TikTok’s Parent Company Nearing Deal to Secure U.S. Operations, Board Member Reveals
ByteDance, the parent company of TikTok, is reportedly making significant progress in negotiations to prevent the popular app from being banned in the United States.
Bill Ford, CEO of General Atlantic and a member of ByteDance’s board, shared insights at an Axios-hosted event in Davos, Switzerland, on Wednesday. He expressed optimism that a resolution could be reached soon, emphasizing that all stakeholders – including the Chinese government, U.S. government, and ByteDance – are engaged in the discussions.
“We’re actively working on a solution that could be finalized as soon as the end of the week,” Ford said. He suggested that alternatives to divestiture might be possible, adding that “it’s in everyone’s interest” to keep TikTok operational in the U.S.
General Atlantic, a major investor in ByteDance, is closely involved in the process, which has gained urgency following a U.S. executive action delaying enforcement of a TikTok ban.
The Legal Context
Former President Joe Biden signed the Foreign Adversary Controlled Applications Act in April, mandating that TikTok cease operations in the U.S. or sell to an American or allied buyer by January 19, 2025. However, President Donald Trump’s recent executive action postponed the ban’s enforcement by 75 days, signalling a potential reprieve for the app.
Trump’s Role in Negotiations
Trump, who returned to office this week, has positioned the TikTok situation as a business opportunity, suggesting that a partial sale could suffice. He indicated openness to proposals from prominent figures like Elon Musk, owner of X (formerly Twitter), and Oracle executive chairman Larry Ellison. Other interested parties reportedly include billionaire Frank McCourt and content creator Jimmy Donaldson, known as MrBeast.
“I have the right to make a deal,” Trump said, framing the situation as a chance to benefit U.S. businesses and technology leaders.
The Road Ahead
Despite the optimism, the fate of TikTok in the U.S. remains uncertain. While negotiations continue, it is unclear whether ByteDance would agree to sell, even under favourable terms. The coming days will be critical in determining whether TikTok remains accessible to its millions of American users.
