The Trump Administration has given Microsoft 45 days to acquire the Chinese-owned video-sharing app TikTok despite Trump’s recent plans to ban the app, according to a recent blog post made by Microsoft.
It’s only been a few days since Trump recently said that he was planning on banning the App in the United States. While aboard the Air Force One he said, “As far as TikTok is concerned, we’re banning them from the United States.” According to President Trump, the ban could have occurred as soon as Saturday.
Late last year, US Lawmakers voiced concerns over TikTok possibly posing a threat to national security due to the data it handles and tensions between the administration and China have only heightened over time.
Due to these developments, many believed the deal between Microsoft and TikTok was dismissed.
However, in a recent blog post, Microsoft confirmed they were “prepared to continue discussions to explore a purchase of TikTok in the United States” due to a recent conversation between Microsoft CEO Satya Nadella and President Donald J. Trump had in private.
According to the post, the Committee on Foreign Investment in the United States (CFIUS) will handle all subsequent negotiations made by Microsoft and the TikTok parent company, ByteDance. Microsoft vowed to “move quickly” and close the deal by Sept. 15.
In their closing statement, they wrote: “Microsoft appreciates the U.S. Government’s and President Trump’s personal involvement as it continues to develop strong security protections for the country. These discussions are preliminary and there can be no assurance that a transaction which involves Microsoft will proceed. We do not intend to provide further updates until there is a definitive outcome to our discussions.”
This isn’t the first time the CFIUS has ordered a company to divest. Earlier this year, Chinese gaming company Beijing Kunlun Tech Co Ltd sold, Grindr, a gay dating app, for $620 million to San Vicente Acquisition LLC as per the request of the CFIUS.
Whether this deal between the tech giant Microsoft and ByteDance will go the same way, however, is still unknown.