The TikTok app icon appears on an iPhone screen, photographed on Friday, January 17, 2025, in Houston. (AP Photo/Ashley Landis, File)
Just weeks after extending the deadline to ban TikTok, U.S. President Donald Trump told reporters that a deal is “pretty much” ready—but gave no further details. The social media platform, owned by China’s ByteDance, remains in uncertain territory as negotiations continue. TikTok hasn’t responded to media queries about the statement.
At the heart of the issue is TikTok’s algorithm, which is key to its appeal. Analyst Jeremy Goldman warned that launching a U.S.-specific version without the original algorithm could harm user engagement. “TikTok without its personalization loses its magic,” he noted, adding that getting millions to download a new version would be no easy task.
What’s the Current Status?
President Trump has repeatedly extended TikTok’s ban deadline, even though there's no strong legal foundation for doing so. These extensions allow time for a possible transfer of TikTok’s U.S. operations to American ownership. So far, there have been no legal challenges to these extensions.
Trump, who himself has over 15 million TikTok followers, acknowledged the app’s impact—especially among younger voters. In January, he mentioned having a “warm spot” for the platform. Despite his criticisms, the app remains available and active for its 170 million American users.
Tech giants like Apple, Google, and Oracle have agreed to keep TikTok on their platforms, based on the understanding that the Department of Justice would not pursue legal penalties against them.
Public Opinion Remains Split
According to a Pew Research Center survey, Americans are divided over what to do with TikTok. Support for a ban has dropped from 50% in 2023 to about 33% now. Another third of respondents oppose a ban, while the remaining group remains unsure.
Among those in favour of banning the app, the biggest concern is user data security. Around 80% of this group believes TikTok puts Americans' personal information at risk.
What’s China’s Role?
Trump said that any potential deal would likely need approval from China’s President Xi Jinping or his representatives. However, he admitted he wasn’t completely sure that such approval was required.
“We make a lot of money if the deal goes through,” Trump told reporters, hinting at economic benefits for the U.S. The Chinese embassy responded with a brief statement, saying it had nothing new to share and that any related matters would follow Chinese law.
Who Might Buy TikTok?
While ByteDance hasn’t confirmed plans to sell, several companies have expressed interest. Among them is artificial intelligence startup Perplexity AI, which reportedly submitted a merger proposal to combine with TikTok’s U.S. business.
Another bid comes from a group led by billionaire Frank McCourt, who teamed up with Reddit co-founder Alexis Ohanian. This group reportedly offered $20 billion for TikTok’s U.S. arm and wants to rebuild it using blockchain to give users more control over their data.
“Every day without a qualified buyer puts users at greater risk,” McCourt’s Project Liberty stated. “We’re ready to work with policymakers and supporters to make this happen.”
Other rumoured buyers include Oracle and Blackstone, though neither firm commented on the matter.
