US authorities will not lengthen the deadline for a TikTok deal, however negotiations proceed
The move will allow negotiations between TikTok and US officials to continue.
TikTok has worked out the details of a proposed contract with the U.S. government to clarify allegations that the app poses a spy threat. TikTok and its Chinese parent company ByteDance proposed a deal earlier this year that would involve US investors like Oracle and Walmart. President Donald Trump has tentatively blessed the proposal, but it has not been formally approved by the Committee on Foreign Investment in the United States (CFIUS), a government body chaired by the Treasury Department that analyzes foreign investment treaties for national security implications.
TikTok declined to comment.
In a statement, the Treasury Department said that CFIUS “is working with ByteDance to complete the divestiture and other steps necessary to resolve national security risks arising from the transaction in accordance with the presidential decree dated Aug. 14”.
Although the Trump administration has exceeded the December 4th deadline, it will not attempt to impose fines or other consequences on TikTok for the time being, the person said. Negotiations over the past few weeks have seen some progress and there are few unanswered questions, the person added.
The redress was described as an indefinite commitment with no specific timeframe for completing the negotiations. However, the government said the government was “highly motivated to finish this” and the lack of a specific deadline shows the government’s confidence that a solution is near.