Preliminary Talks on TikTok Sale to Elon Musk Reported by Chinese Officials
Chinese officials have reportedly initiated discussions regarding the sale of TikTok’s operations in the United States to billionaire Elon Musk, amid concerns over the app facing a potential ban. According to Bloomberg, discussions have included Musk possibly acting as a broker for a deal with ByteDance, TikTok's parent company.
While officials in Beijing prefer to keep TikTok under ByteDance's control, they are exploring alternatives due to increasing pressure from U.S. lawmakers concerned about potential Chinese influence through the app. In April, the U.S. House of Representatives passed a bill mandating ByteDance to sell TikTok or risk a complete ban, and a decision from the Supreme Court regarding this matter is expected by January 19.
TikTok has rapidly grown to become one of the largest social networks globally, boasting 170 million users in the U.S. However, its ascent has fueled political apprehensions, leading to legislative moves that could force a sale. A spokesperson for TikTok dismissed the reports of a potential sale to Musk as “pure fiction,” reiterating the company's stance against selling its U.S. operations.
If a sale were to occur, it could significantly enhance Musk's influence over the information ecosystem in America, following his acquisition of Twitter, now renaming it X. Any takeover of TikTok would likely undergo extensive scrutiny from U.S. competition regulators. Currently, it remains unclear if there has been any direct communication between Musk, TikTok, and ByteDance regarding a possible deal.
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