No confirmed Chinese approval, Musk bid, or Musk acquisition ever emerged. In January 2025, TechCrunch relayed a Bloomberg report that Chinese officials had discussed Musk as a possible buyer for TikTok’s US operations if US restrictions took effect. TikTok called the report “pure fiction.” Musk later said he had not bid and had no plans to acquire TikTok. TikTok US instead became part of a joint venture finalized in January 2026.
What the report said—and what it did not establish
On January 13, 2025, TechCrunch, citing Bloomberg, reported that Chinese officials had discussed a contingency in which ByteDance might sell TikTok’s US operations to Elon Musk if the US law took effect. The account was based on people familiar with the officials’ discussions, not a public Chinese government announcement or a disclosed deal. The report said it was unclear how much ByteDance or TikTok knew about the alleged discussions. TikTok rejected the account, calling it “pure fiction.”
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So “China is reportedly open” described an alleged private discussion about a possible fallback—not a confirmed Chinese decision, an approved transaction, or evidence that ByteDance had agreed to sell. The January report also did not establish proposed terms such as a price, ownership share, or who would control TikTok’s algorithm and US user data.
Did Musk plan to buy TikTok?
No. In remarks from a German forum in late January, reported by AFP on February 9, 2025, Musk said: “I’ve not put in a bid for TikTok and I don’t have any plans for what I would do if I had TikTok.” He added: “I’m not chomping at the bit to acquire TikTok.” The reported China-side contingency therefore did not become a Musk bid.
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Why was a sale being discussed?
The Protecting Americans from Foreign Adversary Controlled Applications Act targeted applications operated by ByteDance, TikTok, and specified subsidiaries. The statute’s prohibitions were due to take effect on January 19, 2025. President Trump issued an enforcement-delay order the following day, according to the White House’s September 2025 account.
The law’s qualified-divestiture standard was about more than changing a shareholder. The White House’s September 25, 2025 Executive Order 14352 described a qualifying arrangement as one that removes foreign-adversary control and prevents a continuing operational relationship with US operations. It identified cooperation over a content-recommendation algorithm and data-sharing agreements as examples of operational ties. The order described a US-based joint venture, majority-owned and controlled by US persons, with ByteDance and affiliates holding less than 20 percent.
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The administration presented the framework as addressing national-security concerns. Its accompanying fact sheet said 170 million Americans used TikTok in 2025 and projected $178 billion in US economic activity over four years from preserving the business. That dollar figure was a White House projection, not a measured result.
What happened instead of a Musk acquisition?
TikTok finalized a US joint venture in January 2026. The Associated Press reported that ByteDance retained 19.9 percent and identified Oracle, Silver Lake, and MGX among the major investors. The Washington Post reported that each of those three investors held 15 percent and described a seven-member board with a majority of American members. The arrangement was a joint venture, not a sale to Musk.
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- Funds do not expire but your Visa Virtual eGift Card has a ‘valid thru’ date (9 years from date of purchase). If funds remain after this date has passed, please call the Toll Free number found on your Visa Virtual eGift Card for a replacement card. A one-time purchase fee applies at the time of checkout.
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The Associated Press said more than 200 million Americans used TikTok at the time of its January 2026 report. That is a later figure than the White House’s 2025 user count, and the sources do not establish that the two figures used the same measurement method.
| Question | January 2025 Musk scenario | January 2026 joint venture |
|---|---|---|
| Who would own the US operation? | The report described a possible sale to Musk; ownership terms were not stated in TechCrunch’s January 13, 2025 account. | ByteDance retained 19.9 percent, according to the Associated Press. The Washington Post reported Oracle, Silver Lake, and MGX each held 15 percent. |
| Who would control the US operation? | Control terms were not stated in TechCrunch’s January 13, 2025 account. | The Washington Post described a seven-member board with a majority of American members. The White House’s executive order described the framework as majority-owned and controlled by US persons. |
| What about the recommendation algorithm? | Algorithm terms were not stated in TechCrunch’s January 13, 2025 account. | The Associated Press reported that the algorithm would be licensed to the US entity for retraining. |
| What about data and content moderation? | Data-access and moderation terms were not stated in TechCrunch’s January 13, 2025 account. | The White House’s September 2025 order described protections for US data and control of algorithm operation, code, and content-moderation decisions by the new venture. |
What questions remain about the new structure?
Ownership percentages and a US-majority board do not, on their own, establish how a platform operates in practice. The relevant questions include who can access US user data, who can change or retrain the recommendation system, who makes content-moderation decisions, and whether the US venture has operational ties to ByteDance that the law restricts.
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- This Visa Virtual eGift Card is non-reloadable. No cash or ATM access. Visa Virtual eGift Cards are emailed active.
- Funds do not expire but your Visa Virtual eGift Card has a ‘valid thru’ date (9 years from date of purchase). If funds remain after this date has passed, please call the Toll Free number found on your Visa Virtual eGift Card for a replacement card. A one-time purchase fee applies at the time of checkout.
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The administration’s executive order set out its determination that the proposed framework met the law’s requirements. The Associated Press, reporting on the finalized venture, noted uncertainty about how licensing and retraining the algorithm fit with the law’s restrictions on cooperation with ByteDance. The available accounts do not establish either that every safeguard has been independently verified in operation or that the arrangement violates the law.
Chinese officials’ public comments also did not turn the original report into an approval. On February 5, 2025, The Washington Post quoted Chinese Embassy spokesperson Liu Pengyu saying acquisitions “should be independently decided by companies in accordance with market principles,” and adding that Chinese laws and regulations should be observed if Chinese companies were involved. In January 2026, after the joint venture was finalized, the Associated Press quoted Foreign Ministry spokesperson Guo Jiakun saying: “China’s position on TikTok has been consistent and clear.” The AP account did not provide further detail in that passage about what the statement meant for the deal.
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