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TikTok Shop U.S. Hit by Third Round of Layoffs Amid Ongoing Uncertainty Over App’s Future

Jul 02, 2025, 10:39 p.m. ET

AsianFin -- TikTok has carried out a third round of layoffs for its U.S. e-commerce unit since April, Bloomberg reported, though the company has not disclosed how many positions were affected.

TikTok Shop, which launched in the U.S. less than two years ago, allows users to purchase products directly through the app while enabling creators to earn commissions from shoppable videos. Despite being TikTok’s fastest-growing business segment, the platform’s future in the U.S. remains in limbo.

U.S. President Donald Trump, who previously signed a law banning TikTok unless its parent company ByteDance divests the app to a U.S. buyer, has repeatedly delayed the enforcement deadline. Over the weekend, Trump revealed he may have found a prospective buyer—rumored to include high-profile venture capital investors.

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