As the deadline for TikTok to either sell or face another ban approaches, a new contender has emerged: Amazon. Reports from The New York Times suggest that the retail giant has made a last-minute bid to acquire the immensely popular video platform, likely motivated by the desire to capitalize on the highly lucrative TikTok Shop.
Amazon reportedly submitted its offer to Vice President JD Vance and Commerce Secretary Howard Lutnick, both of whom appear far less engaging than the competitive landscape of Trump’s cabinet. However, sources indicate that the Biden administration does not regard Amazon’s bid as serious, so it seems unlikely TikTok will become a part of Jeff Bezos’ empire anytime soon.
Currently, Amazon’s proposal joins a growing list of bids for TikTok; however, none of these seem to have gained significant momentum as the platform could potentially face a ban on April 5 if no agreement is reached. This would mark 75 days since Trump extended the original deadline for TikTok’s Chinese parent company, ByteDance, to divest. Rumor has it that Trump may be considering offering yet another extension.
Trump and his team are set to review the current offers on Wednesday, but the dynamics have shifted dramatically since January. Back then, Trump had just taken office and enjoyed relatively sturdy approval ratings. Extending TikTok’s deadline—and receiving a highly visible “thank you” from the app—helped him connect with younger voters. Back then, big tech companies were eager to please the President.
In contrast, as the stock market undergoes a “correction” amid Trump’s unpopular tariffs, his administration is desperately seeking a win. For Trump, securing TikTok’s future has become crucial to retaining any positive public sentiment, allowing him to avoid the embarrassment of a loss. He has even floated the idea of offering tariff relief to China as a bargaining chip for finalizing a TikTok sale—but has faced skepticism even from his own party regarding this approach, as reported by Politico. Moreover, China has consistently held its ground, showing no interest in divesting and expressing readiness to accept a ban instead of a sale.
With political leverage dwindling, reports suggest that Trump is considering allowing ByteDance to retain control over the TikTok algorithm—according to the Washington Post. This arrangement would have an American firm run the TikTok platform while leasing the algorithm from ByteDance.
As the deadline looms, Trump appears willing to explore every avenue to secure his position as TikTok’s savior. Here’s an overview of the potential bidders still competing to take over TikTok, should an agreement be reached before time runs out.
Oracle: The Longtime Contender for TikTok
Oracle has been the front-runner for a TikTok takeover since 2020, when it partnered with ByteDance to manage user data. Recent reports from Politico indicated that Oracle has been speeding up negotiations; however, proposals that allow ByteDance to retain the algorithm remain a sticking point for key players within Trump’s administration.
Kevin O’Leary and Frank McCourt: The People’s Bid
Kevin O’Leary, known as Mr. Wonderful from Shark Tank, and Los Angeles Dodgers owner Frank McCourt represent the most publicized effort to acquire TikTok. They have assembled a coalition of investors promising to raise up to $20 billion (€18.7 billion) for the endeavor. Describing themselves as the “People’s Bid for TikTok,” their proposal aims to rebuild the platform with a focus on minimizing user data collection, intentionally disregarding the existing algorithm.
MrBeast: The Dark Horse Bidder
One surprising contender is YouTube sensation Jimmy Donaldson, known as MrBeast. Initially exploring an alliance with the People’s Bid team, he opted instead to team up with Employer.com founder Jesse Tinsley to make an independent offer. Their collective, dubbed “Beast and Friends,” includes Roblox CEO David Baszucki, and they aim to deliver a platform that harnesses significantly more than $20 billion (€18.7 billion), proposing simply “TikTok but on American servers.”
Perplexity: An Innovative Approach
Offering a unique proposal, AI search engine Perplexity recently expressed interest in merging with TikTok. This merger would allow existing investors to maintain their equity while leveraging TikTok’s assets to enhance Perplexity’s data model. However, this complicated deal would also require enlisting new American investors.
Elon Musk: A Controversial Mention
Although highly improbable, speculation has linked Elon Musk to a potential TikTok acquisition. Musk has publicly denied any interest in purchasing the platform —’I have no interest‘—yet he is reportedly a favored choice among Chinese officials. Given his ties to the White House, there’s potential for inside maneuvering, though many cringe at the thought of a Musk-operated TikTok.
Blackstone: A Conservative Bid
Should the Trump administration opt for a deal that maintains some level of Chinese control, Blackstone could be an attractive option. Late last month, the private equity firm proposed acquiring a minority stake in TikTok, aiming to decrease Chinese ownership. This more traditional approach likely aligns with numerous American investors, presenting the most stable option amidst the turmoil.
Microsoft: The Tech Giant’s Interest
Microsoft remains a notable player capable of mounting a complete takeover. Having sought to enter the social media arena, Microsoft was previously involved in a failed bid for TikTok in 2020. Although they have been relatively quiet since, Trump mentioned Microsoft as a possible buyer back in January.
Amazon: The Last-Minute Bidder
As highlighted earlier, Amazon has made a late bid for TikTok. On the surface, this proposal makes sense; Amazon could leverage its AWS infrastructure to transition TikTok onto American servers and harness the platform’s burgeoning retail profit potential. However, the prevailing sentiment is that the bid lacks seriousness and may be a mere opportunistic move.
Tim Stokely: The Late Entry
Tim Stokely, founder of OnlyFans, has reportedly submitted a late-stage offer for TikTok. Partnering with the Hbar Foundation—managing finances for the Hedera cryptocurrency network—Stokely envisions transforming TikTok into a more creator-friendly platform. However, the collaboration between Zoop, Hbar, and Hedera risks appearing as a nonsensical tech pitch from a television show.
FAQs
What will happen to TikTok if it doesn’t sell?
If TikTok fails to find an American buyer, it may face a ban as mandated by the government, much like the previous attempts to prohibit the app in the U.S.
Why is a sale to an American company necessary for TikTok?
The U.S. government has cited national security concerns over Chinese ownership of TikTok, arguing that user data could be accessed by the Chinese government. A sale to an American company is viewed as a means to mitigate these concerns.
Who are the main bidders for TikTok?
Currently, the main bidders include Oracle, Blackstone, Amazon, Kevin O’Leary with Frank McCourt’s group, MrBeast, Perplexity, and potentially Microsoft and Elon Musk.
What impact would a change in ownership have on TikTok users?
A new ownership structure could alter TikTok’s data management practices, content moderation policies, and potentially the overall user experience, depending on the direction taken by the new owners.
Is there a timeline for TikTok’s sale?
A deadline set by the Trump administration mandates that a sale must be completed by April 5 to avoid another ban on the app.