TikTok's US future: China considers Elon Musk as potential buyer

Chinese officials are mulling over the idea of letting Elon Musk take over TikTok’s US business if the well-known short-video platform can’t dodge an upcoming ban. Although Beijing wants ByteDance Ltd. to keep TikTok under its umbrella, they’re still brainstorming backup strategies while working through broader negotiations with the incoming Trump administration.

These talks took on extra urgency when Supreme Court justices hinted that they might back legislation forcing ByteDance to either sell off or shut down TikTok’s US operations by January 19. One plan on the table involves folding TikTok US into Musk’s X platform, tapping into TikTok’s massive audience of more than 170 million American users to boost X’s advertising clout.

Money is a big sticking point, with analysts at Bloomberg Intelligence pegging TikTok’s US operations at a hefty $40 billion to $50 billion. How to structure the deal, line up financing, and get the nod from regulators is anyone’s guess, especially given Musk’s prior commitments from his $44 billion takeover of Twitter.

For now, ByteDance is still focused on its court battles, arguing through TikTok’s legal team that forcing a sale crosses First Amendment lines. On the other hand, President-elect Trump has hinted he might push back the January 19 ban to give both sides more breathing room to make a deal, emphasizing his desire to “save” the platform.

Meanwhile, the Chinese government holds a so-called golden share in a ByteDance affiliate, which gives it considerable sway over major business decisions—including those involving export rules tied to TikTok’s algorithm. This setup ensures Beijing stays influential in any possible sale, including TikTok’s signature recommendation technology.

Musk has gone on record opposing a TikTok ban, tweeting in April that shutting down the app would clash with core ideals like freedom of speech and expression and that it’s simply “not what America stands for.” Representatives for Musk, ByteDance, TikTok, and the involved Chinese government agencies have so far kept quiet on the situation.