Beijing weighs selling US TikTok to Musk amid tensions
The authorities in Beijing are considering possibly selling the American segment of TikTok to Elon Musk. Such a move could ease technological tensions between the USA and China. ByteDance, the owner of TikTok, faces a challenge following signals from the US Supreme Court that may uphold the ban on the app's operations in the USA.
Musk, known for his investments in Donald Trump's campaign, is seen as a potential buyer. His experience in China and positive reputation with ByteDance make him a credible candidate. The platform X, formerly Twitter, could acquire the American TikTok, which would benefit both services.
TikTok, the popular social media app, is facing the threat of disappearing from the US market unless its owner, ByteDance, agrees to sell it. President Biden's administration has expressed concerns over national security, pointing to potential Chinese influence on user data.
The law concerning the sale of TikTok is controversial due to potential violations of free speech.
The American segment of TikTok is valued at $40-50 billion. Musk, who is paying off debts after purchasing Twitter, would need to find a way to finance the transaction. Beijing influences TikTok's future through a "golden share" in ByteDance and export regulations.
Ban on TikTok in the USA? Trump is considering this option
Donald Trump, the president-elect, expressed a willingness to reconsider the ban on TikTok, which could affect the final decision regarding the app's future in the USA. Despite young voters' support for TikTok, an appeals court found the ban constitutional if the app remains under Chinese management. ByteDance is preparing to appeal to the Supreme Court.
Other scenarios include a competitive sale process involving other investors or transferring users to a new app. ByteDance continues the legal battle, which remains a priority for the company. Musk opposed the ban on TikTok, arguing that it would violate free speech.
The debate over TikTok's future is taking place in government circles and among its many users. Critics of the bill note that shutting down the platform threatens millions who use TikTok as a tool for work, entertainment, and communication. Sources of income for many content creators could also disappear.
Chinese Ministry of Foreign Affairs refuses to comment
ByteDance describes reports of a sale as "pure fiction," and the Chinese Ministry of Foreign Affairs refuses to comment. The impending deadline for the ban on January 19, and Trump taking office on January 20, create pressure for a quick resolution.
Despite security concerns, TikTok remains extremely popular in the USA, with 170 million users. The risk of control by the Chinese government remains a key argument for the president's administration to act.
The situation is dynamic, and its development largely depends on court decisions and Donald Trump's stance after taking office on January 20.
