Trump Announces Potential TikTok Buyer: Group of Wealthy Investors Awaits Chinese Approval

On June 29, 2025, President Donald Trump announced on Fox News’ Sunday Morning Futures that a group of “very wealthy people” is poised to buy TikTok’s U.S. operations, though he withheld their identities, promising to reveal them in “about two weeks.” The deal, which requires approval from the Chinese government, comes amid ongoing U.S.-China tensions and a 2024 law mandating ByteDance, TikTok’s China-based parent company, to divest the app’s U.S. assets or face a ban. This follows multiple deadline extensions, with the latest set for September 17, 2025.

Key Details of the Announcement

• Buyer Profile: Trump described the buyers as a group of “very wealthy people” but provided no specific names or details, only stating their identities would be disclosed in two weeks.

• Chinese Approval: Trump expressed optimism that Chinese President Xi Jinping would approve the sale, though ByteDance has noted any deal is “subject to approval under Chinese law.”

• Deadline Extensions: A 2024 U.S. law required ByteDance to sell TikTok by January 19, 2025, or face a ban. Trump extended this deadline three times—first to April 5, then June 19, and now September 17—citing progress toward a deal.

• Proposed Structure: Earlier talks involved spinning off TikTok’s U.S. operations into a new U.S.-based company, majority-owned (50%) by American investors, with ByteDance retaining less than 20% to comply with U.S. regulations.

• Previous Bidders: Potential investors have included Oracle (led by Larry Ellison), Blackstone, Michael Dell, Frank McCourt ($20B offer), Steven Mnuchin, Reddit’s Alexis Ohanian, Perplexity AI, Amazon, AppLovin, and Rumble. Trump previously floated a U.S. government 50% stake via a sovereign wealth fund.

Context and Challenges

• U.S.-China Tensions: The deal has been complicated by Trump’s tariffs on Chinese goods (54% as of June 2025), prompting China’s retaliatory tariffs and reluctance to approve a sale. A near-deal in April 2025 collapsed after China cited tariff disputes.

• National Security Concerns: The 2024 law, upheld by the Supreme Court, stems from bipartisan fears that ByteDance could share TikTok’s 170 million U.S. users’ data with the Chinese government or use the app for influence operations.

• Trump’s Shift: Initially supportive of a ban, Trump reversed his stance, crediting TikTok for boosting his 2024 election campaign among young voters. He has expressed a “warm spot” for the app and openness to buyers like Ellison or Elon Musk, though Musk’s involvement seems unlikely.

• ByteDance’s Stance: ByteDance has been cagey, confirming discussions with the U.S. government but emphasizing unresolved issues and Chinese regulatory approval. It previously resisted a sale, citing its $7 billion cash reserves in Q1 2023.

• Geopolitical Bargaining: Trump has suggested reducing tariffs to secure China’s approval, framing TikTok as a negotiation chip in the U.S.-China trade war.

Sentiment and Skepticism

• X Sentiment: Posts on X reflect mixed reactions. @sonmuhurhaber notes the lack of confirmed details, calling it a “twist in the TikTok saga,” while @CGasparino argues China’s reluctance, not buyer availability, is the core issue, citing the trade war. @ShaykhSulaiman speculates the buyers may push political agendas, and @ChrisMurphyCT claims the extensions could favor Trump’s allies, though these claims lack evidence.

• Critical View: The announcement lacks specifics, and Trump’s history of vague promises (e.g., “two weeks”) raises doubts about the deal’s viability. China’s control over TikTok’s algorithm and data export rules could block the sale, especially amid escalating trade tensions. ByteDance’s financial strength reduces its incentive to sell, and Republican lawmakers have criticized Trump’s delays, urging enforcement of the law.

Implications

• For TikTok: With 170 million U.S. users and 7.5 million business accounts, TikTok remains a cultural and economic powerhouse, ranking as the second-most downloaded app on Android in the U.S. A successful sale could preserve its operations, but a ban risks disrupting users and businesses.

• For Startups and Creators: As seen with TikTok’s Bulletin Boards and competitors like Instagram’s Broadcast Channels, platforms are vying for creator loyalty. A sale could stabilize TikTok’s U.S. presence, benefiting creators reliant on its algorithm.

• For U.S.-China Relations: The deal’s outcome could set a precedent for handling foreign-owned tech platforms, with tariffs and national security at the forefront. A failure to close the deal by September 17, 2025, could lead to TikTok’s U.S. shutdown.