Elon Musk could acquire US operations of TikTok under new deal proposed by Chinese officials

There is uncertainty surrounding the future of TikTok in the US, with a new proposal arising that involves Chinese officials and puts Elon Musk in the spotlight once more.

Under this bold plan, Musk would step in to acquire TikTok’s US operations if the app fails to prevent a potential ban that could be implemented on the final day of Joe Biden’s presidency.

Beyond the immediate implications on politics and the economy, this proposed deal could have far-reaching effects on the dynamics between China and the United States.

For ByteDance Ltd, TikTok’s parent company, the stakes could not be higher as it desperately fights the ban with an appeal to the US Supreme Court. 

But after oral arguments on January 10, the justices appear poised to uphold the legislation. 

TikTok’s legal team has argued that banning the app violates American’s First Amendment’s free speech protections. However, national security concerns, underscored by the Supreme Court justices, may outweigh those arguments. 

The grim outlook for TikTok has spurred Beijing officials to explore alternative options, including the involvement of Musk, who may be uniquely positioned to bridge the divide between the world’s two largest economies.

‘Senior Chinese officials had already begun to debate contingency plans for TikTok,’ sources familiar with the matter told Bloomberg. 

A new proposal has emerged in a deal put together by Chinese officials thrusting Elon Musk into the spotlight once again that would see Musk acquire TikTok's US operations

A new proposal has emerged in a deal put together by Chinese officials thrusting Elon Musk into the spotlight once again that would see Musk acquire TikTok’s US operations

For ByteDance Ltd, TikTok's parent company, the stakes could not be higher as it desperately fights the ban with an appeal to the US Supreme Court

For ByteDance Ltd, TikTok’s parent company, the stakes could not be higher as it desperately fights the ban with an appeal to the US Supreme Court 

One intriguing possibility involves Musk’s company, X (formerly Twitter), taking control of TikTok’s US operations. 

With more than 170 million users, TikTok would provide Musk’s platform with a massive user base and a treasure trove of data – and the perfect complement to his burgeoning AI enterprise, xAI. 

Such a move could help X attract advertisers while solidifying Musk’s influence across social media, artificial intelligence, and global trade.

Musk’s ties to Trump’s administration adds another layer of intrigue to the potential deal. 

Having donated more than $250 million to Trump’s re-election campaign, Musk is seen as a trusted ally by the incoming administration. 

It’s not clear how much ByteDance knows about the Chinese government discussions or whether TikTok and Musk have been involved. It’s also unclear whether Musk, TikTok and ByteDance have held any talks about the terms of any possible deal, Bloomberg reports. 

Trump’s plan to delay TikTok’s ban until he assumes office on January 20 suggests Musk’s potential acquisition could be a strategic point of negotiation between Washington and Beijing.

Trump, who has 14.7 million followers on TikTok, also has called for the deadline to be pushed back to give him time to negotiate a ‘political resolution.’

Despite his alignment with Trump, Musk has publicly opposed banning TikTok

Despite his alignment with Trump, Musk has publicly opposed banning TikTok

Sarah Baus and Tiffany Cianci, who say they area a 'long-form educational content creator,' livestream to TikTok outside the Supreme Court on Friday in Washington by the Supreme Court

Sarah Baus and Tiffany Cianci, who say they area a ‘long-form educational content creator,’ livestream to TikTok outside the Supreme Court on Friday in Washington by the Supreme Court

If the ban is left in place, the law passed by bipartisan majorities in Congress and signed by President Joe Biden in April will require TikTok to ‘go dark’ on January 19. 

The justices are expected to act within days, almost certainly ahead of Sunday’s deadline.

Content creators and small business owners who rely on the app are awaiting a decision with anxiety.

Despite his alignment with Trump, Musk has publicly opposed banning TikTok. 

In April, he tweeted, ‘In my opinion, TikTok should not be banned in the USA, even though such a ban may benefit the X platform. Doing so would be contrary to freedom of speech and expression. It is not what America stands for.’

The Chinese government’s ‘golden share’ in a ByteDance affiliate gives it significant influence over TikTok’s fate. 

Export rules, particularly those concerning software algorithms, further complicate any potential sale. 

ByteDance’s algorithm, which powers TikTok’s recommendation engine, is a crown jewel Beijing is unlikely to relinquish easily.

The government’s approval would be crucial for any deal, particularly one involving a high-profile figure like Musk.

Content creators and small business owners who rely on the app are awaiting a decision about the ban with anxiety

Content creators and small business owners who rely on the app are awaiting a decision about the ban with anxiety

Having donated more than $250 million to Trump's re-election campaign, Musk is seen as a trusted ally by the incoming administration

Having donated more than $250 million to Trump’s re-election campaign, Musk is seen as a trusted ally by the incoming administration

TikTok’s US operations could fetch a staggering $40 billion to $50 billion, according to Bloomberg Intelligence analysts. 

While Musk’s wealth is vast with him said to be worth $420 billion, such a deal would likely necessitate significant financial maneuvering. 

