President Donald Trump recently confirmed that Microsoft is among several U.S. companies interested in acquiring TikTok as a strategy to prevent a potential ban of the popular social media platform set to take effect in April. Trump indicated that he is supportive of competitive bidding, stating, "I like bidding wars because you make your best deals" as he spoke to reporters while traveling back to Washington from Miami.

The deadline for TikTok to secure new ownership has been extended and now runs until April 4, a change made by Trump shortly after he took office, allowing the app time to find a suitable buyer that meets government requirements. The president emphasized a desire for the ultimate purchaser to grant the U.S. a 50% stake in the company, which is currently owned by China-based ByteDance. However, the specifics of these negotiations remain unclear, including whether the control would lie with the government or a U.S. entity.

In a related development, artificial intelligence startup Perplexity AI has proposed a plan to ByteDance. This new entity would include TikTok’s U.S. business, allowing the U.S. government to potentially own up to 50% of this new firm, excluding TikTok's core recommendation algorithm which would remain with ByteDance. According to SCMP, this proposal highlights the importance of TikTok's U.S. operations in national discussions of technology and security.

Interest in TikTok's U.S. platform isn't limited to Microsoft; several investors, such as former Treasury Secretary Steven Mnuchin and billionaire Frank McCourt, have expressed intentions to bid for the company. Trump has noted having conversations with "many people" about TikTok's future, reflecting broader national security concerns about Chinese ownership and user data privacy.

The legislative landscape surrounding TikTok has been contentious, particularly following the signing of a bipartisan law aimed at the app last April. While ByteDance initially resisted any plans to sell, it appears to be in discussions with U.S. officials to find a resolution that allows TikTok to remain operational in the country.

The situation surrounding TikTok continues to evolve with both Microsoft and other investors vying for a strategic stake as Trump seeks to navigate national security implications associated with foreign ownership of social media platforms, engaging in discussions that point to the complexities involved in such high-stakes transactions. For more details, refer to AP News and India Times.