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High Stakes: Trump, Xi, and the TikTok Tangle

  • Nishadil
  • September 19, 2025
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  • 2 minutes read
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High Stakes: Trump, Xi, and the TikTok Tangle

A high-stakes geopolitical drama unfolded as then-President Donald Trump and Chinese President Xi Jinping prepared for pivotal discussions concerning the future of TikTok, the massively popular short-video app. The looming talks were expected to address the contentious proposed deal that would see TikTok's U.S.

operations largely acquired by American companies, a move aimed at assuaging Washington's national security concerns.

The controversy surrounding TikTok, owned by Beijing-based ByteDance, escalated throughout 2020 amid heightened tensions between the United States and China. U.S. officials, led by the Trump administration, repeatedly voiced fears that the app's Chinese ownership could pose a national security risk, potentially allowing the Chinese government access to the data of millions of American users or enabling the spread of propaganda.

ByteDance vehemently denied these allegations, asserting its data was securely stored in the U.S. and Singapore, and that it would not share user data with Chinese authorities.

Amid these concerns, President Trump had issued executive orders threatening to ban TikTok in the U.S. unless its American operations were sold to a U.S.

company. This pressure led to a complex negotiation, with Oracle and Walmart emerging as potential partners in a proposed deal. The proposed arrangement aimed to create a new entity, TikTok Global, with majority American ownership, thereby theoretically alleviating U.S. security worries while allowing the app to continue operating.

However, the deal's finalization was complicated by the intricate geopolitical landscape.

Chinese regulators introduced new restrictions on technology exports, requiring government approval for the transfer of specific algorithms, including those integral to TikTok's success. This move suggested Beijing's reluctance to simply cede control over one of its most valuable global tech assets, transforming what appeared to be a straightforward business transaction into a complex diplomatic chess match.

The discussions between Trump and Xi were not merely about an app; they were emblematic of the broader technological and economic rivalry between the world's two largest economies.

The outcome of the TikTok saga was seen as a litmus test for how future disputes over data sovereignty, intellectual property, and global tech dominance would be handled. The impending talks underscored the significant role of political leaders in shaping the fate of international corporations caught in the crossfire of superpower competition, leaving the app's 100 million American users and its global operations hanging in the balance.

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