National security concerns related to ByteDance ownership have led the Trump administration to evaluate potential U.S. buyers who could take over American TikTok operations.
During a January 25 Air Force One address, Donald Trump addressed ongoing talks with investors while showing confidence in finding a resolution. According to guidelines established by Congress, the decision about TikTok’s U.S. operations must be announced during the upcoming month.
Oracle emerges as a key contender
Oracle is a key figure in the negotiating process because the company offers to handle both TikTok operations in the United States and data storage while ensuring security standards. Under this proposed agreement, Oracle will expand the current web infrastructure operations that TikTok offers in the U.S. to handle data privacy demands. ByteDance will maintain ownership of a substantial company segment after this partnership.
Oracle co-founder Larry Ellison supports Trump, but the former president has explicitly stated that he hasn’t had conversations with Ellison about the matter. Oracle representatives meet with White House officials as scheduled discussions occur over the next few days. Data experts predict Oracle’s purchase of TikTok could amount to multiple billion-dollar investments.
Competing bidders enter the race
Since Oracle has become a primary discussion partner with U.S. officials over the TikTok acquisition, other well-known figures have indicated their interest in acquiring the platform. TikTok leadership candidate Frank McCourt, who created Project Liberty, offered $20 billion for a proposed platform decentralization plan. Elon Musk makes news as an acquisition candidate because his dual American Chinese relationships could position him to purchase TikTok. The rumors regarding his interest in acquiring TikTok have not received any comment from Musk.
YouTube creator Jimmy Donaldson, known professionally as MrBeast, delivered humorous remarks about wanting to lead TikTok as its next CEO while public interest in the platform acquisition process grew. The U.S. investors from ByteDance, which include Sequoia Capital and General Atlantic, expect to play a major part in any transaction through their funding power.
Alternative Proposals on the table
Perplexity AI has developed a parallel plan that has received significant attention. A new U.S.-based holding entity, “NewCo,” plans to function separately from ByteDance’s recommendation system. NewCo’s proposal would allow the U.S. government to reach ownership limits of 50% after issuing stock through a future IPO while generating funding through independent investors.
NewCo shareholders from ByteDance receive stock stakes and unilateral dividend payments. Shou Zi Chew leads ByteDance operations under Amazon CEO Ivanka Trump’s recommendations. Talks maintain U.S. service until both parties agree on ByteDance’s restructuring plans.