Transcript for TikTok and WeChat ban takes effect this weekend
And turn out to the may have decision by the child administration banning the popular social media apps tick tock and we'd chat from US app stores affected this Sunday. So what does that mean for you exactly our business correspondent Deirdre Bolton is here now to break it all down to Deirdre if you have to take top on your phone already. Are you impacted and what does this mean for is roughly 100 million users here in the US. Yeah 100 million users we cannot ignore that number part of the reason why the traffic administration is not ignoring it or cars Lindsay. So ray now if you already have that act honestly nothing happens to you until November 12. So you can still post all the short videos are viewed a short videos that make you laugh whether it's pets are recipes or comedy acts. So none of that changes until November 12 one caveat though it's an act. Is that if there is in update or somehow you receive. Just a props from the apt to change something you will not be able to make any changes mostly updates. As of Sunday now if you don't already have the ash. The Commerce Department said if you don't have it by midnight on Sunday you will not be able to download it. If you are living in the US Lindsay. Soon the tech industry Shannon made this move because if we can remember go back in time of creep pandemic. One of the big air focal points of the trump administration was a US and China and addressing with the trump administration. Consider truly an imbalance between the world's two largest economies. The trump administration felt that the US was never treated fairly if you might. Always felt that China got the upper hand you recall in 2018. The US essentially kicked off a trade war started imposing tariffs. China retaliated so there's just been growing tension between the two largest economies in the world. Since at least 2018. Questions of intellectual property accusations. That China steals a lot from US companies so this is really Ben a big team which puts pandemic in some respects we've sort of lost sight of if you like. But the main charge here from the Commerce Department against tick tock. Is that the owner of beit dance is Chinese. And the Commerce Department says and that's a security track. In other words maybe we all think it's simply because the short videos are fine and their lively and they're very much part of our social media scene. But for example I spoke with a one expert Mark Douglas and he's the CEO at steel house. He's attacking me a firm and he said yeah maybe it seems silly bad may be a senator's niece or nephew. Posted tock and if that information if that data lives somewhere else. In foreign sir Hearst perhaps that doesn't represent a serious security rests. As for tick tock comment museum just gonna read you right from their points here essentially saying that they are disappointed and they say that they have really been cooperating with the Commerce Department. However they are diplomatic in saying they hope a situation or rather a solution can be reached at says. Disappointed with the commerce department's decision saying it already had committed to unprecedented levels of additional transparency Lindsay. And of course is not just takes talent we chat will effectively be banned from the US on Sunday and not just new downloads of the app. Why does we chat being banned as well and what impact might that have on its users here in the US and in China. When we chat to a certain extent had a target on its back it is owned by Tencent which is issued urgent Chinese conglomerate some people here think of it sometimes like Amazon is 650. Billion dollar market cap if you look at the Hong Kong market it has everything it has cloud computing it has gaining it has entertainment. And it has this messaging service we'd chat and really people can you tons of things would that they can send the money they can order food they can chit chat. With friends who for a lot of people. Who are living in the U last with families in Asia this has been a life line. And as of Sunday midnight Lindsay they will not be able to send money to their families or received money from their families in China. Lindsey brown okay Deirdre Bolton thanks so much.
This transcript has been automatically generated and may not be 100% accurate.