Washington Strikes Deal: TikTok’s Future in America Sealed by Sell-Off Pact

Are we finally nearing the end of the long-running TikTok-U.S. saga?
Today, U.S. Treasury Secretary Scott Bessent confirmed that a framework has been drawn up for a potential sell-off of TikTok, one that could see the app acquired by an as-yet unnamed American investor—while still allowing its Chinese parent company, ByteDance, to retain a significant ownership stake.
According to Bessent, the deal is “between two private parties,” with key commercial terms already agreed upon ahead of this week’s deadline for TikTok’s compliance in the United States.
President Donald Trump, meanwhile, has announced that he will meet Chinese President Xi Jinping later this week, where TikTok will be among the issues on the table.
As Trump posted on Truth Social:
“The big Trade Meeting in Europe between The United States of America, and China, has gone VERY WELL! A deal was also reached on a ‘certain’ company that young people in our Country very much wanted to save. They will be very happy! I will be speaking to President Xi on Friday.”
Bessent added that the arrangement would preserve the “Chinese characteristics” of TikTok, while still satisfying the conditions of the Protecting Americans from Foreign Adversary Controlled Applications Act. He also noted that the deadline could be extended by up to 90 days to hammer out the finer details, though the intent remains to finalize the deal before this week’s cutoff.
Trump has already extended TikTok’s deadline three times, using executive authority to delay enforcement of the Senate-approved legislation. The current deadline is September 17, but Trump appears confident that this time, a resolution will be in place.
Complicating matters is Beijing’s stance: Chinese officials have repeatedly said they will not permit the sale of TikTok’s core algorithm to the U.S. under any circumstances. On the American side, officials have likewise insisted that no agreement will be reached if the Chinese government presses for tariff relief or looser tech restrictions as part of the bargain.
In other words, while progress has been announced before only to collapse in the eleventh hour, this latest development feels closer than ever to a breakthrough. Still, caution is warranted.
If completed, the deal would bring an end to years of uncertainty over TikTok’s U.S. future. It would also reassure millions of creators, who have feared losing their audiences overnight, while clearing the way for TikTok to ramp up its in-app shopping and monetization push in the American market.
But until pen meets paper, nothing is guaranteed. All signs suggest that a TikTok-U.S. deal could be announced this week, yet history urges us not to celebrate prematurely.
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