TikTok has labeled reports claiming that China is considering a sale of its U.S. operations to Elon Musk as “pure fiction.” This statement follows a Bloomberg report suggesting that Chinese officials are considering this move if the U.S. Supreme Court upholds a ban on the app.
TikTok denies claims of China selling U.S. operations to Musk
The Supreme Court is set to rule on legislation that requires TikTok’s parent company, ByteDance, to divest its U.S. business by January 19 or face a ban. TikTok has consistently stated that it will not sell its U.S. operations. A TikTok spokesperson stated, “We can’t be expected to comment on pure fiction,” in response to inquiries from the media.
According to Bloomberg, one option being explored by Chinese officials involves Musk’s X social media platform taking control of TikTok’s U.S. operations. X has not responded to requests for comment regarding this report. Musk, aligned with President-elect Donald Trump, is set to assume office on January 20.
Last month, Trump urged the Supreme Court to postpone its ruling until he takes office, allowing him to pursue a “political resolution.” Trump’s legal brief expressed his opposition to a TikTok ban and emphasized his desire to address the matter politically once he assumes the presidency. This appeal followed a meeting between Trump and TikTok’s CEO, Shou Zi Chew, at Trump’s Mar-a-Lago estate.
On January 10, Democratic lawmakers, including Senator Edward Markey and Representative Ro Khanna, urged Congress and President Joe Biden to extend the January 19 deadline. During a recent Supreme Court hearing, justices appeared inclined to uphold the legislation, frequently revisiting national security concerns associated with TikTok.
The Biden administration has argued that TikTok could become a tool for espionage and political manipulation by China if not sold. TikTok has denied any influence from the Chinese Communist Party, asserting that the law seeking its ban violates the First Amendment rights of its American users.
The Chinese government is reportedly assessing a plan for Musk to acquire TikTok’s U.S. operations to prevent a ban, according to Bloomberg’s report. This plan is one of several options under consideration as the Supreme Court evaluates whether to uphold the divestiture law, which could penalize third parties supporting TikTok following the specified deadline.
Should this plan proceed, Musk would oversee both X and TikTok’s U.S. operations. However, it remains uncertain whether ByteDance is aware of these discussions involving TikTok and Musk. This debate among Chinese officials regarding TikTok’s future in the U.S. is occurring alongside broader discussions about collaborating with Trump.
Canada forces TikTok out of the country
Last week, the Supreme Court heard arguments regarding TikTok’s emergency appeal against the ban law, which Biden signed in April. TikTok argued that the law infringed on the free speech rights of its 170 million U.S. users, while the government maintained that ByteDance’s ownership presents national security risks.
The Supreme Court recently showed indications of siding with the government, as TikTok risks being banned under a law set to take effect on January 19 unless the court intervenes. The Protecting Americans from Foreign Adversary Controlled Applications Act prohibits app stores and web hosting services from hosting TikTok unless ByteDance sells its ownership to a party from a nation not designated as a “foreign adversary.”
Trump’s administration initially sought to force a sale of TikTok to U.S.-based entities due to national security concerns during his first term. In light of the current situation, Trump has requested the Supreme Court to suspend the law’s effects to facilitate a negotiated resolution that may preserve the app’s operation in the U.S., addressing both national security and First Amendment concerns.
Featured image credit: Solen Feyissa/Unsplash
