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Amazon submits eleventh-hour offer to acquire TikTok before U.S. ban deadline.
Amazon submits eleventh-hour offer to acquire TikTok before U.S. ban deadline.

Tech

Amazon submits eleventh-hour offer to acquire TikTok before U.S. ban deadline.

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Amazon has reportedly made a last-minute offer to acquire TikTok as the popular social media app faces an April deadline to separate from its Chinese parent company or risk being banned in the U.S., according to sources familiar with the situation.

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Despite Amazon’s bid, those involved in negotiations have downplayed its seriousness. The proposal, detailed in a letter to Vice President JD Vance and Commerce Secretary Howard Lutnick, highlights ongoing efforts to resolve TikTok’s ownership concerns. U.S. lawmakers previously passed legislation requiring TikTok’s divestiture over national security risks, but enforcement was delayed by former President Trump, even after receiving Supreme Court approval.

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On Wednesday, Trump met with officials to discuss TikTok’s future.

One alternative being considered involves U.S. investors such as Oracle and Blackstone acquiring partial stakes rather than a full sale, though it remains uncertain if this would comply with federal law.

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With 170 million users in the U.S., TikTok is a major player in digital commerce, with influencers driving sales—many of which benefit Amazon, which shares revenue with content creators.

Amazon had previously attempted to compete with TikTok by launching a similar feature called Inspire, which was later discontinued due to lack of engagement.

Other potential buyers have surfaced, including Zoop, a company backed by OnlyFans’ founder, and billionaire Frank McCourt. However, TikTok maintains that it is not for sale, in part due to expected opposition from the Chinese government.

Amazon is not the first major retailer to show interest in TikTok. Back in 2020, amid similar pressure for a U.S. takeover, Microsoft and Walmart attempted to acquire the platform. If successful, Amazon would become the most high-profile buyer of the app, joining other interested parties such as Jesse Tinsley, the founder of payroll company Employer.com.

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