Trump Administration Awarded $10 Billion For TikTok Deal
As part of an agreement to establish a US-controlled version of TikTok, investors are reportedly set to pay the Trump administration a substantial transaction fee totaling $10 billion. This fee, described by the US government as a “fee-plus,” is being paid by administration-friendly entities such as Oracle and MGX, which took over TikTok’s US operations from its Chinese parent company. This arrangement, where the government receives a significant percentage of the deal’s value, is an exceptionally rare occurrence in private business transactions. The deal allows TikTok to continue operating in the US, with profits being shared with ByteDance, amidst ongoing concerns regarding national security and Chinese ownership.
John Q. Hosedrinker