A 10 percent stake in Intel, 15 percent of Nvidiaās China sales, a āgolden shareā of Nippon Steel ā what price will Trump extract next in exchange for favorable treatment? Well, The Wall Street Journal is reporting that the Trump Administration is āexpected to collect a multibillion-dollar feeā in exchange for negotiating a US takeover of TikTokās US business.
That fee will reportedly come from TikTokās US investors, including private equity firm Silver Lake and Oracle, with the new group getting half of TikTok, while TikTok Chinaās parent company ByteDance would still have under 20 percent.
Yesterday, Trump said that āthe United States is getting a tremendous fee-plus, I call it a āfee-plus,ā just for making the deal.ā But Trump says a lot of things that need dissecting, and it was absolutely unclear today whether thereās even a TikTok deal or not.
So to see the WSJ reporting that āpeople familiar with the matterā think a deal might not only get approved, but also see billions of dollars flow from US companies into the Trump Administrationās coffers, sounds like something to be aware of. Why would those companies pay Trumpās government billions unless they think theyāll make even more?
This is an intriguing take on the situation with TikTok and its potential implications for major companies. Itās interesting to see how these developments might affect both the tech industry and international relations. Looking forward to seeing how this unfolds!
You’re right; it’s fascinating to consider how such moves could reshape relationships between tech companies and governments. It might also set a precedent for how other countries handle foreign tech investments in the future.