Microsoft confirms TikTok acquisition rumors, also interested in purchasing operational rights in Canada, Australia, and New Zealand, negotiating with Trump administration!

Microsoft has officially confirmed the acquisition of TikTok's operations in the United States for the first time in an announcement, stating that after discussions between Microsoft CEO Satya Nadella and U.S. President Trump, both sides will further discuss the acquisition.

Trump Issues Ban, Will WeChat Be Next?

Due to concerns about information warfare, as well as the potential involvement of the Chinese Communist Party in U.S. cybersecurity and presidential election data, U.S. President Trump ordered a review on July 29, claiming that the international version of TikTok by ByteDance has become a tool for monitoring the American public and did not rule out the possibility of a complete ban.

Originally, it was expected that the White House would quickly issue a ban, but unexpectedly, tech giant Microsoft stepped in. Microsoft claimed to fully understand Trump's concerns and promised that after the acquisition, it would conduct a comprehensive security review, while also providing reasonable economic benefits to the U.S. and Treasury Department. The announcement stated:

Microsoft will accelerate discussions with ByteDance, the parent company of TikTok, in the coming weeks and will complete discussions no later than September 15. During the negotiation process, we look forward to continuing dialogue with U.S. President Trump and government authorities.

It is reported that ByteDance and Microsoft have notified the Committee on Foreign Investment in the United States (CFIUS), and this deal not only involves the acquisition of TikTok's business in the U.S., but also includes the acquisition of operating rights in Canada, Australia, and New Zealand. Microsoft also stated that it will release a small portion of the quota to allow other investment institutions to participate.

Security Concerns Could Become the Weakness

Earlier reports have revealed security vulnerabilities in TikTok, where hackers could hijack user accounts through its security loopholes to post malicious links and videos without the users' knowledge. On June 25, researchers also found that over fifty iOS apps, including TikTok, were capturing data from the iOS clipboard, potentially leading users to unknowingly expose the private keys of their cryptocurrency wallets.

Countries are gradually becoming aware of these security issues. The Indian government announced on June 29 that it would ban 59 apps from China, including TikTok. The South Korean Communications Commission also stated on July 15 that TikTok collected data from children under 14 without parental consent, violating personal information regulations and was fined 1.86 billion Korean won.

Since Trump issued the ban, the controversy has spread globally. Australian Prime Minister Scott Morrison has requested the country's intelligence agency to investigate TikTok to confirm if it poses a security threat, with some lawmakers already advocating for a TikTok ban. In Japan, some lawmakers have decided to recommend restrictions on TikTok to the Japanese government.