Does TikTok have a US buyer? Trump advises on new bid which could give government 50% stake
Does TikTok have a US buyer? Trump advises on new bid which could give government 50% stake
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The future of TikTok is still up in the air despite Trump’s intervention last week. A company interested in aquiring TikTok has submitted a second proposal after feedback from the Trump administration. The proposal, submitted last week, is a revision of a prior plan the artificial intelligence startup had presented to TikTok's parent ByteDance on Jan. 18, a day before the law that bans TikTok went into effect.
![[TikTok went dark for a couple of hours in the U.S last week - before thanking Trump for helping it return.]](https://static.independent.co.uk/2025/01/22/20/WISCONSIN-TIKTOK-INCENDIO_49463.jpg)
The first proposal, which ByteDance hasn't responded to, sought to create a new structure that would merge San Francisco-based Perplexity with TikTok's U.S. business and include investments from other investors. The new proposal would allow the U.S. government to own up to half of that new structure once it makes an initial public offering of at least $300 billion, said the person, who was not authorized to speak about the proposal. The person said Perplexity's proposal was revised based off of feedback from the Trump administration.
If the plan is successful, the shares owned by the government would not have voting power, the person said. The government also would not get a seat on the new company's board. ByteDance and TikTok did not immediately responded to a request for comment.
Under the plan, ByteDance would not have to completely cut ties with TikTok, a favorable outcome for its investors. But it would have to allow a "full U.S. board control," the person said. Under the proposal, the China-based tech company would contribute TikTok's U.S. business without the proprietary algorithm that fuels what users see on the app, according to a document seen by the Associated Press.
