With the April 5 deadline fast approaching for TikTok to secure a non-Chinese buyer, major contenders—including Amazon and a consortium led by OnlyFans founder Tim Stokely—have joined the bidding war to acquire the social media giant.
Zoop’s late-stage bid
Stokely’s startup, Zoop, has partnered with the Hbar Foundation, which manages the Hedera cryptocurrency network’s treasury, to submit a late-stage acquisition proposal. The bid was sent this week to the White House, marking a significant entry in the competitive sale process.
“Our bid for TikTok isn’t just about changing ownership, it’s about creating a new paradigm where both creators and their communities benefit directly from the value they generate,” Zoop co-founder RJ Phillips told Reuters.
Amazon’s unexpected interest
Amazon has also emerged as a surprise bidder, having submitted a letter to U.S. Vice President JD Vance and Commerce Secretary Howard Lutnick, expressing its interest in acquiring TikTok.
While Amazon’s previous forays into social media include the $1 billion purchase of Twitch in 2014 and its acquisition of Goodreads in 2013, reports from The New York Times suggest that Amazon’s bid is not being taken seriously by key decision-makers.
Why TikTok is being forced to sell
The push for TikTok’s divestment stems from national security concerns over its Chinese parent company, ByteDance, and potential influence by the Chinese government. A U.S. law requiring ByteDance to sell TikTok was passed with bipartisan support and took effect on January 19, 2024.
Originally, ByteDance was required to divest TikTok by January 19, a day before Donald Trump’s inauguration. However, Trump extended the deadline to April 5 to allow more time for negotiations and has hinted at a possible further extension.
Other major bidders
Beyond Amazon and Zoop, several other investment groups are positioning themselves for a possible takeover:
- Blackstone is in talks to join ByteDance’s non-Chinese shareholders—Susquehanna International Group and General Atlantic—to raise capital for a bid.
- Oracle is working with U.S. venture capital firm Andreessen Horowitz on a potential acquisition.
- The People’s Bid for TikTok, spearheaded by real estate and sports mogul Frank McCourt’s Project Liberty.
- AI startup Perplexity and a consortium including internet star MrBeast (Jimmy Donaldson) have also thrown their hats in the ring.
Reports suggest that the most viable solution could involve ByteDance’s existing U.S. investors rolling their stakes into a new independent global TikTok company, with American investors like Oracle and Blackstone increasing their stake to reduce Chinese ownership.
As the April 5 deadline approaches, TikTok’s future remains uncertain, with potential buyers racing against time to secure control of one of the world’s most popular social media platforms.
