Musk Rumored to Buy TikTok Because One Global Circus Isn’t Enough

Some billionaires collect houses, cars, and football teams, taking joy in material things. Others donate their money, finding joy and happiness in giving. Others, specifically Elon Musk, the wealthiest man in the world, appear to love collecting social media platforms, as rumors are circulating that he is considering purchasing TikTok.

As you likely know, TikTok is facing a critical January 19, 2025, deadline to either divest its U.S. operations or face a ban, though the Supreme Court appears likely to uphold legislation requiring the sale at the end of the week. Musk, a man prone to always wanting to be in the spotlight and part of the conversation, may be buying, with operations estimated to be worth $40-50 billion.

Regarding how China feels about this, Chinese officials are reportedly on board, though TikTok has dismissed these reports as "pure fiction." This is likely true, considering the Chinese government's only direct ownership stake is a 1% "golden share" in ByteDance's China-based subsidiary, Beijing Douyin Information Service Co., which operates Douyin (TikTok's Chinese counterpart). This golden share gives the government some board seats and voting power in the Chinese subsidiary but not in TikTok's global operations.

If Musk's bid ends up being misaligned, here is also Project Liberty Consortium, a $500 million initiative launched by entrepreneur Frank McCourt that aims to transform the internet and social media landscape. It also includes ‘Shark Tank' investor Kevin O'Leary and Guggenheim Securities with algorithmic dreams of rebuilding TikTok without its current, heralded algorithm. It's unclear why this is a good idea, as users seem to love it. However, considering O’Leary's history—most recently with the now-defunct FTX crypto exchange—once he gets an idea in his head, whether it's good or bad, it's challenging to convince him to reconsider before it's too late.

The question now falls on Musk, who, as the USA and the world know, is never one to be pinned down.