As April approaches, reports indicate that US President Donald Trump may announce a deal to spin off TikTok’s US business before the end of the week. The extension of the US ban on the social network expires this Saturday, but Trump could engage in discussions as early as today.
CBS News first reported this, with Bloomberg and Reuters later confirming the information. Trump is expected to meet with US officials and potential deal participants to review final proposals. However, even if an agreement is reached in the US, it must still be approved by Chinese authorities. Beijing may seek to control the export of key technologies, including TikTok’s recommendation algorithm, which could complicate the process.
Key Investors and Potential Challenges
Oracle and Blackstone are expected to be among the investors in TikTok’s US assets. Oracle already provides the social network’s computing infrastructure in the US, while Blackstone has stakes in ByteDance, TikTok’s parent company. Under the deal, Oracle may acquire a small share of TikTok’s US operations, though control of the recommendation algorithm remains uncertain.
Even if the agreement is finalized in the US, ByteDance and Chinese officials must still approve it, notes NIX Solutions. If additional time is needed, Trump has signaled his willingness to extend the ban deferral beyond Saturday. Additionally, he has suggested that reducing US import tariffs on Chinese goods could help secure China’s cooperation.
The situation remains fluid, and we’ll keep you updated as more details emerge.