Abu Dhabi royal family to take stake in TikTok US

(theguardian.com)

98 points | by andsoitis 2 days ago ago

122 comments

  • karaterobot 2 days ago ago

    The ideal scenario isn't the government forcing a sale of TikTok for political reasons. The ideal is that people stop using TikTok because they realize it's not good for them, but I guess I don't see that happening. Instead we'll just continue scrolling while wondering why we're so unhappy and angry all the time.

    • nostrademons 2 days ago ago

      I had heard that the existing TikTok app will shut down in the U.S, with the investment consortium launching a new TikTok US app and re-training the algorithm on U.S. users only. If this is true, it might have the same effect: speedbumps where users have to download a new app and lose all their personalization often lead to massive drops in userbase, as they figure that if they have to start from scratch anyway, they might as well start from scratch doing something else.

      • dboreham 2 days ago ago

        They (Andressen et al) won't do it that way.

    • didntknowyou a day ago ago

      what do you think people will do, get off tiktok and go outside to hike? if anything they will just switch to instagram reels there's no good scenario here.

    • xnx 2 days ago ago

      > The ideal is that people stop using ______

      Fill in the blank with whatever you find personally disagreeable: TikTok, alcohol, sports gambling, hallucinogens, video games, cigars, sugary foods, etc.

      • estimator7292 2 days ago ago

        Some things are objectively bad with no space for interpretation or personal opinion.

        • panja a day ago ago

          Yeah I don't think tiktok is one of those things

          • solace_silence a day ago ago

            Yeah, it's just benign ads and people having fun. What's all the fuss about?

            /s

            Is it really a mystery that there's concern about corporate media consolidation and collusion with governments to self-serve their interests over individuals?

            I mean, this is beyond naive if you dismiss what's happening and will continue.

            • asacrowflies a day ago ago

              It's isn't naive. They know how bad it is and profit off this. They don't want it to get better

    • Rebuff5007 2 days ago ago

      IMO the ideal is incredibly strong data privacy laws such that it does not matter if consumer products are owned by a rich guy in Mountain View or Abu Dhabi.

      • AdamN 2 days ago ago

        Privacy (a big issue) is the least of our problems with media ownership by hyper-elite royalty.

    • sentinelsignal 2 days ago ago

      Unfortunately you're right. Including the last part.

    • mxkopy a day ago ago

      Scrolling TikTok I get cool videos from underground artists, memes and skits

      Scrolling HN I find hateful stances about hyperspecificties, overconfident self righteousness, and new peaks of misanthropism

  • paxys 2 days ago ago

    The biggest benefactor here is Meta. There's no way TikTok will remain a dominant social platform in the US amidst all the political meddling and so many high profile investors with competing interests.

    This is likely also why Meta announced that they are overhauling Instagram to make Reels and recommendations the default experience - https://uk.finance.yahoo.com/news/instagram-overhaul-app-num.... Just as with Threads, they saw an opening and are doubling down hard.

    • throwacct 2 days ago ago

      Well, TikTok is and will still be the dominant force in that area, and I don't think Instagram will win this time. For photos? Instagram is still the king of the hill. For video consumption? TikTok is the king.

    • bamboozled 2 days ago ago

      We could be spending all this effort on curing diseases...how stupid we can be.

      • belter 2 days ago ago

        Larry Ellison is the richest person on Earth, and that tells you everything you need to know about the world, and Peter Thiel AntiChrist concerns...

        • tdeck 2 days ago ago

          Do not fall into the trap of anthropomorphizing Larry Ellison.

          • atmavatar 2 days ago ago

            Correction: richest lawnmower

      • gretch 2 days ago ago

        You won't believe this next part. We actually did make vaccines for several diseases that were as close to 100% safe as real world possible, and people were voluntarily rejecting it.

        • sli 2 days ago ago

          Tiktok primarily causes harm and plenty of people voluntarily reject it. What's your point? We shouldn't do good things because sometimes people don't want them?

          • dotnet00 2 days ago ago

            Probably just saying that people can be even more stupid than you think

        • whatevaa a day ago ago

          Which vaccines are you talking about?

    • tempodox a day ago ago

      s/benefactor/beneficiary/

  • addicted 2 days ago ago

    For context, SNAP is valued at $14Bn.

    This is a straight up giveaway to friends.

    Even dictators in other countries don't make it so obvious because they're worried their populations would revolt, which says a lot about the American voter today.

    • mandeepj 2 days ago ago

      > This is a straight up giveaway to friends.

