Nearly five years after its last attempt, Microsoft is reportedly reconsidering plans to acquire TikTok’s U.S. operations. Discussions are ongoing for Microsoft to purchase ByteDance-owned TikTok’s U.S. arm, as mentioned by former U.S. President Donald Trump on January 27. Back in 2020, Microsoft and Oracle were the primary contenders to acquire TikTok following Trump’s push for ByteDance to sell its U.S. operations due to national security concerns. At a 2021 event, Microsoft CEO Satya Nadella referred to the failed attempt as “the strangest thing I’ve ever sort of worked on.”
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Trump, when asked aboard Air Force One if Microsoft was negotiating for TikTok, confirmed significant interest in the app. Although Trump had previously advocated for banning TikTok over security concerns, his stance has softened, likely due to the platform’s popularity among pro-Trump supporters. He recently gave ByteDance a 75-day deadline to sell its U.S. operations to a domestic company, urging more bidders to step in, adding, “I like bidding wars because you get the best deal.”
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In August 2020, under pressure from Trump’s security concerns, TikTok approached Microsoft as a potential partner. However, ByteDance later chose Oracle, though the deal also fell through. Microsoft has declined to comment on the recent developments, while the competition for TikTok’s U.S. operations intensifies with bids from AI startup Perplexity and billionaire Frank McCourt.