Microsoft plans to complete takeover talks with TikTok within the next three weeks, by September 15, people familiar with the matter said today. The size of the deal could be as high as $30 billion. If the deal is successful, Microsoft has promised the U.S. government to bring TikTok’s code back to the U.S. within a year, the report said. The report also said the two sides (Microsoft and Byte Dance) have not yet determined the price of The TikTok, but it is likely to be between $10 billion and $30 billion.
Treasury Secretary Steve Mnuchin was “deeply involved” in the process, the report said. U.S. President Donald Trump has previously said the U.S. Treasury should get a piece of the deal. But it is not clear how this will work, or even whether it is legal.
Industry insiders say few U.S. companies have enough bandwidth to transfer large amounts of data to their systems within a year, let alone the tens (tens) of dollars that tikTok will cost.
However, Microsoft evaluates both options. Reports say Microsoft may shift TikTok’s software code, which could help cement its position as a major competitor to buy the company.
Microsoft said on Sunday it aimed to complete the deal by September 15, including TikTok’s operations in the US, Canada, Australia and New Zealand.
Analysts say it would put Microsoft at risk and push it into a politically charged social media business. But at the same time, the deal also helps Microsoft become a bigger competitor in Internet advertising for its $27 billion acquisition of LinkedIn.
Steve Ballmer, Microsoft’s former chief executive, said yesterday that the company’s pursuit of TikTok was “exciting”. At the same time, Microsoft has the ability to deal with any regulatory issues that come with it.
On the “three-week deal” rumor, ByteDance person responded: This message is not true.