Is it déjà vu, or are we living in 2025? Reports have surfaced that Microsoft might once again be eyeing TikTok for acquisition.
If you’re not up to speed, last year saw the U.S. Congress pass a law demanding that TikTok, based in China, either sell its U.S. business or shut it down entirely. Former President Joe Biden allowed this bill to become law without sending it back, leading to TikTok’s refusal to sell, which resulted in the app going dark briefly last Sunday. Yet, just a few hours later, TikTok reappeared, complete with a message thanking newly inaugurated President Trump for granting a reprieve.
Indeed, President Trump has given TikTok a 90-day grace period. However, neither Google’s Play Store nor Apple’s App Store has reinstated the app due to existing legislation. This means TikTok still faces the options of shutting down in the U.S. or finding a buyer in the near future.
In a twist reported by NPR and shared via The Verge, Microsoft is once again rumored to be a potential buyer for TikTok.
There’s no denying TikTok’s global appeal, yet its algorithm has drawn criticism for fostering addictive viewing habits and creating echo chambers that can lead to radicalization. The U.S. government has flagged the app as a national security risk due to its parent company Bytedance’s links to the Chinese Communist Party. Concerns are that TikTok might be used to disseminate propaganda or surveil American users. Similarly, the European Union is also scrutinizing TikTok’s influence in the rise of extremist groups and its part in spreading Russian pro-Putin narratives.
Rumors indicate the White House might broker a solution where Oracle takes over TikTok’s worldwide operations, with Bytedance retaining a minor stake. Microsoft, it seems, is part of these discussions, though there’s scant detail on their level of involvement. Up to now, all parties have remained tight-lipped on the matter.
While TikTok is massively popular, especially among Gen Alpha and Gen Z, the big players in tech each have their own platforms: Meta has Facebook and Instagram, Google controls YouTube, Amazon owns Twitch, and Microsoft, well, they’re behind LinkedIn.
LinkedIn, though successful and profitable, focuses squarely on the professional sphere and doesn’t quite sway the cultural zeitgeist like other platforms. If Microsoft could get its hands on TikTok, it might spark a growth spurt in its consumer platforms, like Windows, Surface, and Xbox. Imagine integrating TikTok with Xbox or leveraging it for native video editing on Windows. Then again, it’s reminiscent of the buzz surrounding Microsoft’s Skype acquisition, and we know where that led.
Realistically, Microsoft’s involvement in owning TikTok might not go beyond current ventures. TikTok is already one of Microsoft’s significant Azure AI clients, utilizing many of Azure’s machine learning features, though most of the app operates on Oracle’s cloud. Microsoft’s role likely stays within the boundaries of their Azure AI partnership, but who knows what future twists might arise?
