Chinese officials are considering selling US TikTok operations to Elon Musk as the platform faces a US law mandating divestment from Chinese ownership.
The discussions in Beijing suggest Musk’s company, X, might acquire TikTok from its Chinese parent, ByteDance, merging it with the platform previously known as Twitter. TikTok’s US operations are valued between $40 and $50 billion.
Despite Musk’s status as the richest person globally, Bloomberg noted uncertainties about how he would manage the purchase or if asset sales would be necessary.
Last year, the US government enacted a law requiring ByteDance to divest TikTok or cease operations by this Sunday, just before President-elect Donald Trump assumes office.
The US alleges that TikTok enables Beijing to harvest user data and spread propaganda, claims both China and ByteDance deny.
TikTok has contested the law up to the US Supreme Court, which heard arguments on Friday. The justices, both conservative and liberal, seemed sceptical that the forced sale infringed on free speech rights.
Bloomberg described Beijing’s deliberations on a Musk deal as initial, with no consensus yet on proceeding. The extent of ByteDance’s awareness of these plans is unclear.
Musk, a Trump ally anticipated to be influential in Washington, also operates Tesla, with significant operations in China—a key market for the automaker.
Trump has threatened additional tariffs on Chinese goods, continuing a trade conflict sustained and sometimes expanded by outgoing President Joe Biden.
