Amazon Makes Last Minute Offer for TikTok as Ban Looms
Retail giant Amazon today made an offer to acquire TikTok just days ahead of when TikTok must be sold off or face a ban, reports The New York Times. Unspecified participants involved in the TikTok talks "do not appear to be taking Amazon's bid seriously," and multiple interested parties are scrambling to plead their cases for a TikTok purchase.
As of January 19, the Protecting Americans From Foreign Adversary Controlled Applications Act that bans TikTok from operating in the U.S. under Chinese control has been in effect, but U.S. President Donald Trump gave TikTok a reprieve by ordering the Department of Justice to not enforce the law for a 75-day period. That window is set to expire on Saturday, April 5, and a sale of TikTok's U.S. operations must be arranged by that time or the app will be shut down again.
The Trump administration has been considering offers from companies like Oracle and Perplexity, along with individuals like Jimmy Donaldson (also known as MrBeast), Shark Tank host Kevin O'Leary, Employer.com founder Jesse Tinsley, and billionaire Frank McCourt. Trump plans to meet with White House officials on Wednesday to discuss what will happen with TikTok, and he has maintained that he will make the final decision on the app's future.
It is possible that Trump will decide on a deal that includes bringing on multiple U.S. investors, including Oracle and private equity firm Blackstone. Such a deal would not be a formal sale, and may not meet the requirements of the law.
TikTok parent company ByteDance has said that it will not sell TikTok, but it is not clear if that is still the case with a ban on the horizon. While the law is set to go back into effect on April 5, Trump could opt for another deadline extension.
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