President Donald Trump is in the middle of a chaotic race to secure the future of TikTok in America. Speaking aboard Air Force One en route to Florida on Jan. 25, Trump confirmed that multiple discussions are taking place with “substantial people” about buying TikTok’s U.S. operations. The President said a decision would likely be made within the next 30 days, though Congress has provided a 90-day window to finalize any deal. The White House is reportedly looking to resolve national security concerns tied to its Chinese parent company, ByteDance. Trump said last week that there is “great interest” in TikTok, adding, “If we can save it, I think it would be a good thing.” Oracle enters the spotlight in TikTok negotiations A Jan. 26 report from NPR says the Trump administration is considering a deal involving Oracle and a group of investors. ByteDance would retain a stake in the company, but Oracle would oversee important aspects like data collection and software updates to address security concerns. Oracle has a history with TikTok as it currently provides the app’s web infrastructure in the United States. The deal under discussion would extend Oracle’s role, making it responsible for safeguarding U.S. user data. But Trump has clarified that he has not personally spoken to Oracle co-founder Larry Ellison, even though Ellison is a close friend of his. National Public Radio (NPR) reported that meetings between Oracle and White House officials have already taken place, with more discussions scheduled for next week. Oracle’s potential stake in TikTok could run into the “tens of billions” of dollars, according to the report. Big names compete for TikTok While Oracle is in the running, the list of potential buyers is packed with big names and deep pockets. Elon Musk has been floated as a possible contender, with some people even thinking the Chinese government might favor him as a buyer. Bloomberg reported on Jan. 23rd that Beijing sees Elon’s business ties and relationship with Trump as assets. Notably, Elon himself hasn’t publicly spoken about it, and he talks about quite literally everything on his X (formerly Twitter), like wanting to “bring back Vine.” Billionaire Frank McCourt, founder of Project Liberty, has also thrown his hat into the ring with a $20 billion cash offer. His proposal includes running TikTok on a decentralized social networking protocol overseen by the Project Liberty Institute. Meanwhile, YouTube sensation Jimmy Donaldson, known as MrBeast, has also expressed his interest in acquiring TikTok, even joking in a video that he might become its CEO. That bit is still running by the way, seeing as his TikTok bio still says “New CEO of TikTok?” And the financial stakes are huge. Analysts estimate TikTok’s valuation at $40 billion to $80 billion, meaning only the wealthiest players can afford to enter the bidding war. ByteDance’s current U.S. investors—General Atlantic, Sequoia Capital, Kohlberg Kravis Roberts (KKR), and Susquehanna International Group—are expected to play a huge role in funding the deal, per a Jan. 26 report from CNBC. Perplexity changes its proposal The negotiations have also brought forward creative proposals. Perplexity AI recently revised a merger plan involving ByteDance and TikTok’s U.S. assets. The proposal, which CNBC claims to have reviewed, outlines the creation of a new U.S. holding company, “NewCo,” with ByteDance contributing TikTok’s U.S. operations—excluding its recommendation algorithm. In this structure, the U.S. government could own up to 50% of NewCo after a future IPO. Funding for the deal would come from new third-party capital providers, and ByteDance investors would receive equity in the new entity. The proposal also includes a one-time dividend payment to ByteDance investors, simplifying governance and providing capital to help NewCo grow. But the Perplexity proposal faces a long road to completion. Trump, meanwhile, has temporarily restored TikTok’s operations in the U.S. as negotiations happen. ByteDance CEO Shou Zi Chew made a TikTok video the day he restored, saying, “I want to thank President Trump for his commitment to work with us to find a solution that keeps TikTok available in the United States.” Cryptopolitan Academy: Are You Making These Web3 Resume Mistakes? - Find Out Here
