U.S. President Donald Trump has confirmed that Microsoft is in discussions to acquire TikTok, reigniting speculation about the popular social media app's future in the United States. Speaking to reporters on Monday, Trump expressed a preference for a competitive bidding process, stating, "I would say yes" when asked if Microsoft was preparing a formal bid.
He added, "We'll see what happens. We're going to have a lot of people bidding on it." However, Microsoft declined to comment on the president's statement, and TikTok's parent company, ByteDance, did not immediately respond to requests for comment.
Trump's comments come after the January 19 expiration of a law that would have forced ByteDance to either divest its U.S. operations or face a ban in the country. The app was briefly taken offline before Trump intervened, signing an executive order to delay the law's enforcement for an additional 75 days. The president has indicated that he plans to make a decision on the app's future within the next 30 days.
Microsoft has emerged as a familiar contender in the effort to acquire TikTok, as it was previously linked to the app during Trump's first term. In 2020, ByteDance approached Microsoft as a potential buyer, sparking discussions that ultimately collapsed. Microsoft CEO Satya Nadella later described the deal as "the strangest thing I've ever worked on," reflecting the convoluted nature of the discussions and the demands placed on the company by the U.S. government.
Trump's administration had issued an executive order demanding TikTok sell its U.S. operations, citing national security concerns related to the app's ties to China. Despite these tensions, TikTok ultimately turned to Oracle as a potential partner, though that deal also fell through. Throughout this process, Trump has consistently expressed his preference for removing Chinese influence over TikTok's operations, reiterating that "We don't want China involved" in the app's future.
In recent days, other potential buyers have entered the fray, with AI startup Perplexity AI making a bold proposal to merge with TikTok. According to a source familiar with the situation, Perplexity AI's proposal includes offering the U.S. government up to 50% of the merged entity. This new development has added an element of surprise to the ongoing negotiations and suggests that ByteDance may explore alternative options beyond the traditional tech giants.
Other notable figures have also expressed interest in acquiring TikTok. Billionaire investor Frank McCourt and Canadian businessman Kevin O'Leary, well-known for his role on Shark Tank, have both been linked to possible bids for the app. Most surprisingly, YouTube star Jimmy "MrBeast" Donaldson recently revealed that he is in the running to buy TikTok. Following a tweet signaling his interest, multiple investors reportedly reached out to the popular content creator, further intensifying the competition for the app.
