Will Microsoft end up buying TikTok ?

Tik Tok shares have soared over the past six months, with Microsoft expressing strong interest in acquiring it. The two sides are already in advanced negotiations. US President Donald Trump granted  a 45-day window following a discussion with the CEO of Microsft, a deadline submitted to the Committee on Foreign Investment in the United States (CFIUS). This body is responsible for reviewing such deals for potential national security risks.

According to sources, if no deal is reached, the US authorities will ban the Chinese app TikTok, as the US President has expressed concerns about how users’ personal data is handled. In fact, he had initially rejected the idea of the acquisition for the same reason.

TikTok is particularly popular with younger audiences and already has 100 million users in the US. If Microsoft succeeds in acquiring it, it will be able to compete on equal terms with social media giants such as Facebook. The company has previously tried to enter the social media market by approaching LinkedIn. According to Microsoft’s official announcement, negotiations with ByteDance will be completed by mid-September. If a deal is reached, Microsoft will control TikTok not only in the US but also in Canada, Australia and New Zealand.