TLDRs;
Contents
- Trump has unveiled a pending deal to sell TikTok’s U.S. operations to a group of undisclosed wealthy investors, but final approval depends on China.
- ByteDance faces a September 17 deadline to divest TikTok under U.S. law or face a nationwide ban.
- Rising U.S.-China trade tensions and regulatory controls on algorithms are complicating the deal’s path forward.
- Critics question Trump’s vague timeline and motives, while ByteDance appears in no rush to sell its lucrative U.S. asset.
President Donald Trump has announced that a group of unnamed wealthy individuals is preparing to acquire TikTok’s U.S. operations. Speaking on Fox News on Sunday, June 29, Trump withheld specifics on the investors’ identities, saying only that the names would be disclosed in about two weeks.
The deal, however, remains under the shadow of Beijing’s approval, adding another layer of complexity to an already turbulent negotiation.
🚨BREAKING: President Trump just announced he has a BUYER FOR TIKTOK and will reveal them in "about two weeks."
President Trump saved TikTok.
Another reason Gen-Z loves Trump.
pic.twitter.com/ACYtm4LpQC— Bo Loudon (@BoLoudon) June 29, 2025
TikTok’s Fate Tied to Geopolitical Winds
At the heart of this unfolding drama is a 2024 U.S. law mandating that ByteDance, TikTok’s China-based parent company, sell the platform’s U.S. assets by January 2025 or face a ban. That deadline has since been extended three times by Trump, now landing on September 17. Trump’s latest announcement suggests progress, but he admitted that finalization will depend on Chinese President Xi Jinping’s signoff. ByteDance has confirmed the need for compliance with Chinese law, which gives Beijing de facto veto power over any sale.
Earlier proposals centered on spinning off TikTok’s U.S. branch into a new company, with majority ownership by American investors and ByteDance retaining a minor stake under 20 percent. Though the structure appears designed to satisfy U.S. regulators, China’s 2020 export control rules on algorithms and data flow remain a significant hurdle.
From Trade Tariffs to Tech Takedowns
The path to TikTok’s potential sale has been heavily influenced by the broader tensions between Washington and Beijing. As of June, Trump’s sweeping tariffs have affected more than half of all Chinese goods imported into the United States. In response, China has ramped up its own tariffs, turning the TikTok negotiations into a proxy battlefield for trade policy.
A previous deal floated in April collapsed after China reportedly balked at the growing list of retaliatory tariffs. Trump, perhaps recognizing TikTok’s strategic value, has since floated the idea of easing tariffs as a bargaining chip to get the deal through. Observers believe the app is being used as a pawn in a larger geopolitical standoff.
National Security and Shifting Politics
Concerns over user data and influence operations remain central to the U.S. government’s stance. With 170 million American users and millions of business accounts, TikTok’s data potential has raised alarms in both political parties. These fears were at the core of the 2024 divestiture law, which was upheld by the Supreme Court.
Ironically, Trump’s own relationship with TikTok has evolved. Once an advocate for banning the app, he now praises its role in energizing young voters during his 2024 campaign. His growing fondness for the platform adds a political twist to an already charged process, especially as some speculate the buyer group may include figures aligned with his political base.
Uncertainty Clouds the Deal’s Future
While past bidders like Oracle’s Larry Ellison, Michael Dell, Frank McCourt, and even Reddit co-founder Alexis Ohanian have been mentioned in connection to the deal, none have been confirmed as part of the current mystery consortium. Trump’s track record of promising details “in two weeks” has drawn skepticism, with critics warning that the delay benefits his allies and prolongs market instability.
As China holds the keys to TikTok’s algorithm and data control, the likelihood of Beijing approving a full or partial sale remains uncertain. ByteDance, flush with billions in cash, has little financial pressure to part with its most valuable overseas asset. Should the deal fall apart, the U.S. may still push forward with the app’s ban, igniting backlash from creators, advertisers, and small businesses that rely on its reach.
