TikTok labels report suggesting sale to Musk ‘pure fiction’

(MENAFN) On Tuesday, TikTok labeled a report suggesting that China is considering selling the video-sharing platform's U.S. operations to billionaire Elon Musk as “pure fiction.” The report, initially published by Bloomberg News, cited anonymous sources familiar with the matter. It outlined a potential scenario where X (formerly Twitter), Musk’s social media platform, could acquire TikTok from its Chinese parent company, ByteDance, and integrate it with X.

TikTok quickly rejected the claims, with a spokesperson stating, “We cannot be expected to comment on pure fiction.” Bloomberg’s report also estimated that TikTok's U.S. operations were valued between $40 billion and $50 billion. However, the report raised questions about how Musk would finance such a transaction, particularly since it was unclear whether he would need to sell other assets to fund the deal.

The timing of the report coincides with increased pressure on ByteDance following a U.S. law passed last year. The law requires ByteDance to either sell TikTok's U.S. operations or shut it down by Sunday, the day before President-elect Donald Trump takes office. This legislation is part of broader concerns over the platform’s potential ties to the Chinese government.

The U.S. government has expressed worries that TikTok could enable Beijing to collect data, spy on users, and promote propaganda. Both China and ByteDance have firmly denied these allegations, with the latter continuing to fight the pressure to divest its U.S. operations.

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