Tech billionaire Elon Musk could add TikTok to his growing digital empire, which would dramatically reshape the social media landscape and give his AI ambitions a massive data boost.
Key details:
Chinese officials are reportedly considering X (formerly Twitter) as a potential buyer for TikTok’s U.S. operations.
The deal would add 170 million U.S. users to Musk’s social media portfolio.
TikTok’s data could supercharge Musk’s xAI company.
But. TikTok calls the Bloomberg report “pure fiction.”
State of play. With the Supreme Court signaling support for legislation that could force TikTok’s sale, Musk emerged as a surprise contender, despite previously opposing a ban.
The dynamics:
Musk could leverage TikTok’s massive user base to revive X’s struggling ad business.
TikTok’s vast data trove could provide critical training data for xAI.
The deal might exclude TikTok’s prized algorithm.
Why we care. This potential acquisition could significantly impact your social media marketing strategies in three key ways:
Musk’s ownership could lead to major changes in TikTok’s advertising costs and content moderation policies, similar to what happened at X (Twitter) after his takeover.
The possible consolidation of TikTok and X could create both opportunities for cross-platform advertising and risks if advertisers need to pivot away from both platforms.
If the deal excludes TikTok’s algorithm, it could affect ad performance and targeting capabilities that many brands currently rely on.
Reality check. Musk publicly opposed a TikTok ban in April, stating it would be “contrary to freedom of speech and expression” — even while acknowledging it could benefit X.