After five years, Microsoft is back to negotiate the purchase of TikTok’s US operations, with a 75-day deadline set by Trump

In a surprising turn of events, Microsoft has returned to the negotiation table to acquire TikTok’s US operations, nearly five years after its last attempt to purchase the social media giant. This latest development comes as a directive from former President Donald Trump, who has set a 75-day deadline for ByteDance, TikTok’s parent company, to sell its American arm.

Microsoft’s renewed interest in TikTok follows failed acquisition talks in 2020, when the company sought to acquire TikTok in a bid to boost its social media presence. At that time, the deal was embroiled in intense political discussions, with Trump’s administration citing security concerns due to TikTok’s Chinese origins. Despite these hurdles, the tech company is now revisiting the deal, albeit under new circumstances.

CEO Satya Nadella, who has described the TikTok deal as “the strangest thing” he’s ever worked on, is reportedly leading the charge once again. Nadella’s candid remark sheds light on the complexity of the negotiations, which were largely influenced by concerns around data security, geopolitical tensions, and ByteDance’s ongoing influence in the US market.

The deal’s urgency stems from Trump’s 75-day deadline, a timeline designed to force ByteDance to divest its US-based operations to an American company. While Microsoft’s previous attempt to acquire TikTok failed, it now appears that the tech giant is in a much stronger position to seize the opportunity, given its expanded reach in cloud services, gaming, and business solutions.

The stakes for both Microsoft and TikTok are high, as the acquisition of TikTok’s US operations would provide Microsoft with a significant presence in the social media landscape, a sector where it has long struggled to make inroads. For ByteDance, a forced sale would mean losing control over one of the most popular apps worldwide, a platform that boasts over a billion users globally.

If successful, this acquisition could reshape the dynamics of social media and technology. Microsoft, already a dominant player in software, gaming, and cloud computing, would gain an invaluable user base and potentially integrate TikTok’s capabilities into its wider ecosystem. This could also influence the direction of Microsoft’s strategy, expanding its portfolio into more entertainment and consumer-facing services.

At this stage, Microsoft and ByteDance are reportedly in advanced talks, though no official agreement has been made public. Whether the deal will be finalised within the specified 75-day window remains to be seen, but the implications of such a merger would be profound for the tech world, with ripple effects felt across both social media platforms and the wider technology industry.