Trump confirms Microsoft is in talks to acquire TikTok as he pushes for a bidding war over the app.

U.S. President Donald Trump has confirmed that Microsoft is once again in talks to acquire TikTok, reigniting speculation over the social media platform’s future. Trump added that he welcomes a “bidding war” over TikTok, which could include multiple high-profile buyers vying for ownership.

The Latest Developments

During a recent press conference, Trump stated, “I would say yes,” when asked whether Microsoft was preparing a bid for TikTok. “There’s great interest in TikTok,” he added. The tech giant, however, declined to comment, while ByteDance and TikTok have yet to respond to media inquiries.

The social media app, boasting 170 million American users, has been at the center of debates regarding national security concerns due to its Chinese ownership by ByteDance. A law requiring ByteDance to divest TikTok’s U.S. operations was delayed by a 75-day executive order signed by Trump after he returned to office.

Key Players and Proposals

In addition to Microsoft, Tesla CEO Elon Musk has been linked to discussions, though he has not publicly commented on any plans to acquire the app. AI startup Perplexity AI also proposed a merger with TikTok, suggesting that the U.S. government could take up to a 50% stake in the new company.

Oracle, once a major contender in previous acquisition attempts, remains involved in discussions alongside Microsoft. Reports suggest that Oracle could oversee TikTok’s algorithm, data collection, and software updates as part of a new deal.

Other notable figures who have expressed interest in TikTok include billionaire Frank McCourt, Shark Tank investor Kevin O’Leary, and even YouTube megastar MrBeast, who claimed investors approached him after he expressed interest in purchasing the app.

Microsoft’s History with TikTok

This isn’t the first time Microsoft has considered acquiring TikTok. In 2020, the company emerged as a top bidder following Trump’s initial push for ByteDance to sell TikTok’s U.S. operations. However, those talks ultimately collapsed, with Microsoft CEO Satya Nadella later describing the process as “the strangest thing I’ve ever worked on.”

Potential Challenges

The acquisition of TikTok faces several hurdles, including regulatory approval, U.S.-China relations, and ByteDance’s valuation of the platform. TikTok’s brief shutdown on January 19 highlighted the stakes of the ongoing negotiations. ByteDance was initially given a deadline to sell TikTok on national security grounds or face a ban but was granted a reprieve until April 4.

Experts believe that the deal’s complexities, such as overseeing TikTok’s data privacy and ownership structure, will require careful handling. ByteDance’s minority ownership in any potential arrangement could also attract scrutiny from U.S. lawmakers.

Implications of a Successful Deal

Should Microsoft, Oracle, or another contender acquire TikTok, it would reshape the social media landscape by placing the app’s operations under U.S. oversight. Analysts note that TikTok’s immense user base and advertising revenue make it an attractive asset, despite challenges in navigating the acquisition process.

The U.S. government has remained adamant about ensuring that TikTok is free from Chinese influence. “We don’t want China involved,” Trump reiterated during a recent speech.

With Trump stating that a decision on TikTok’s future will likely be made within 30 days, the next few weeks will be critical for determining the app’s fate. Whether Microsoft secures the deal, or another party emerges as the frontrunner, the bidding war underscores the global significance of TikTok in the tech and social media sectors.

As the deadline looms, all eyes remain on Microsoft, ByteDance, and other key players in this high-stakes negotiation. The outcome could have far-reaching consequences for data privacy, U.S.-China relations, and the social media landscape as a whole.