CEO, TikTok (global), TikTok (ByteDance Ltd.)
The Bipartisan Grilling of TikTok CEO Shou Zi Chew | WSJ Opinion
Nearly half the U.S. population uses TikTok, and CEO Shou Zi Chew's testimony before Congress on Mar. 23, 2023, did little to ...
About Shou Chew
On March 23, 2023, TikTok CEO Shou Chew testified before the U.S. House Energy and Commerce Committee, where he faced bipartisan questioning regarding TikTok’s data security, user privacy, and potential national security threats. During the hearing, Chew confirmed that Chinese engineers employed by ByteDance have access to global data, although he stated that user data storage is located in Virginia and Singapore. He also said that TikTok does not sell user data to data brokers or any third parties, but when asked to commit to not selling data at all, he said he could not immediately provide an answer without further consideration. Chew further argued that the ownership structure of TikTok is not the central issue, asserting that American social media companies have not had a strong record on data privacy and security, citing the Facebook–Cambridge Analytica scandal as an example. He expressed support for data protection rules and highlighted Project Texas, an initiative aimed at safeguarding U.S. user data through third-party monitoring and firewalls against foreign access. The hearing followed Chew’s outreach to TikTok users via the platform, where he encouraged them to share what they value about the app with their elected representatives.
Transcript (41 segments)
C
Cathy McMorris Rodgers0:00
Mr. Chu, welcome to the most bipartisan Committee in Congress. Thank you, Mr. Chu, for bringing Republicans and Democrats together in a rare display of unity.
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Reporter0:08
Republicans and Democrats have given TikTok CEO Shou Chew a fiery grilling over whether the social media app is a threat to the American way of life.
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Congress Member0:18
We may not always agree on how to get there, but we care about our national security, we care about our economy, and we sure as heck care about our children.
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Reporter0:27
In the run-up to the hearing, Mr. Chu was already reaching out to TikTok users.
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Shou Chew0:31
Some politicians have started talking about banning TikTok. Let me know in the comments what you want your elected representatives to know about what you love about TikTok.
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Reporter0:42
52 members of the House Energy and Commerce Committee questioned the TikTok CEO, and while proceedings were overshadowed by grandstanding, there were some moments of clarity.
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Congress Member0:51
Do you own shares in ByteDance?
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Shou Chew0:53
Yes, I do.
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Reporter0:57
150 million people use TikTok here in the US, and the app is facing growing bipartisan calls for a nationwide ban over issues ranging from data security to privacy to user safety.
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Congress Member1:07
Your algorithm can promote suicide, self-harm, and eating disorders to children.
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Reporter1:14
Over time, we've heard numerous examples of unpleasant content that children find themselves susceptible to on TikTok. Among the other videos played during the hearing was one posted just 41 days earlier that included the hashtag Kathy McMorris Rodgers.
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Congress Member1:36
That you are capable of maintaining the data security, privacy, and security of 150 million Americans, where you can't even protect the people in this room.
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Reporter1:44
Following a recess—during which they were briefed that the video had been taken down—proceedings repeatedly turned to the company's ties with the Chinese Communist Party, not least regarding concerns over controlling interest and access to data.
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Congress Member1:58
Over 300 TikTok employees have worked for China's state-run propaganda media. That's just from looking at their LinkedIn profiles.
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Reporter2:04
Most of the time, Mr. Chu was consistent with his answers, albeit seldom answering yes or no.
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Shou Chew2:09
I have seen no evidence that the Chinese government has access to that data.
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Reporter2:16
Until, that is, Mr. Walberg got a different response—one which members of Congress repeatedly returned to today.
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Tim Walberg2:24
Do ByteDance employees in Beijing have access to American data?
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Shou Chew2:27
Congressman, we have been very open about this. We have relied on global interoperability.
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Tim Walberg2:33
You have access to American data.
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Shou Chew2:34
Congressman, I'm answering your question. If you give me just a bit of time—we rely on global interoperability, and we have employees in China. So yes, the Chinese engineers do have access to global data. They have access to global data.
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Reporter2:46
We have heard [Chew say]: 'No, storage has always been in Virginia and Singapore.' The point being, if Chinese engineers have access to the data, as Mr. Chu confirmed, who's to say that someone's not storing it? I mean, it's hardly off limits to the Chinese government.
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Congress Member3:02
Would you commit to not selling the data you collect?
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Shou Chew3:04
Congressman, I believe we don't sell data to any data brokers.
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Congress Member3:10
You don't sell to anyone?
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Shou Chew3:12
We don't sell data to data brokers.
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Congress Member3:14
I didn't ask you about data brokerage. You sell it to anyone? In other words, under our bill, you can only use the data for your own purposes, not to sell it to anyone. Would you commit to not selling your data to anyone?
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Shou Chew3:24
Congressman, I actually am in support of some rules.
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Congress Member3:29
I didn't ask you—I asked you whether the company TikTok would commit to not selling its data to anyone and just using it for its own purposes internally.
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Shou Chew3:36
I can get back to you on the details.
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Congress Member3:39
Okay, get back to me.
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Reporter3:41
Mr. Chu repeatedly came back to a one-and-a-half-billion-dollar initiative called Project Texas, which would route all US user data to domestic servers owned by software giant Oracle. And at one point, he even called out American social media companies.
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Congress Member3:59
Mr. Chu, would TikTok be prepared to divest from ByteDance and Chinese Communist Party ties if the Department of Treasury instructed you all to do so?
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Shou Chew4:09
Congressman, I said in my opening statement—I think we need to address the problem of privacy. I agree with you. I don't think ownership is the issue here. With a lot of respect, American social companies don't have a good record with data privacy and user security. I mean, look at Facebook and Cambridge Analytica—just one example.
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Reporter4:26
It was a fair point in reference to the non-consensual collection of personal data belonging to millions of Facebook users by Cambridge Analytica and others, which came to light in 2018.
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Shou Chew4:36
So I do think that, you know, it is not about the ownership. It is a lot about making sure—we have Project Texas, making sure that we're protecting and firewalling US user data from unauthorized foreign access, giving third parties the ability to come in and have a look at this, and making sure that everybody is comfortable. We're providing transparency and third-party monitoring, and that's what we're doing for Project Texas.
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Reporter4:58
The day after the hearing, Chinese state TV was urging the US to cease what it calls unreasonable suppression of foreign enterprise. That said, TikTok also has its defenders on Capitol Hill.
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Congress Member5:12
Let's not be racist towards China and express our xenophobia when it comes to TikTok.
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Reporter5:18
Mr. Crenshaw closed his five minutes of questioning time with a message to teenagers and TikTok influencers.
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Dan Crenshaw5:26
You may not care that your data is being accessed now, but it will be one day when you do care about it. The long-term goal of the Chinese Communist Party is the demise of American power, and that starts with our youth.
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Reporter5:37
Mr. Chu, do you think you changed any minds today?