US President Donald Trump confirmed Monday that Microsoft is in talks to acquire TikTok, as the popular video-sharing app’s future in the country remains uncertain.
The app faces a US law requiring it to divest from its Chinese parent company ByteDance or face a potential ban in the United States.
When asked about Microsoft’s involvement, Trump told reporters aboard Air Force One, “I would say yes,” and added that there is “great interest in TikTok.” He also suggested that a “bidding war” for the app could be beneficial.
The law, which took effect on January 19, bans TikTok due to concerns that the Chinese government could use the app to spy on Americans or manipulate US public opinion. However, Trump has delayed its enforcement for two and a half months, aiming to reach an agreement with Beijing.
Microsoft is among the potential buyers for TikTok, with analysts, such as Angelo Zino of CFRA Research, speculating that the tech giant has an interest in expanding further into the digital advertising space.
TikTok briefly halted its service in the US as the deadline for the law neared, but Trump later promised to issue an executive order to delay the ban and allow time for a potential deal.
TikTok resumed operations in the US, crediting Trump’s intervention. Although the Biden administration initially indicated it would not pursue a ban, Trump had previously attempted to block TikTok during his first term, citing national security concerns.