Ho Chi Minh Times

Wednesday, Jan 15, 2025

Beijing Considers Elon Musk as Potential Buyer for TikTok’s U.S. Operations

Contingency plans emerge as TikTok faces possible U.S. ban
Chinese officials are reportedly evaluating a potential sale of TikTok’s U.S. operations to billionaire Elon Musk if the platform fails to overturn a looming ban in the United States, sources told *Bloomberg*. Beijing prefers TikTok to remain under parent company ByteDance but is preparing for various outcomes as the U.S. Supreme Court signals it may uphold legislation requiring TikTok to divest its U.S. assets.

One scenario involves Musk’s company, X (formerly Twitter), taking over TikTok’s U.S. operations, potentially integrating it with his social media platform. With TikTok’s 170 million American users, this move could boost X’s advertising revenue and support Musk’s artificial intelligence firm, xAI. However, no formal talks between Musk and ByteDance have been confirmed.

Valued between 40 and 50 billion U.S. dollars, TikTok’s U.S. business presents both legal and financial hurdles. The Chinese government would need to approve any sale, especially concerning TikTok’s proprietary algorithm. With the TikTok ban set to take effect on January 19, incoming President Donald Trump has expressed interest in delaying the decision to allow for negotiations.

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