      None of Tiktok's executives were present, and China has not confirmed the sale. So, I don't think clown's EO means anything. He's living in his own la la land :-)

      • 2 days ago ago
        [deleted]
      • throwawaymaths 2 days ago ago

        wait why does china have to confirm the sale? i thought tiktok was singaporean!

        • mandeepj 2 days ago ago

          > i thought tiktok was singaporean!

          Tiktok's CEO is a singaporean! Maybe you are mixing it with that.

          Tiktoks' parent company ByteDance is headquartered in China. https://en.wikipedia.org/wiki/ByteDance

        • c0balt 2 days ago ago

          Shou Zi Chew, the CEO of TikTok since 2021, is Singaporean. TikTok, the company, is owned by ByteDance.

        • sjsdaiuasgdia 2 days ago ago

          The CEO of TikTok is from Singapore. Bytedance is a Chinese company.

    • talbo888 2 days ago ago

      Before people jump to conclusions, if you look at the details there seems to be a plan for a major profit sharing and licensing agreement with Bytedance. The numbers floated around are that 50% of the profit would go to Bytedance plus.

      This would significantly impact its valuation to outside investors.

      • didntknowyou a day ago ago

        it was always more about control than making profit tbh

    • maxglute 2 days ago ago

      IIRC previous talk for TikTok US valuations / buyout was ~40B. But Tiktok was at ~20% Bytedance / PRC ownership before and after. US ownership to boost from 60-80%. So not really sure who this is boning more.

    • giarc 2 days ago ago

      It's all a grift. The cynic in me says that if you looked close enough, you'd find some large deposits into Trump coin or World Liberty Finacial shortly before this announcement.

  • baxtr 2 days ago ago

    > MGX, chaired by Sheikh Tahnoon bin Zayed Al Nahyan, will take 15% stake, with social media firm valued at $14bn

    So they value the most attention owing social media at a mere $14b? As reference: Meta has a total market cap of around $1.8 T.

    • xenobeb 2 days ago ago

      It is so outrageous to value Tiktok USA at $14 billion.

      Forget Meta's market cap, does anyone think Zuckerberg wouldn't have paid 20 billion for Tiktok USA ?

      Just so corrupt and to even call it a sweetheart deal is outrageous.

      I thought it should just be banned in the US. The idea we are basically strong arming a whole nation and stealing a company at a bullshit valuation is completely insane.

      • sfifs 15 hours ago ago

        The problem with operating this way is it's very easy for the same gun to be used against you when political winds inevitably change. In Bangalore famously, one administration's politicians had bought up all farmland and then announced the new airport location in that area. When they lost the election, the next administration moved the airport after the project had already started to a different inferior location dozens of kilometers away where it stands today mainly to impose losses on their political opponents. This is also why connectivity to the airport is poor to this day.

    • paxys 2 days ago ago

      "Sell to our preferred investors for pennies on the dollar or lose access to the most lucrative market in the world". It's not like TikTok had a choice.

    • jasonlotito 2 days ago ago

      For what it's worth, this is just TikTok US, not TikTok as a whole. Make of that what you will.

      • pzo 2 days ago ago

        still looks small if simplifying and counting just by global population would be 340/8100*1800 = ~$75B. Besides US market is more profitable.

        • jasonlotito 2 days ago ago

          Meta is more than just Facebook though.

          > still looks small if simplifying and counting just by global population

          Yes, I agree, if you ignore everything except one single number, I can see how it can be confusing.

      • prmoustache 2 days ago ago

        Are the US Tiktok infra, network and user feeds separated from the rest of the world?

        • jasonlotito 2 days ago ago

          Yes. This is fairly common knowledge.

          • prmoustache a day ago ago

            So people in Europe and Latin America for example cannot see USA accounts/contents and vice-versa?

            What about Canadians?

  • sybercecurity 2 days ago ago

    It's getting to the point where the news should be who isn't in on the deal.

    • potato3732842 2 days ago ago

      Gotta have enough parties in on it so that there's no one party responsible enough to face consequences when it all goes tits up.

  • 2 days ago ago
    [deleted]
  • bgwalter 2 days ago ago

    If Larry Ellison overtly censors TikTok, teenagers will leave.

    Do I understand that the strategy here is soft power so that teenagers get approved content via the algorithm in the hope that they don't notice? That is a pretty big gamble.

    So they are dumping part of that risk on the gulf monarchies like with Twitter. I bet China is already working on a TikTok replacement.

