- Wednesday meeting addresses TikTok’s extended April 5 divestment deadline
- Oracle and Blackstone lead $20B+ acquisition proposals
- Executive order could push ban to 2025 if deal progresses
- Young voter outreach cited as key political motivator
President Trump’s emergency meeting with tech investors and national security advisors comes as TikTok faces its third potential shutdown since 2020. Recent court rulings have created a complex legal landscape where executive orders now serve as the primary mechanism delaying enforcement of the 2023 Protecting Americans From Foreign Adversary Controlled Applications Act.
The proposed Oracle-Blackstone partnership aims to create a US-controlled entity that would license TikTok’s algorithm rather than fully acquire it – a structure that failed during Trump’s first administration. Industry analysts note this hybrid approach reduces upfront costs but raises new questions about data sovereignty. We’re looking at a $15-20B valuation for just the US operations,said tech M&A specialist Lila Chen. But without IP transfer, this becomes a glorified hosting deal.
New Delhi’s 2020 TikTok ban provides a cautionary case study. Despite initial user backlash, India’s homegrown alternatives like Moj and Josh now dominate the short-form video market. US policymakers are reportedly studying this model, with bipartisan support growing for mandatory algorithm localization requirements across all social platforms.
Blockchain integration has emerged as a dark horse proposal. McCourt’s Project Liberty consortium plans to decentralize TikTok’s infrastructure using distributed ledger technology. Users would own their engagement data through digital wallets,explained advisor Alexis Ohanian. While technologically ambitious, experts question whether this could scale to TikTok’s 170M US users.
The political calculus remains pivotal. Trump’s campaign team credits TikTok with delivering 42% of 18-24 year-old voters in key swing states – a demographic where Republicans typically trail by 15 points. This electoral math explains the administration’s sudden flexibility, with officials privately acknowledging deadlines could extend through 2025 if acquisition talks show progress.
Legal challenges loom regardless of outcomes. First Amendment scholars warn any ban would face immediate lawsuits, citing precedent from the 2021 Knight Institute v. Biden case. Meanwhile, Beijing maintains export controls on recommendation algorithms like TikTok’s, creating a regulatory Catch-22 for potential buyers. As stakeholders converge on the Oval Office, all parties recognize this meeting merely kicks off a high-stakes negotiation marathon.