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Microsoft is in talks to acquire TikTok, Trump claims

Jan 28, 2025 - theguardian.com
Donald Trump has indicated that Microsoft is in discussions to acquire TikTok and expressed interest in a competitive bidding process for the app. Previously, during his first term, Trump had mandated TikTok to separate its U.S. operations from ByteDance due to national security concerns, with Microsoft emerging as a potential buyer in 2020, though talks eventually fell through. Recently, TikTok faced a potential ban unless ByteDance sold its U.S. operations, but Trump delayed the enforcement of this law by 75 days after taking office again.

Trump mentioned ongoing discussions with various parties about TikTok's future, including the possibility of Elon Musk purchasing the app, though Musk has not commented on this. Additionally, AI startup Perplexity AI proposed a merger with TikTok, suggesting the U.S. government could receive up to half of the new entity. Microsoft CEO Satya Nadella previously described the TikTok acquisition talks as the "strangest thing" he had worked on, noting the U.S. government's specific requirements that eventually dissipated.

Key takeaways:

  • Donald Trump has suggested that Microsoft is in talks to acquire TikTok and expressed interest in a bidding war over the app.
  • Microsoft was previously a top bidder for TikTok in 2020, but talks collapsed and Trump's divestment push ended when he left office.
  • Trump signed an executive order delaying the enforcement of a law requiring ByteDance to sell TikTok on national security grounds.
  • AI startup Perplexity AI proposed a merger with TikTok, with the US government potentially receiving up to half of the new company.
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