TikTok Investors Face Uncertainty Amid Another Delay in US Deal
Billionaire investor Frank McCourt has expressed uncertainty regarding the purchase of TikTok’s US operations as another deadline approaches. The U.S. government continues to postpone the date by which ByteDance, TikTok’s Chinese parent company, must divest its American assets. This deadline has now been extended multiple times under former President Donald Trump’s administration and recently could see yet another delay.
TikTok and National Security Concerns
Lawmakers have raised alarms about ByteDance’s ties to the Chinese government, citing potential risks to U.S. national security. Concerns revolve around the possibility that Beijing could compel the company to provide sensitive data about American users. Despite these fears, TikTok has consistently dismissed them as unjustified.
Legal Framework and Developments
- The U.S. Congress enacted a law in January 2024, mandating the sale or blocking of TikTok.
- This law was signed by President Joe Biden and upheld by the Supreme Court in early 2025.
Investor Perspectives on the Possible Acquisition
McCourt revealed that his team is ready to proceed with the acquisition, having secured the necessary funding. “We’re just standing by and waiting to see what happens,” he stated, emphasizing their preparedness to move forward if the opportunity arises.
In addition to McCourt, prominent investors such as Reddit co-founder Alexis Ohanian and Canadian businessman Kevin O’Leary are part of the group looking to acquire TikTok. McCourt expressed concern over the concentration of influence in the hands of a few individuals, advocating for a sale that complies with U.S. regulations.
The Impending Meeting and Investor Dynamics
Previous claims suggested that a deal was nearly completed, with speculation about discussions of the acquisition taking place between Trump and Chinese President Xi Jinping in October. However, that meeting did not result in any agreement. As the situation stands, most analysts predict that another extension is likely rather than an imminent resolution.
Future of TikTok’s U.S. Operations
McCourt revealed his desire to operate TikTok without any integration of its existing Chinese technology, particularly its recommendation algorithm. He mentioned that his Project Liberty initiative has developed alternative technological solutions that could replace current systems.
As the deadline approaches, the landscape for TikTok investors remains uncertain. With concerns about national security weighing heavily on discussions, the future of TikTok in the U.S. continues to hang in the balance.
