IMO Pandora's box is now open, and it's a matter of time before we see countries around the world offer the same divest-or-ban choice to Meta, Google, etc. The question is who first and how quickly it will happen.
Facebook and Google are already banned or blocked in multiple countries.
You raise a good point. Let me step back and say that previously it's mostly authoritarian countries doing it and this type of censorship is generally unacceptable in Western societies, that the US is fundamentally different from China in the freedoms they allow.
Today we are shown that the US government can't tolerate a single non-American service becoming mainstream after all. I fear this will become the norm and in a couple years' time, all countries will block all foreign internet services by default, only homegrown apps will exist. Think Canada, France, the UK each having their own versions of Google, Instagram, Reddit, everything.
I don't think that's right. It's specifically about China, an adversary we are teetering on the brink of open conflict with. If ByteDance was a south Korean company, I don't think this would have happened.