TikTok US Operations Up for Grabs: Tech Giants and Investors Eye Bid
President Donald Trump has sparked a bidding war for the US operations of popular social media app TikTok, with several tech giants and investors expressing interest. The acquisition would resolve a potential ban imposed by Congress over national security concerns.
Possible Buyers Named by Trump
Trump has mentioned the following potential buyers for TikTok's US operations:
* Elon Musk: Owner of electric car company Tesla and space exploration firm SpaceX.
* Larry Ellison: Chairman of software giant Oracle.
* Microsoft: A tech giant with previous experience in acquiring social media platforms.
Other Contenders
Additional bidders who have publicly declared their interest include:
* Perplexity AI: An AI startup backed by Amazon founder Jeff Bezos and Nvidia.
* Frank McCourt: Founder of internet advocacy group Project Liberty and former owner of the LA Dodgers.
* Kevin O'Leary: Entrepreneur and investor known for his appearances on "Shark Tank."
* Jesse Tinsley and 'MrBeast' (Jimmy Donaldson): Founder of Employer.com and popular YouTube celebrity.
Government Involvement
The Chinese government will have a say in the sale process. Bloomberg and The Wall Street Journal report that officials have discussed selling the business to Elon Musk. Trump has expressed support for this option, stating that he would "be interested in" Musk's purchase.
Regulatory Hurdles
Antitrust experts predict that Musk could clear US regulatory hurdles, as TikTok and SpaceX have distinct user bases. Musk's close relationship with the incoming administration could also be a factor.
Oracle's Potential Role
Trump initially suggested that Oracle could play a role in the deal, but later denied any active discussions. NPR reported that the Trump administration was considering a plan to move control of TikTok to Oracle. However, Trump has since dismissed this notion.
Perplexity AI's Proposal
Perplexity AI has submitted a proposal to merge with TikTok's US operations and give half-ownership to the US government after an IPO. The deal would exclude TikTok's proprietary algorithm.
Other Investors
Other investors who have expressed interest in TikTok include former US Treasury Secretary Steven Mnuchin, General Atlantic, Kohlberg Kravis Roberts, Sequoia Capital, and Susquehanna International Group.
Current Negotiations
No formal negotiations are known to be underway at this time. Trump has indicated that he expects a deal to be reached within 30 days.