If passed, the RESTRICT Act basically spells "game over" for all China tech companies in the US Not just: social media, ecommerce, networking equipment, drones But also: SaaS, cloud services, infra, even open source software
Section 5 (see screenshot 1) spells out all areas covered in this bill; the list is extremely comprehensive
Section 2 (see screenshot 2) defines the threshold that triggers scrutiny from Commerce or White House.
It's 1,000,000 US-based ANNUAL active users (not MAUs or DAUs). Very low and users don't have to be US citizens, just physically in the US when actively using For founders: it's time to start recognizing this reality and plan your overseas market expansion elsewhere to justify your valuation For VCs, especially those who offered a rich valuation on the assumption that US market is up for grabs: it's time to do a honest markdown of those deals RESTRICT Act has bipartisan Senate backing and White House support -- a version of it will become law sooner or later Burying your head in the sand, hoping the bill: 1. won't pass; 2. may get challenged in court; 3. will be poorly enforced by Commerce, only delays the inevitable
