If China-based ByteDance does not sell TikTok by January 19, TikTok could be banned in the United States.
Lawyers for the social media app on Friday (January 10) sought to persuade the U.S. Supreme Court to strike down or temporarily block a law that could have barred TikTok from the market if it was not stripped away over national security concerns.
A Supreme Court decision is expected this week, but as the divestment or ban deadline approaches, one of the app’s potential saviors in the United States has now been identified as a tech billionaire Musk.
According to reports, from Burundi Sources were quoted as saying on Monday (January 13) that “Chinese officials are evaluating a potential option for Musk to acquire the U.S. business of the TikTok app if it is banned.”
Burundi It added that “it is unclear whether there have been any talks between the billionaire, TikTok and ByteDance.”
Response to the media after the article was published Bloomberg’s According to the report, a TikTok spokesperson said: “We cannot be expected to comment on matters that are purely fictional.”
TikTok’s parent company has previously said it has no intention of selling the app, but TikTok reports Burundiciting sources, If the company fails in its appeal to the Supreme Court, Chinese officials “view Musk’s acquisition as the next best option.”
However, the news outlet also noted that “there is no indication that Tesla and SpaceX CEOs are keen on acquiring the app.”
Musk is also the owner of social media platform $44 billion 2022.
Bloomberg’s There are reports that Musk may become a potential suitor for TikTok’s U.S. business due to his close business relationship with China.
The Chinese government owns a 1% stake in TikTok parent company ByteDance, a so-called “golden stock.”
Musk is also a close ally of President-elect Donald Trump, whose inauguration is set to take place on January 20 (the day after divestment or ban laws are likely to take effect).
Trump supported the ban on TikTok during his previous term as president, and recently advocated against shutting down TikTok in the United States.
In December, his legal team asked the Supreme Court to extend the deadline beyond January 19 to reach a potential “political solution” to TikTok’s impending ban. The Justice Department rejected the request in a Jan. 3 filing, NBC reported.
The Protecting Americans from Apps Controlled by Foreign Adversaries Act, which takes effect on January 19, targets apps owned by companies deemed by the United States to be a security threat.
TikTok has been highlighted as a major focus of the law, with U.S. lawmakers warning the platform could share sensitive user data with the Chinese government or influence content Americans consume.
TikTok denies these claims. If the Supreme Court upholds the law and ByteDance does not sell TikTok, US app stores will be required to remove the app and no longer allow updates starting January 19.
U.S. lawmakers last month warned Google and Apple that they must prepare to remove TikTok from app stores by January 19, 2025, if its China-based parent company ByteDance doesn’t sell it by that date .
While existing users may still use the app for a while, it may eventually become unavailable in the market.
Last week, another American billionaire, Frank McCourt, Through Project Liberty, it officially issued an ambitious acquisition offer for TikTok’s U.S. business. Relaunching the platform on a “new digital infrastructure made in the United States.”
Project Liberty said on Thursday (January 9) that it has the “financial capacity to complete the transaction”, including “expressions of interest in sufficient equity capital from investors including major private equity funds, family offices and high net worth individuals”. The company said it could also obtain debt financing from “one of the largest banks in the world.” USA”.
McCourt’s Project Liberty also said it had “extensive support from leading legal and financial advisors with extensive experience in completing complex, high-risk transactions quickly”.
“We have submitted a proposal to ByteDance to realize Project Liberty’s reimagined TikTok vision—one built on a stack of human-centered technology made in the United States,” said Frank McCourtfounder of the Freedom Project.
“By keeping the platform alive and avoiding a ban without relying on the current TikTok algorithm, millions of Americans can continue to enjoy the platform. We look forward to working with ByteDance, President-elect Trump, and the incoming administration to Complete the deal.global music business
