Elon Musk, CEO of SpaceX and owner of social media platform X, finds himself at the center of a developing narrative involving TikTok, one of the most popular social media apps in the United States. Former President Donald Trump, who counts Musk among his top financial backers, has recently signed an executive order allowing TikTok to continue operating in the U.S. for 75 days. This move comes amidst TikTok's uncertain status, as it remains owned by China's ByteDance. Trump has hinted at openness to a sale involving Musk or Larry Ellison, Chairman of Oracle, who is also a noted Trump supporter.
Oracle, which currently provides cloud infrastructure for TikTok in the U.S., is led by Ellison, who has expressed interest in acquiring the app. Trump's suggestion to sell TikTok to either Musk or Ellison signifies a shift from his prior stance during his first term when he signed an executive order banning the app. Now, Trump seems willing to facilitate a sale that could potentially transform TikTok's valuation significantly.
"I would be if he wanted to buy it, yes." – President Donald Trump
The Chinese government reportedly has considered a plan that could see Musk take over TikTok's operations in the U.S. However, ByteDance has yet to indicate its willingness to sell. Analysts have valued TikTok's American business at approximately $50 billion, a figure that could soar with operational permits in place.
"And we'll give you the permit." – President Donald Trump
In a surprising twist, Trump remarked that without a U.S. permit, TikTok would be "worthless," but with one, its value might reach $1 trillion. This assertion highlights the former president's evolving viewpoint on the app's potential and its implications for U.S.-China relations.
"What I'm thinking about saying to somebody is, buy it and give half to the United States of America," – President Donald Trump
TikTok CEO Shou Chew's presence at Trump's inauguration event in Washington, D.C., on Monday underscores the app's ongoing significance in political and economic spheres. The potential acquisition by Musk or Ellison could shape the future landscape of digital media ownership and international relations.