Ticker: Supreme Court to hear TikTok dispute; Honda, Nissan in talks, deny merger
The Supreme Court agreed on Wednesday to hear the dispute over the law requiring social media giant TikTok Inc. to divest its American subsidiary by Jan. 19, 2025, or face a ban in the United States.
The brief order set oral arguments in the case for Jan. 10, days before the law’s deadline. TikTok argues that the law places unconstitutional restrictions on the company that aren’t justified by arguments that its China-based owner, Bytedance Ltd., makes it vulnerable to foreign manipulation.
Wednesday’s unsigned order sets up a single issue for the justices to decide: whether the divestiture law passed by Congress violates the First Amendment rights of the company and its users.
The order also set up a briefing schedule for the case, with both sides’ main briefs due on Dec. 27 and reply briefs due on Jan. 3, ahead of the two-hour court showdown on Jan. 10.
The order comes days after Tiktok and its users asked the justices to pause a decision from the U.S. Court of Appeals for the D.C. Circuit earlier this month upholding the law. The three-judge appellate panel ruled that the law was justified to protect U.S. interests in preventing interference from a foreign power.
Honda, Nissan in talks, deny merger
Japanese automakers Nissan Motor Corp. and Honda Motor Co. confirmed Wednesday that they are discussing closer collaboration but denied reports they have decided on a merger.
Nissan’s share price soared nearly 24% in Tokyo after reports citing unnamed sources said it might merge with Honda to form the world’s third-largest automaking group. Honda’s share price fell as much as 3%. Nissan alliance member Mitsubishi Motors Corp. is also part of the talks.
A merger could result in a behemoth worth about $55 billion based on the market capitalization of all three automakers.