Perplexity AI revised the plan of merger with Tiktok and prepared a new bid that offers up to 50 percent partnership with the US government. This arrangement allows Tiktok to maintain a certain share of shareholders by the current Chinese owner, while the US government foresees Tiktok’s operations. The details of the proposal were first announced to the public by Associated Press (AP). Later, a source confirmed this information to the Techcrunch platform and said the proposal was shaped in line with the feedback from US President Donald Trump.
According to Perplexity’s new merger proposal, after the public offering of at least $ 300 million in the public offering (IPO), the US government will be able to get up to 50 percent of Tiktok’s new structure, including US operations. In addition, Tiktok’s Chinese -based parent company ByTedance will be able to maintain a certain share in a new structure. In the previous merger proposal, Perplexity AI was planned to add Tiktok to its own structure and create a consortium with new investors. However, in line with the warnings from the Trump administration, the new proposal offers a more comprehensive regulation.
Tiktok is under serious political pressure in the USA. Last week, a decision was made to fully sell or prohibit the popular social media platform of ByTedance in the USA. While Tiktok’s legal process was initiated for the disposal of US operations, the application was disabled for a short time. However, Donald Trump signed a presidential decree to extend the sales process and said that the US should get 50 percent partnership from Tiktok operations ”. However, it remains unclear whether Trump meant the US government or US investors.
Not the only American company interested in Perplexity AI Tiktok
Another actor stands out in developments in Tiktok’s US operations: Oracle. The company is currently a technology partner that provides the infrastructure of Tiktok’s US traffic. However, a news published this week claimed that the White House was working on an agreement that will take over US operations of Oracle and Tiktok. Donald Trump said he didn’t talk directly to Oracle about it, but he met with many people about Tiktok.
The future of Tiktok’s US operations is considered an important issue in terms of both national security and economic interests. The US government’s policy to limit the influence of China -based ByTedance on Tiktok is due to Tiktok’s concern of ensuring the security of US user data. On the other hand, Perplexity AI’s proposal provides national security concerns, but makes the US government and investors more control over the application.
In this process, it remains unclear how the final decision on Tiktok’s existence in the United States. However, the involvement of actors such as Perplexity AI and Oracle in the process is seen as a search for a solution not only for economic interests, but also to balance political and security concerns.