    • ct0 2 days ago ago

      No they wont, teens everywhere still use IG, and YT.

  • endsandmeans 2 days ago ago

    When the state picks the winners everyone loses.

    Run it into the ground!

  • fennecbutt 2 days ago ago

    Lmao "protecting American data" by handing it over the the UAE.

    • sporkxrocket 2 days ago ago

      Larry Ellison is far more concerning:

      https://www.ynetnews.com/article/5038379

      Between them and a16z, this is Israel taking control of a channel they view as threatening as it gives Palestinians a voice.

    • rswail 2 days ago ago

      Larry Ellison will own the data. It already is hosted on Oracle Cloud.

      The data won't leave the US, the UAE are paying a protection tax.

  • tolerance 2 days ago ago

    This is turning into a crude case study for multipolar geopolitics.

  • analog8374 2 days ago ago

    Tiktok is good for what, spying and propagandizing? I can see how all the rulers would want to buy in on that. Probably got some serious large scale magic analysis stuff going on.

    It's heartwarming to see the ruling classes coming together for their mutual benefit like this.

  • SirFatty 2 days ago ago

    But hey, at least we've removed the China threat!

  • 2 days ago ago
    [deleted]
  • thevillagechief 2 days ago ago

    How and who is making the decisions about ownership? I'd think they'd have gone for open bidding, or even an IPO. I don't even see why negotiations with the Chinese was needed. There's a law, affirmed by the Supreme Court. The private markets could have handled this just fine. The Biden admin abrogated responsibility here by punting this.

    • loopdoend 2 days ago ago

      It is a tool to control people they don't want to shut it down.

      • razster 2 days ago ago

        I only use TT for my 3D modeling, Blender3D tricks and motion graphics. I have all political options disabled and have blocked all news. So far not a single political ideology has popped up on my fyp. Ads are also 0. Enjoying it so far. Fine tuned for my needs.

        • tdeck 2 days ago ago

          I only use YouTube in a mobile browser with uBlock Origin turned on, so I never see any ads. Highly recommended by the way. Clearly YouTube is a terrible business model and has zero revenue potential.

        • bamboozled 2 days ago ago

          and you are what, 0.5% of people that use it and do that?

    • burkaman 2 days ago ago

      Donald Trump and his friends are making the decisions. They have ignored the law you mentioned because they don't like it.

  • Calavar 2 days ago ago

    The Gulf States are seeing absolutely excellent ROI for the 1b they pooled together for a 747.

    • shihab 2 days ago ago

      That was government of qatar, this is Abu Dhabi (UAE). They had a diplomatic crisis, with full-scale blockade not so long ago.

      • meibo 2 days ago ago

        It's fine, I don't think he can tell the difference.

      • bgwalter 2 days ago ago

        UAE was engaged in crypto dealings instead:

        https://www.nytimes.com/2025/09/15/us/politics/trump-uae-chi...

        "Earlier this year, World Liberty, the crypto firm run by the Trumps and Witkoffs, announced an agreement with an investment firm backed by the ruling family of the U.A.E. The Emirati firm would conduct a $2 billion transaction using World Liberty’s digital coins, a deal that would provide a windfall to the Trump and Witkoff families."

        • alephnerd 2 days ago ago

          That's the Emirate of Dubai, not Abu Dhabi.

        • tdeck 2 days ago ago

          I wish there were some clause in the US constitution that broadly and expressly prohibited this kind of thing.

        • bix6 2 days ago ago

          What does the UAE get out of this? Is it just a massive financial loss in exchange for US market access?

          • fib11235 2 days ago ago

            One of NYT's recent podcasts (The Daily) covered this, basically the Biden administration was reluctant to give the UAE access to Nvidia chips because of their close dealings with China. 2 weeks after this crypto investment, the white house agrees to give the UAE access to the chips.

            Here's an article if you're interested: https://www.nytimes.com/2025/09/15/us/politics/trump-uae-chi...

            • bix6 a day ago ago

              Ty!

          • ceejayoz 2 days ago ago

            > What does the UAE get out of this?

            What does the UAE gain by funneling $2B to Trump, who is notoriously a) transactional and b) one of the most powerful people on the planet?

            • bix6 a day ago ago

              yeah my question was around the return transaction which the other commenter answered

            • mrguyorama 2 days ago ago

              Being "transactional" requires you to hold up your end of the bargain, which Trump famously does not.

              Trump is not transactional.

