China Mulls Selling TikTok’s US Operations to Elon Musk

The Chinese government is reportedly in talks to sell the U.S. operations of TikTok to tech billionaire Elon Musk, the CEO of SpaceX and owner of X (formerly Twitter), according to a Bloomberg report.

The discussions come in light of the U.S. Supreme Court’s upcoming decision on January 19 regarding a law that would ban TikTok in the U.S. If the ban is upheld, selling the app’s American operations could become a likely next step for China. Sources familiar with the matter told Bloomberg that while Beijing officials prefer TikTok to remain under the ownership of its parent company, ByteDance Ltd., the company is actively fighting the ban, filing an appeal to the Supreme Court.

During hearings on January 10, the justices seemed inclined to support the law, prompting senior Chinese officials to begin contingency planning. This has reportedly led to discussions about potentially collaborating with former President Donald Trump’s administration, as Musk is one of the primary financial backers of Trump’s election campaigns, and is expected to wield significant influence over the future administration.

If the sale goes through, Musk’s X would take over TikTok’s U.S. operations, including its 170 million American users and the app’s vast ad revenue potential. However, the report highlights that it remains unclear how much ByteDance or TikTok is aware of these discussions, raising questions about China’s alleged influence over the platform and its role in driving the legal challenges that led to the proposed ban.

As the situation develops, the global future of TikTok remains uncertain, with this potential deal marking a significant pivot in the ongoing clash between Chinese interests and U.S. national security concerns.