Complicating matters, other high-profile bidders, including billionaire Frank McCourt and Shark Tank investor Kevin O’Leary, are reportedly pursuing TikTok through a venture called Project Liberty.

Microsoft and Oracle, previous contenders for TikTok’s US business, also remain in the mix. 

Whether a competitive bidding process will ensue or a government-mandated sale will be arranged remains uncertain.

Even if Musk emerges as the frontrunner, the logistical complexity of spinning off TikTok’s US operations cannot be overstated. 

Lawyers for TikTok have argued that such a move would be ‘extraordinarily difficult,’ affecting shareholders and operational structures on both sides of the Pacific.

Beijing’s willingness to entertain Musk’s involvement highlights the broader geopolitical stakes. 

The TikTok negotiations could become a key bargaining chip as China braces for tough talks with Trump’s administration over tariffs and export controls. 

With Musk’s history of working with Chinese officials through Tesla’s operations in Shanghai, he could seen as a pragmatic choice.

If TikTok isn´t sold to an approved buyer, the federal law would prohibit app stores, such as those operated by Apple and Google, from offering the popular app. It would also bar internet hosting services from hosting TikTok.

TikTok users who already have the app on their phones will continue to have access to it. 

But new users won’t be able to download the app, and existing ones will no longer be able to receive updates. 

That will eventually render the app unworkable, the Justice Department has said in court filings. 

U.S. officials argue that the vast amounts of user data that TikTok collects, including sensitive information on viewing habits, could fall into the hands of the Chinese government through coercion. 

They also are concerned that the proprietary algorithm that fuels what users see on the app is vulnerable to manipulation by Chinese authorities, who could pressure ByteDance to shape content on the platform in a way that´s difficult to detect.

TikTok, which sued the government last year over the law, has long denied it could be used as a tool of Beijing.

You May Also Like
PHOTO GALLERY: Pope Francis' Funeral

Collection of Images: The Burial of Pope Francis

<!–> –> Published April 26, 2025 9:08am EDT Image 1 of 14…
Hoisted With Their Own Petard: Minority Janitors at Columbia Sue Pro-Hamas Mob That Held Them Hostage

Minority Janitors at Columbia University File Lawsuit Against Pro-Hamas Mob for Holding Them Hostage

It’s quite surprising. The group supporting Hamas, which caused chaos and violence…
Chicago fire captain killed in line of duty after garage collapses following early morning inferno

A man faces murder charges for causing a fire that resulted in the death of a Chicago fire captain.

A man accused of setting a fire that killed Chicago Fire Department…
Shedeur Sanders' long wait ends when Cleveland Browns take him in 5th round of NFL draft

Shedeur Sanders gets picked by Cleveland Browns in 5th round of NFL draft, finally ending his long wait

GREEN BAY, Wis. — Shedeur Sanders’ wait finally has ended. The Cleveland…
Illegal migrant arrested for theft of ICE Barbie Kristi Noem's $3k Gucci purse during DC dinner

Unlawful immigrant taken into custody for stealing ICE Barbie Kristi Noem’s $3k Gucci handbag while dining in DC

Police in Washington DC have arrested an illegal immigrant in connection with…
Here's why a flare-up between India and Pakistan over Kashmir matters

Why the Kashmir conflict is significant for India and Pakistan

India and Pakistan have escalated their tensions over the disputed Kashmir region…
‘The Sopranos’ Creator Was Unsure James Gandolfini Would Be “Threatening Enough” For Tony Soprano Role

The creator of ‘The Sopranos’ doubted if James Gandolfini could portray a sufficiently intimidating Tony Soprano.

David Chase, the creator of The Sopranos, shared insights into the casting…
Child abduction survivor Elizabeth Smart warns of 'terrifying territory' for today's kids

Elizabeth Smart, a child abduction survivor, cautions about the dangerous situations kids might face today

Elizabeth Smart was 14 years old when she was kidnapped at knifepoint…
Pope Francis’ last words revealed as Vatican describes his final hours

Expert Says Conclave Differs Significantly from US Elections with Unpredictable Outcomes

With the world bidding farewell to Pope Francis, individuals all over, including…
Boca Bash roars back as Florida's wildest floating party

Florida’s Craziest Floating Party, Boca Bash, Returns with a Bang

About 6,000 to 10,000 revelers gather in their boats on a lake…
What’s This? A Journalist Admitting the MSM Completely Fumbled on the Biden Mental Decline Story?

A journalist acknowledges that the mainstream media failed to cover the Biden mental decline story effectively.

Axios reporter Alex Thompson publicly criticized his fellow media professionals for failing…
Trump devotee seizes on Virginia Giuffre car crash as she questions claim Epstein victim died by suicide

Supporter of Trump focuses on Virginia Giuffre’s car accident while investigating the theory that Jeffrey Epstein’s alleged victim died by suicide

The assertion that Virginia Giuffre, an Epstein accuser, committed suicide has been…