Archive · 27 Sep 2025
TikTok's US Valuation Controversy Stirs Investor Backlash
The US government is pushing for TikTok to be sold to a US company.
The government says TikTok's US business is worth $14 billion, but investors think that's too low.
They believe it is worth much more, given the app's popularity.
The deal involves a joint venture where ByteDance, the current owner, would still be involved but US entities like Oracle and Silver Lake may take control.
This is because the US wants to address worries about data security from TikTok's Chinese ties.
Some investors feel like they're getting a bad deal.
The Trump administration proposed a $14 billion valuation for TikTok's US business.
Investors and market observers consider the valuation to be too low.
TikTok's US operations have 170 million users and generate billions in revenue.
The deal is part of efforts to address US national security concerns.
ByteDance would retain less than a 20% stake in the new US venture.
- Who
- ByteDance, potential buyers (Oracle, Silver Lake), investors
- What
- Disagreement over the valuation of TikTok's US business.
- When
- Ongoing discussions; deal must finalize within 120 days.
- Where
- United States
- Why
- Addressing US national security concerns related to TikTok’s Chinese ownership.
Investors
Government / Potential Buyers
Valuation
Investors
The $14 billion valuation dramatically undervalues TikTok's US operations.
Government / Potential Buyers
The valuation is an acceptable starting point for the sale.
- Company
- ByteDance
- App
- TikTok
- Valuation
- $14 billion (US operations)
- US Users
- 170 million
- Potential Buyers
- Oracle, Silver Lake
