TikTok Enters Negotiations for Survival in Canada - National Security vs. Creator Economy: Could the Canadian Model Become a Global Standard?

◆Prologue: An Unprecedented Scenario of "The App Stays, the Company Leaves"

On July 14, TikTok CEO Shou Zi Chew sent a letter requesting an "urgent meeting" with Foreign Minister Mélanie Joly, appealing for a reconsideration of the Canadian government's "wind-up order." The government did not ban the use of the app itself but ordered the closure of the Canadian entity, creating a peculiar situation where **"14 million users can continue using it, but 800 employees may lose their jobs."**Global NewsBillboard Canada

◆Chronology: Timeline from National Security Review to "Wind-up Order"

• February 2023: The federal government bans the use of TikTok on government-issued devices.

• September 2023: Initiation of a national security review under the Investment Canada Act (ICA).Wikipedia

• November 2024: Industry Minister François-Philippe Champagne announces a **"wind-up order"** for TikTok Technology Canada, citing "specific risks."iPoliticsThe Times

• July 2025: As the deadline for the order approaches, TikTok requests a judicial review in federal court while the CEO seeks direct negotiations with the government.AP NewsMusic Business Worldwide

◆Government's Standpoints

The Canadian government cites (1) the risk of Canadian user data being transferred to the Chinese headquarters, and (2) concerns about potential influence on "talent recruitment" and "public opinion formation" through employment and business activities in Canada. However, details remain undisclosed as they are considered national security secrets. Experts argue that merely withdrawing the corporation won't stop data flow.Social Media Today

◆TikTok's Counterarguments and Proposals

TikTok has proposed

1. strengthening audit systems (placing data access under third-party audit)

2. server separation and the "Canadian Data Ring-Fence" initiative

3. establishing a supervisory committee with former Canadian officials on the board
   as concessions. While emphasizing "time is running out," they highlight the impact on "employment and the creator economy."iPolitics

◆Reactions on Social Media: Beyond Approval and Disapproval to "Platform Wars"

1. Discussions on Reddit /r/AskCanada

• "The government just wants to control the narrative. Facebook is more dangerous." (User josiahpapaya)

• "Data mining is the same with Meta. Selective exclusion is a farce." (Dash_Rendar425)

• "Either ban everything or ban nothing." (MrRogersAE)RedditReddit

2. Voices of Creators (YouTube)

Popular creator @MapleDance states, "Over 70% of my monthly income, including business collaborations, comes through TikTok. The *'wind-up'* is a matter of life and death." The video comment section is flooded with posts like "Is Instagram Reels the next destination?"

3. X (formerly Twitter) Trends

On the night of the 14th, the hashtag #KeepTikTokCanada became the top trend, with #DataSecurityFirst also emerging as a counterpoint. IT policy researcher Tammy Lee criticized that the debate is confined to a "freedom vs. security" dichotomy. *Note: Some posts are not quoted due to public API restrictions.*

◆Impact on Advertising and Music Industries

According to the music business magazine Music Business Worldwide, TikTok-related advertising spending in Canada is estimated at about 300 million Canadian dollars in 2024. The Independent Label Association estimates that the marketing ROI for short-form music will be halved. Marketers are considering alternatives like YouTube Shorts and Snap, lamenting that "achieving the same reach will cost twice as much."Music Business Worldwide

◆International Comparison: U.S. and EU Developments

• United States: In 2024, the "Protecting Americans from Foreign Adversary Controlled Applications Act" was enacted, demanding ByteDance to either sell or face a ban. The legal battle continues.

• European Union: While general use is permitted, the European Commission excludes it from work devices. The possibility of fines for GDPR violations remains. As international opinion diverges, Canada's "corporate dissolution" model might become a new template.The Logic

◆Future Scenarios

◆Conclusion

The focus of these negotiations is whether a "third way" can be found to balance national security and the digital economy. The "Canada withdrawal issue" for TikTok goes beyond the survival of a single company, drawing global attention as a beta test for platform regulation. How to design the future of creative industries and the information space of democratic societies—the answer is yet to be found.