AppLovin Enters Race for TikTok with Last-Minute Bid
In a surprising turn of events, AppLovin, a prominent adtech company, has submitted a last-minute bid to acquire TikTok’s operations outside China. The company confirmed its “indication of interest” to President Donald Trump in a Thursday SEC filing, joining a growing list of potential suitors for the popular social media platform.
AppLovin, known for helping developers market and advertise their apps, has entered the fray as the deadline for ByteDance to divest TikTok’s US operations looms. This development comes amid increasing pressure from the US government, which has set a ban on TikTok due to national security concerns.
The acquisition bid faces significant financial and strategic challenges. TikTok’s US operations are valued between $40 billion and $50 billion, while its global valuation could exceed $100 billion, potentially reaching $200 billion with its algorithm. In contrast, AppLovin’s market capitalization stands at just over $89 billion, raising questions about how the company would finance or structure such a substantial deal.
AppLovin is not alone in its late-stage interest. Other recent entrants to the bidding process include Amazon and a consortium led by OnlyFans founder Tim Stokely. They join a list of potential buyers that features tech giants Oracle and Microsoft, retail behemoth Walmart, video platform Rumble, and AI startup Perplexity.
The political and regulatory landscape surrounding TikTok’s future in the US remains complex. Congress has mandated that ByteDance divest its US business, with President Trump recently extending the divestment deadline by 75 days. The White House’s involvement in negotiations underscores the national security implications of the deal.
Adding to the complexity, President Trump has introduced a 54% tariff rate on Chinese imports, a move that could influence the TikTok negotiations. China has responded with a 34% tariff on US imports, further complicating the geopolitical backdrop of this high-stakes acquisition.
As the deadline approaches and new players enter the field, the future of TikTok’s operations outside China remains uncertain. The outcome of this bidding war could reshape the landscape of social media and international tech relations for years to come.
