Trump Signs Executive Order Valuing TikTok Sale at $14 Billion

US President Donald Trump has signed an executive order stating that a sale of TikTok’s operations in the United States is imminent, with a valuation of approximately $14 billion (€12 billion). This development comes as part of a broader effort to address national security concerns outlined in a law passed in 2024. The announcement marks a pivotal moment in the ongoing discussions surrounding the popular short video app, which has amassed 170 million users in the US.

The executive order allows for the sale of TikTok to both US and global investors, aiming to ensure compliance with national security requirements. Vice President JD Vance confirmed the valuation during a briefing in the Oval Office, providing a concrete figure for the first time. Trump has previously delayed the enforcement of a law that mandates the sale of the app by its Chinese parent company, ByteDance, until December 16, 2024. This extension aims to facilitate the extraction of TikTok’s US assets and secure necessary approvals from both American investors and the Chinese government.

Details of the Sale and Investor Involvement

In his remarks, Trump highlighted discussions with Chinese President Xi Jinping, stating, “I spoke with President Xi. We had a good talk, I told him what we were doing, and he said go ahead with it.” However, the Chinese embassy in Washington has not yet responded to inquiries regarding the sale. TikTok also refrained from commenting on the executive order.

The President emphasized that the future operations of TikTok will be fully American-led. He mentioned the involvement of prominent investors, including Michael Dell and Rupert Murdoch, alongside what he described as “four or five absolutely world-class investors.” While the White House has not disclosed the methodology behind the $14 billion valuation, ByteDance has previously estimated its overall worth at around $330 billion.

Political Response and Future Implications

Republican representatives have expressed the need for further clarity regarding the deal. US lawmakers, including Brett Guthrie, Gus Bilirakis, and Richard Hudson, have indicated that they seek assurances that the agreement will sufficiently protect American users from potential surveillance and influence by entities aligned with the Chinese Communist Party (CCP).

As the details of the transaction are finalized, the focus remains on ensuring that the sale not only meets legal requirements but also safeguards the privacy and data of American users. The political implications of the deal could have lasting effects on US-China relations, particularly concerning technology and data privacy.

The administration’s actions reflect an ongoing balancing act between national security interests and the desire to maintain the app’s operational status in the United States, a platform that has played a significant role in the political landscape, including contributing to Trump’s re-election efforts last year.