President Donald Trump recently signed an executive order directing the Secretaries of Treasury and Commerce to devise a plan within 90 days for the creation of a sovereign wealth fund. This move, which includes a nod to the popular social media platform TikTok, adds another layer of complexity to the ongoing discussions about the app’s future in the United States. The executive order arrives amidst a backdrop of speculation surrounding Elon Musk and the potential acquisition of TikTok.
Musk and TikTok
In January, Bloomberg reported that Chinese officials were considering the possibility of Musk acquiring TikTok. While President Trump expressed openness to such a deal, stating he would be amenable if Musk “wanted to buy it,” Elon Musk has denied any interest in acquiring TikTok’s US operations.
“I have not put in a bid for TikTok,” – Elon Musk
Moreover, Musk emphasized his general aversion to acquisitions, noting that his purchase of Twitter (now X) was an anomaly.
“I do not acquire companies in general; it’s quite rare,” – Elon Musk
Under a law signed by President Joe Biden, TikTok was ordered to divest its US operations due to national security concerns. Previously, the Trump administration attempted to facilitate a deal for Oracle and other investors to acquire TikTok’s operations. Despite these efforts, ByteDance, the owner of TikTok, denied reports that its US business could be sold to Musk, dismissing them as “pure fiction.”
The situation has been further complicated by legal proceedings. After Trump returned to office, TikTok was granted a 75-day reprieve from a looming ban. However, the ban faced challenges in court, ultimately stalling its enforcement.
What The Author Thinks
The ongoing saga around TikTok’s future in the U.S. continues to reveal just how entangled politics, business interests, and national security concerns can become. While speculation about Elon Musk’s involvement is compelling, it remains a distraction from the core issue: how the U.S. will manage its complex relationship with Chinese-owned tech companies and the data security risks they may pose. Regardless of who owns TikTok, the legal and security issues at play suggest that a long-term resolution is far from clear.
Featured image credit: Wikimedia Common
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