"The blob"? Sigh. This isn't quite as ludicrous as Marc Andreesen claiming (as he did today in the Times) that his portfolio companies were being forced to hire Marxists, but it's an unhelpful phrase that seems to be "neoliberal" metastasized. Using the phrase uncritically like this will cause you to lose credibility, not just with me but with others here I think.
But anyway, back to the subject at hand: that is not actually the main concern. TikTok's data collection creates opportunity for blackmail. Someone uses the app for a while, and then they get nominated for a government position with a top secret clearance, and the background check doesn't reveal that the person, as a 22 year old, was briefly into squish porn. But China would know, and they could use the threat of revealing that to control the government employee. That's bad. In theory, an American company could do the same, but it's not remotely the same danger.
Moreover, they can even go after people who don't use tiktok. It can swipe contact information. So someone exchanges numbers with Jeffrey Epstein, and China knows. You can blackmail them with that information.
Same with extramarital affairs. Guy has a phone and uses it to communicate with his secret lover. Well, now China knows that's happening. Hmm. Blackmail could easily follow.
There's a lot of mischief that it can do, and I'm confident I'm just scratching the surface.