TikTok deal has become a political talking point — Trump says he saved the app by approving its U.S. sale to a group of billionaire buyers. Curious why he flipped positions and what it means for younger users and U.S.-China relations? Keep reading.
How Trump reversed course and approved a roughly $14 billion U.S. sale
President Trump first wanted to ban TikTok in the U.S. He said the app was a national security risk. This was because its parent company, ByteDance, is based in China. Many worried about user data going to the Chinese government. Trump even signed an executive order to stop new downloads. He gave ByteDance a deadline to sell its U.S. operations.
The Shift in Strategy
Things changed quickly after intense negotiations. Trump later approved a deal for TikTok’s U.S. sale. This was a big shift from his earlier threats. He stated he “saved” the app for American users. This reversal came after a proposed deal was put forward. It aimed to address the security concerns he had raised.
Details of the $14 Billion Deal
The approved deal involved a group of U.S. companies. Oracle and Walmart were key players in this consortium. They planned to buy a large stake in a new company. This new company was to be called TikTok Global. It would handle all U.S. user data. The goal was to keep American data safe and secure. The deal was valued at about $14 billion. It also aimed to create over 25,000 new jobs in the U.S. This move allowed TikTok to keep operating for its many American users.
What the deal means for Gen Z, national security and political strategy
The TikTok deal had big effects for many groups. For Gen Z, it meant their favorite app could stay. Millions of young people use TikTok every day. It’s a key place for fun, news, and connecting with friends. Keeping TikTok alive in the U.S. was a win for them. Many politicians saw this as a way to reach younger voters. They know how important social media is to this age group.
Protecting National Security
The deal also aimed to fix worries about national security. U.S. officials were concerned about user data. They feared the Chinese government could get this data. The new plan put Oracle in charge of U.S. user data. This was supposed to keep American information safe. It created a new company, TikTok Global, to handle these operations. This move was meant to ease fears about foreign influence.
Political Strategy and Future
From a political strategy view, the deal was interesting. President Trump had first wanted to ban TikTok. Then he approved the sale. He said he saved the app. This change might have been to win over young voters. Many young people use TikTok and care about it. The deal also showed how tricky U.S.-China tech relations are. It was a big moment in the ongoing tech rivalry between the two countries. The future of global tech companies and data privacy remains a hot topic.
Fonte: Fortune.com
