Amazon Makes Formal Offer to Buy TikTok Amid U.S. Uncertainty Over App’s Future
Amazon has formally submitted an offer to acquire the Chinese-owned social media app TikTok, sending a proposal to the White House. According to sources, the company sent a letter this week to U.S. Vice President J.D. Vance and Secretary of Commerce Gina Raimondo. However, the offer is not being taken seriously as it was submitted just ahead of a potential deadline for a TikTok ban in the U.S.
The offer comes at a time when TikTok’s future in the United States remains uncertain. If ByteDance, the parent company of TikTok, fails to sell its U.S. operations, the app could be banned in the country as early as April 5. U.S. lawmakers had set a deadline of January 19 last year for the sale, but former President Donald Trump extended this deadline by 75 days through an executive order.
Sources indicate that Trump could announce a decision regarding TikTok’s future in the U.S. on Wednesday. Additionally, mobile technology company App Lovin has also made an offer to purchase TikTok.
TikTok has emerged as a major platform for e-commerce, with its online marketplace “TikTok Shop” rapidly growing. With over 170 million U.S. users, its commercial potential could be highly attractive for Amazon.
Amazon had previously launched its own short video service after seeing TikTok’s success, but eventually shut it down. In August of last year, Amazon and TikTok entered into a partnership allowing users to shop directly from Amazon through the TikTok app. However, this agreement raised national security concerns among U.S. lawmakers.
