TikTok has strongly dismissed claims that China is exploring the sale of its U.S. operations to Elon Musk’s social media platform, X, calling the report “pure fiction.” The denial comes amid heightened tensions as the platform faces a looming U.S. law requiring its Chinese owner, ByteDance, to divest from TikTok’s U.S. branch by Sunday.
The report, initially published by Bloomberg News, suggested that Chinese officials were deliberating on selling TikTok’s U.S. operations valued between $40 billion and $50 billion to Musk. Bloomberg outlined a scenario where X, formerly known as Twitter, would acquire TikTok and merge it with the platform.
However, TikTok’s spokesperson swiftly rejected these claims, stating, “We cannot be expected to comment on pure fiction.”
The divestment law, passed by Congress last year, has become a focal point of U.S.-China tensions. U.S. officials allege that TikTok poses national security risks by enabling Beijing to spy on users and disseminate propaganda—allegations vehemently denied by both China and ByteDance.
TikTok has challenged the law, arguing that a forced sale violates the First Amendment’s free speech protections. On Friday, the U.S. Supreme Court heard arguments on the matter. Early observations suggest skepticism from both conservative and liberal justices toward TikTok’s defense.
Bloomberg noted that Beijing’s discussions regarding a potential sale to Musk remain in preliminary stages, with no consensus reached.
Musk, the world’s richest person, owns Tesla, which has significant investments in China, a critical market for the automaker. While Musk’s potential acquisition of TikTok’s U.S. operations raises questions about financing, Bloomberg suggested it might require him to liquidate other assets.
The TikTok controversy plays out against a broader backdrop of U.S.-China tensions. Former President Donald Trump initiated a trade war, imposing tariffs that were largely maintained by his successor, President Joe Biden.
With the law’s enforcement imminent, the future of TikTok’s U.S. operations hangs in the balance, as both political and economic implications loom large.