              • tempodox a day ago ago

                Is quibbling over a euphemism really worth the time? He’s corrupt, plain and simple.

              • ceejayoz 2 days ago ago

                He's very transactional. He just regularly backstabs after he gets his end of things.

    • oefrha 2 days ago ago

      You mean having their capital bombed with zero response from U.S.-supplied air defense systems is great ROI?

      • dboreham 2 days ago ago

        tbf they were attacked with albms and presumably the US didn't supply the space-based sensing part of the defenses.

    • pc86 2 days ago ago

      This comment shows an astounding lack of knowledge of not only current events but also even the most basic middle east geopolitics.

    • 2 days ago ago
      [deleted]
    • ceejayoz 2 days ago ago

      Wait until the intel from the bugs comes in!

    • FridayoLeary 2 days ago ago

      OT but i think the 747 story deserves a bit more nuance. First of all to be clear i'm dismayed by the idea. It's not great optics that Trump wants to keep the plane (library force one?) . Even accepting it in the first place is also odd. Add to that, using it as Air Force One seems to be impractical.

      BUT, there is precedent for this move. They gifted an even more expensive plane to Erdogan. From what i understand they have been trying to sell the plane for a while. It seems even they have trouble affording it's upkeep. Turns out there isn't a huge market for luxury private jumbo jets. From their perspective it's a white elephant. Trump is aware of that.

      I heard another explanation that this is a way of putting lateral pressure on boeing. Trump is frustrated with the progress of the new air force one. His current one is aging. It makes sense as it's a typical tactic of his.

      I'm not coming to defend it, just to explain some of the rationale behind the decision.

      (edit to reply to several comments. First of all air force one is well maintained but it's old already. Parts and repairs become more difficult and the amount of miles left on the airframe can't be too high. Replacement is necessary. As to building a new plane out of spares being faster... Just ask boeing how that's going for them. They even had the fuselages ready and waiting for quite some time. Boeing executives know they will face some actual consequences for murdering the POTUS, which is probably why it's taking so long. It's difficult to build a plane properly when you've gotten rid of everyone who knows how and you've sold half of your factories, some to even more bad faith actors then yourself.)

      • ceejayoz 2 days ago ago

        > BUT, there is precedent for this move. They gifted an even more expensive plane to Erdogan.

        "We gave a huge gift to an authoritarian leader" is indeed precedent; not a great one, though.

        • FridayoLeary 2 days ago ago

          Point is it looks less like a tribute you might offer to a powerful emperor and more like an ordinary plane giveaway.

          • kashunstva 2 days ago ago

            > more like an ordinary plane giveaway

            I’ve been around aviation for a good portion of my life, and oddly enough, I’ve never encountered an “ordinary plane giveaway.”

          • ceejayoz 2 days ago ago

            Are you… unfamiliar with Erdogan?

          • estearum 2 days ago ago

            What?

      • TheCondor 2 days ago ago

        “Not great optics” is a very generous way to describe it. Maybe they should detail the faults of the current Air Force 1 and explain how it’s failing to enable the president to serve the nation. “Aging” is awfully vague and they service the hell out of those jets, completely rebuilding mechanical parts on an extremely aggressive schedule compared to airlines

      • flir 2 days ago ago

        > using it as Air Force One seems to be impractical

        well... yeah. you'd have to strip it back to bare metal components and start again, wouldn't you? trust in every bit of electronics on the plane would be zero. be faster to build a new 747 out of spare parts.

      • estearum 2 days ago ago

        > Even accepting it in the first place is also odd

        illegal.

        That's the word you're looking for. The Constitution is absolutely clear on this: POTUS is not allowed to accept foreign gifts without authorization of Congress. To this day, Trump has neither sought nor received Congressional authorization.

        • davidw 2 days ago ago

          This is the emoluments clause:

              No Title of Nobility shall be granted by the United States: And no Person
              holding any Office of Profit or Trust under them, shall, without the Consent
              of the Congress, accept of any present, Emolument, Office, or Title, of any
              kind whatever, from any King, Prince, or foreign State.[5]
          
          And the reason they put that there is the obvious one: this is as corrupt as corrupt gets.
          • dboreham 2 days ago ago

            More what you'd call "guidelines"...

            • davidw 2 days ago ago

              It's extremely clear. As is the cowardice and moral rot of the people in the majority in Congress and the Supreme Court who are supposed to be responsible for upholding the clear meaning of the Constitution.

