MrBeast, or Jimmy Donaldson, the most well known creator on YouTube, recently decided to go into the media spotlight with intention of joining a group of investors who were looking into purchasing the video platform TikTok. This has become major headlines due to how popular MrBeast is with a new generation and is also directly tied to political discussions.
MrBeast's Interest in TikTok
Donaldson posted online regarding his intentions of being involved in purchasing the company saying “Okay fine, I’ll buy Tik Tok so it doesn’t get banned”. While seemingly joking there were real attempts and strategies moving forward to acquire TikTok along with his intentions on helping to prevent a permanent ban in the U.S. The serious undertaking showed his high level influence over his young demographic of viewers.
Joining a Group of Investors
MrBeast is joining forces with others led by Jesse Tinsley of Employer.com, which shows there are various different types of investors who don't want to see TikTok disappear. The bid to buy this popular social platform has become a very sought after move with high priority.
Legal Action
A law that was passed to force ByteDance, TikTok’s parent company to sell to another owner has created the unique challenges which forced an offer in order to prevent a complete shut down of the service within the United States. With a deadline looming there are many negotiations taking place to come to a solid agreement.
75-Day Deadline
The ban that was slated to begin briefly made the platform offline until it was resolved temporarily by the new US president to extend the date giving the two companies 75 days to come up with new terms for operation.
Bids For TikTok
There are now multiple groups interested in a purchasing opportunity such as the popular billionaire Elon Musk who has stated his interest as well. With many new players wanting control it gives the company a potential buyer and allows them to still thrive in an American market.
"The People's Bid" Group
Kevin O’Leary of Shark Tank and other major entrepreneurs have grouped up together to create their own offering in a bid. While these amounts have not been made public there is still an immense interest to keep the platform in business due to what was previously set in stone by law.
ByteDance's Position
TikTok’s parent company is also facing legal issues that forces it’s need for divestment due to its location as a company that is China based. All parties including ByteDance will need to come to terms with their respective view and have to follow up with proper legal steps.
MrBeast's Role and Motivations
While joking around online MrBeast also showed to the public in a video his lawyer showing they already have a proposed plan to give ByteDance if a purchase can come to fruition. His lawyer’s ties to politics became something people paid attention to, this may indicate the influence they would hold if his bid does go through.
Protection of Users and Continuity
The core concern is about not disrupting the operation for users. There are roughly 170 million people who are active users which highlights the need to be sure the transition is one that will keep the application working correctly in the current state. As MrBeast's core demographic is within this number their user experience is top priority for the move.
Political and Economic Aspects
The sale of TikTok was originally tied into some very intense conversations within politics surrounding information gathering from foreign platforms that many believed to be a breach in national security. Also the high monetary values are something the US government wishes to capture creating many layers to an acquisition. There also was discussion of forcing a 50% stake into any new ventures.
Trump's Involvement
Many have been trying to figure out his political views on the sale as he mentioned how much worth there is if a plan is created. However he did sign an executive order to pause the previous ban indicating some major shifts within the timeline of requirements that needed to be met.
Ownership Implications
The shift in requirements will not necessarily guarantee the future security of app data or a long term vision without a solid plan being put into place by all parties. It is not completely known how each company views one another so future issues may arise.
Key Takeaways
- MrBeast expressed his intent to buy TikTok joining other investors.
- He was seen making the offer public which sparked conversations about the app.
- The efforts came about due to the concern regarding ByteDance and the imposed 75-day limit for a sale to take place in the US.
- Various billionaires as well as smaller investor groups are making bids to have an opportunity to buy or operate the video app.
- TikTok’s future remains uncertain as it has become a political point between legalities and business.