Donald Trump has given TikTok more time in the United States, extending the ban deadline to December 16 as a deal nears completion.

    TLDR:

    • Trump extends TikTok’s US ban deadline to December 16, marking the fourth delay
    • A final deal is close between the US and China, shifting TikTok’s American operations to a US-owned group
    • Trump and President Xi are expected to finalize the agreement during a call on September 19
    • TikTok’s future remains uncertain until deal terms and buyers are publicly confirmed

    What Happened?

    President Donald Trump signed an executive order granting ByteDance, TikTok’s Chinese parent company, more time to finalize the sale of its US operations. The decision follows recent negotiations between American and Chinese officials that resulted in a tentative framework. A final decision is expected after a scheduled call between Trump and Chinese President Xi Jinping.

    TikTok Ban Delayed Again as Deal Inches Closer

    TikTok’s uncertain status in the United States continues, but for now, its 170 million American users can breathe a little easier. The app was on the verge of being banned this week, but President Trump has pushed the deadline to December 16, giving more time for a long-awaited agreement to materialize.

    • This marks the fourth extension Trump has granted since returning to office in January.
    • The extension follows two days of intense negotiations between senior US and Chinese officials in Madrid.
    • According to US Treasury Secretary Scott Bessent, both sides have agreed on a framework deal and are preparing for Trump and Xi to give final approval during their upcoming phone call.

    Trump told reporters before departing for the UK that a deal was already in place. He hinted that “a group of very big companies” are involved, though he declined to name them. However, multiple reports suggest Oracle Corp is likely to play a major role, possibly retaining its existing cloud infrastructure contract with TikTok.

    Political and Legal Tensions Around the Deadline

    The latest extension has raised legal eyebrows, as the 2024 national security law that mandates ByteDance’s US divestiture only permits one 90-day extension. Trump has now authorized four. Despite bipartisan support for a TikTok ban in Congress, Trump has directed the Justice Department not to enforce the law, allowing the app to remain active while negotiations continue.

    Lawmakers have repeatedly cited national security risks, arguing that Chinese ownership of TikTok could allow unauthorized access to American user data. ByteDance has consistently denied any wrongdoing or data sharing with Chinese authorities.

    Still, Trump appears to be taking a more strategic approach. Negotiations stalled earlier this year following the implementation of his administration’s “Liberation Day” tariffs, which hit Chinese imports hard. Talks resumed only after those tariffs were reduced.

    • Bessent noted that China initially rejected US demands for full divestiture.
    • A turning point came when Trump reportedly warned negotiators he was willing to let TikTok shut down in the US.
    • Both countries then worked toward a deal that satisfies national security concerns and allows TikTok to stay active under American control.

    Oracle Emerges as a Likely Player

    While Trump hasn’t officially confirmed who is set to acquire TikTok’s US business, Oracle’s name has surfaced multiple times.

    • According to CNBC, Oracle is expected to maintain its cloud services contract under the current deal structure.
    • Oracle shares rose nearly 6 percent on the news, continuing a strong year for the company, which is up 85 percent thanks to its booming cloud business.

    Other unnamed US investors are also believed to be part of the consortium that will take over TikTok’s US operations, pending approval from both Washington and Beijing.

    What TechKV Thinks?

    I think Trump’s latest extension signals that the administration is committed to striking a deal that keeps TikTok in the US without compromising national security. For users and creators, this delay is a relief, but it’s also a reminder of how tech and politics are tightly connected. We’ve watched TikTok bounce from ban threats to buyout talks, and while we’re inching closer to resolution, it’s frustrating how long it’s taken to get here. This isn’t just about an app, it’s about control, data, and diplomacy.

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    Avatar for Rajesh Namase

    Rajesh Namase is one of the top tech bloggers and one of the first people to turn digital marketing and blogging into a full-time profession. He has unwavering passion for technology, digital marketing, and SEO. With a penchant for exploring the digital world, Rajesh covers a wide range of topics, from Android to the intricate universe of the internet, including WiFi, YouTube, and more.

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