        • kevin_thibedeau 2 days ago ago

          The gift was to the American people accepted on our behalf by the felon. It is public property that just needs to be declared inoperable when he is out of office so he can't use it illegally.

          • estearum 2 days ago ago

            No, he needs to get Congressional approval to accept it in the first place. The Emoluments Clause is crystal clear.

      • 2 days ago ago
        [deleted]
      • mandeepj 2 days ago ago

        > this is a way of putting lateral pressure on boeing

        Their two 737 max planes crashes, killed 346 people. I think they are immune to any pressure at this point.

      • 4ndrewl 2 days ago ago

        Is it really a typical tactic of Trump or his administration. They don't come across as 4D chess player, more like make one move and they just tip over the table and say they won the game of checkers.

  • blitzar 2 days ago ago

    Congratulations to the US on taking soverign control over their TikTok feed.

    • kspacewalk2 2 days ago ago

      Congratulations to TikTok for avoiding being kicked out of the US market.

      • blitzar 2 days ago ago

        Technically they are kicked out of the US market. Their app, content and users siezed and handed to another party.

    • mikeodds 2 days ago ago

      Now let’s do LPs of famous American VCs

  • dyauspitr 2 days ago ago

    At $14billion most of big tech would have picked this up without a second thought. This is anti capitalist, communist bullshit.

  • Rakshith a day ago ago

    [dead]

  • ashoeafoot 2 days ago ago

    [dead]

  • FridayoLeary 2 days ago ago

    [flagged]

    • tobylane 2 days ago ago

      In reading the quote from Vance I was starting to think that American's data is only safe in the hands of European companies.

      The quantity of propaganda is going up with the new owners, and this royal family will likely have minimal impact or input.

    • coldpie 2 days ago ago

      > letting china potentially use tiktok to spread anti western propoganda

      Lol if you bought into this. All the anti-Tiktok stuff & forced sale is just a gift to American businesses that were struggling to compete.

      • quickthrowman 2 days ago ago

        Larry the Lawnmower, to be specific.

      • eckelhesten 2 days ago ago

        "Anti western propaganda" means "dont show whats happening in Palestine and you'll be fine."

        Israel has controlled the narrative on Meta and Google. TikTok is the only platform they couldn't control until now.

    • bix6 2 days ago ago

      > it’s not going to be used as a propaganda weapon against our fellow citizens.

      Yeah sure

      • 20after4 2 days ago ago

        Ding ding ding. This is the real goal. They want to weaponize it against us. Far more so even than China did.

    • consp 2 days ago ago

      You replace china with a directorate with a (possibly different) propaganda goal. Don't know if that will be any better, safer or less evil.

      • FridayoLeary 2 days ago ago

        Exactly my point. Hypothetically, even if the level of propoganda stays the same, at least it will be promoting western interests that may be harmful to us or may not. With Chinese propoganda you can be fairly certain their interests are in strengthening their own position and weakening ours. Anyway the western propoganda machine to the extent it exists is far more fragmented and weaker then the Chinese.

        In short i trust the West more then china and even if the gulf might be shrinking, it will stay that way for the foreseeable future.

        • jfengel 2 days ago ago

          I'm not sure I trust the American propaganda machine more than the Chinese one, not any more. Social media has become increasingly hostile, and there are hints that it's becoming violent. Some of these are foreign adversaries, but many of them are home-grown. They might exacerbate it but we seem to be doing it to ourselves just fine.

          Not that the Chinese would be better. But I'm not sure if they'd actually make it worse.

        • coldpie 2 days ago ago

          China has not made my wife's healthcare illegal, my friends' healthcare illegal, spent my tax dollars on genocide, profited from anti-vaccine propaganda, or sponsored weekly mass shootings in my country. The people running this deal and running American social media platforms have done all of those things. I have way more trust in a platform run by China than one run by Zuckerberg or Musk or Ellison.

    • basejumping 2 days ago ago

      So why do they want Americans to use TikTok? It's not like they can't live without it, and anyway, they still have Youtube and Instagram short videos, etc. It's also not to show other countries that US is better and not banning foreign apps (like China does for example), since showing a good example won't change what other countries do. Is it because they know it's a more addictive service that they then control and can influence people's minds? Is it for their friends to make money off this split?

    • andy_ppp 2 days ago ago

      So given their history I suspect much like Twitter, TikTok US will push right wing propaganda and become a platform for MAGA.

      I’m still interested if TikTok users in the EU will be able consume US content and vice versa.