges are emerging in other technology sectors. The emergence of AI tools adds another dimension. "The announcements regarding the AI tool DeepSeek may create a similar tension within the federal government over the manipulation of information by an adversary, the protection of data regarding U.S. citizens and the protection of a vital U.S. industry just beginning to take off," Johnston observes."As the technology industry navigates this uncertain terrain, the resolution of TikTok's status could establish crucial precedents for how American companies engage with foreign technology firms. And for U.S. tech giants, the decisions made during this period could shape their regulatory relationships and market positions for years to come. Representatives from Oracle, Apple, Google and TikTok were contacted for comment but had not responded by the time of publication.