Former President Donald Trump has made noises about a similar deal with TikTok. He proposes that the Murdoch family members themselves could play an important role in any such negotiations. The agreement attempts to address national security concerns by ensuring TikTok is allowed to continue operating within the United States. It responds to long-standing concerns that user data would be shared with the Chinese government. TikTok, owned by China’s ByteDance, has faced a wave of criticism over its data privacy practices. This unexpected controversy has created conversations about its future in the American market.
Yet Trump’s administration made the active decision to not enforce U.S. law on TikTok. This law would have forced the company to divest its recently acquired assets due to national security concerns. Despite the hurdles mentioned above, recent events give reason to believe that real progress is being made to address these issues. In an interview with Fox News, Trump expressed optimism about the potential for an agreement that would require TikTok’s U.S. assets to be transferred to local owners, bolstering the platform’s security and governance.
A new group of U.S. investors led by Sharp is now coming forward, minds included Lachlan Murdoch — son of media mogul Rupert Murdoch. These tech giants of Oracle and Dell fame are members of this powerful club. Trump praised this consortium as “American patriots,” highlighting their commitment to safeguarding user data and ensuring TikTok operates under U.S. oversight. Rupert Murdoch, the 94-year-old patriarch of the family, is likely to play a key role in the deal. The Murdochs won’t be putting any of their own money behind it. News Corp, the parent company of influential publications like the Wall Street Journal and the New York Post, will not participate in the investment.
As outlined in the proposed deal, Oracle would be responsible for managing TikTok’s data storage facilities and cybersecurity protocols. Additionally, U.S. citizens will make up six of the seven seats on TikTok’s proposed board. This hard, mixed-use infrastructure, in turn, would increase American leverage over the platform.
Trump is well aware of TikTok’s role in solidifying his base among young voters going into the 2024 presidential election. His administration has a pretty aggressive approach to the social media platform. This is indicative of increasing alarm about data misuse and our national security in an increasingly globalized environment.
