TikTok remained unavailable in the Google and Apple app stores on Tuesday – even as speculation swirled about potential US buyers who could help “save” the embattled video-sharing app.
The tech giants appeared unwilling to risk liability, despite President Trump issuing an executive order late Monday delaying implementation of Congress’ sell-or-ban bill by 75 days.
The popular Chinese-owned video app was also unavailable in app stores operated by Amazon and Microsoft, as operators face fines of $5,000 per user if they allow new downloads — or updates — for any of the 170 million existing users in US, which could put them on the hook for $850 billion in fines.
Trump has said he wants the US to have a 50% ownership stake in TikTok, although details on the structure remain murky. The extent of TikTok parent ByteDance’s ownership in such a deal was unclear.
“If I make the deal for the United States, then I think we should get half,” Trump said in the Oval Office as he signed a batch of executive orders.
“I think the US should be entitled to half of TikTok and congratulations, TikTok has a good partner.”
A host of potential US buyers have emerged, although TikTok and ByteDance previously refused to hold sale talks during the 270 days between the law’s passage last April and its January 19 deadline.
Elon Musk, the owner of X and close adviser to Trump, who is worth about $428 billion, has emerged as a possible option. Wedbush analyst Dan Ives has pointed to Musk, who has close business ties to China, as a possible front-runner.
“We believe there is significant behind-the-scenes activity from both financial and strategic technology buyers for the golden asset TikTok,” Ives said in a note to clients.
Multiple reports have said that Chinese government officials were considering selling TikTok to Musk, though TikTok officials dismissed it as “pure fiction.”
Oracle, led by billionaire tech titan Larry Ellison, is another natural fit. The company is already TikTok’s main cloud computing partner and came close to buying TikTok as part of a joint bid with Walmart during an initial effort to ban the app in 2020. This time, Oracle has yet to publicly comment on whether it has interest.
Billionaire Frank McCourt and “Shark Tank” star Kevin O’Leary have teamed up in a $20 billion deal to buy TikTok and rebuild its recommendation algorithm from scratch on American soil.
Former US Treasury Secretary Steven Mnuchin, who last year expressed interest in TikTok, told CNBC that he has since put his plans on hold but has left open the possibility of investing in the company. Former Activision Blizzard boss Bobby Kotick was also said to be interested.
In a major U-turn, the Chinese government – which has repeatedly said in the past it would block any attempt at a forced sale – hit back on Monday and suggested it was open to a compromise.
The Chinese Foreign Ministry said private companies can make their own decisions on “corporate operations and acquisitions”.
TikTok CEO Shou Zi Chew has stepped up his charm offensive and was spotted attending Trump’s inauguration.
Trump’s executive order gave TikTok until April 5 to reach a deal — though it’s unclear whether the order, which overturns a law, could pass legal muster if challenged in court.
Under the sale law, which was unanimously approved by the Supreme Court, an extension is only allowed if there are signs of “significant progress” toward a deal.
The app was shut down for barely 12 hours before it was back on Sunday before Trump’s inauguration. TikTok’s brief shutdown went beyond the scope of the law — which only required the end of new downloads — and was criticized by some critics as a “stunt” designed to stoke public anger.
Trump’s order said the US attorney general would send letters to service providers such as Apple, Google and Oracle saying it “has no responsibility for any conduct that occurred during the period specified above, and for any conduct from the effective date of the act until the issuance of this Executive Order.”
It is unlikely that a 50/50 ownership split with China would meet the requirements of the law, which requires a sale of the Chinese interest in TikTok upon confirmation by US government agencies that the risk has been eliminated.
“The law that Congress passed and the Supreme Court upheld requires Apple and Google to remove TikTok from their app stores if it is still owned and controlled by a foreign adversary today — which it is,” Michael Sobolik, an associate at senior at the Hudson Institute. and author of “Against China’s Great Game,” told The Post.
Before the inauguration, Sen. Tom Cotton (R-Ark.) sternly warned service providers that they face “hundreds of billions of dollars in devastating liability” if they violate the law.
House Speaker Mike Johnson, another close Trump ally, said Congress would “enforce the law.”
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