Tiktok's Chinese parent company stayed 45 days to sell the US division of the video platform. Another interested party has joined the hot candidate Microsoft. However, it is questionable whether he has the necessary funds.
Twitter is reportedly interested in taking over the US business of the video platform Tiktok, which is under political pressure. The company has contacted the Chinese Tiktok owner Bytedance, according to insider circles. But it is far from certain that Twitter can outdo the software giant Microsoft, which is considered the favorite for the Tiktok bid.
Bytedance have around 45 days to find a buyer. Otherwise a business ban in the USA threatens. First the "Wall Street Journal" reported on the merger talks. There have been preliminary negotiations about a possible merger, the newspaper said. Tiktok, Bytedance and Twitter did not want to comment on the information.
US President Donald Trump has Tiktok in his sights. Due to security concerns, he recently prohibited transactions with two of the largest IT companies in China – Bytedance and the Wechat operator Tencent – by decree. However, the measures have not yet come into force. Tiktok has increasingly developed into a platform for political debates and campaigns in the USA. The app has around 100 million users there. Trump and other US politicians see the service as a Chinese espionage tool. There is currently a deadline of September 15 to sell the US operations to Microsoft.
Twitter has a market value of nearly $ 30 billion, a fraction of Microsoft's valuation. Twitter would probably have to raise additional capital for the acquisition. "It will not be easy for Twitter to raise funding to take over Tiktok's US operations," said Erik Gordon of the University of Michigan. The company from Silicon Valley does not have enough opportunities to get money. One source said China might like a Twitter takeover better. Twitter is not active in the People's Republic. Trump, on the other hand, favors a purchase by Microsoft.
.