Vinod Khosla calls on Senate to pass bill

Vinod Khosla and Jacob Helberg penned an open letter Thursday calling on senators to pass a bill that would force the divestiture of Bytedance-owned TikTok in the U.S. Describing the social media platform as “a weapon of war,” Helberg and Khosla compared the bill with decades-old restrictions on foreign ownership of U.S. media outlets. Some critics have compared the ban to a bill of attainder, given it singles out one company. In an interview with CNBC, Helberg said the comparison did not apply. The bill, which was overwhelmingly passed by the House in March, would demand that Bytedance either find a buyer for TikTok or else face a ban in the U.S. Bytedance mobilized its user base to oppose the House bill, urging its millions of users to call their congressional representatives and voice their opposition. The in-app notifications prompted a flood of phone calls that overwhelmed some congressional offices. TikTok CEO Shou Zi Chew has also been lobbying D.C. lawmakers against a ban. While the letter was addressed to all senators, Helberg said that he hoped in particular that Sens. Chuck Schumer and Maria Cantwell would take notice. Schumer is Senate majority leader and Cantwell is the chair of the Senate Commerce Committee. TikTok has seemingly received apparent support from an unexpected source: former President Donald Trump. One week after Trump indicated he was opposed to a TikTok ban, saying it would give too much advantage to Meta, which owns Instagram. Helberg said that he didn’t think Trump was fully opposed to Khosla and his efforts. Nonetheless, Trump’s commentary, paired with opposition from China’s Foreign Ministry, has raised questions about whether a divestiture is even feasible. Top investors, including former Treasury Secretary Steven Mnuchin and former Activision Blizzard CEO Bobby Kotick, are among those circling the app, which would likely carry a price in the tens of billions of dollars. When asked what the odds between a divestiture and a ban would be, Helberg demurred. TikTok did not immediately respond to a request for comment.

Investor Vinod Khosla and Palantir advisor Jacob Helberg wrote an open letter urging senators to pass a bill that would force the divestiture of Bytedance-owned TikTok in the U.S., calling the platform “a weapon of war.” The bill would require Bytedance to find a buyer for TikTok or face a ban. Bytedance mobilized users to oppose the bill, prompting concerns about the platform’s influence. Both Khosla and Helberg are deeply involved in efforts to combat Chinese government influence and TikTok in the U.S. TikTok CEO Shou Zi Chew has lobbied against a ban, meeting with lawmakers in D.C. Former President Donald Trump has also expressed opposition to a TikTok ban, raising questions about the feasibility of a divestiture. Top investors are considering acquiring the app, but the outcome remains uncertain.

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