Fox Corp. Explores Investment in TikTok U.S. Amid Ongoing Negotiations

Fox Corp., helmed by chairman and CEO Lachlan Murdoch, is reportedly in discussions to acquire a stake in the U.S. division of TikTok.

Trump Reveals Murdoch Involvement

President Donald Trump disclosed the Murdochs’ potential role in the TikTok negotiations during an interview broadcasted on Fox News’ “The Sunday Briefing.” He stated that both Lachlan Murdoch and his father, Rupert Murdoch, are “probably going to be in the group.” Additionally, tech magnates Larry Ellison and Michael Dell are also mentioned as prospective investors in TikTok U.S.

Details of the Deal Remain Unclear

Representatives for Fox Corp. have yet to respond to inquiries regarding this matter. Key details of the TikTok U.S. deal, including its total valuation and the stake each investor may hold, are still undisclosed.

Executive Order Expected

Reports from Axios suggest that Trump is set to sign an executive order later this week, which would endorse the proposed deal. The administration aims to secure a “multibillion-dollar” fee from investors involved in purchasing TikTok U.S. as part of its agreement with China, as reported by the Wall Street Journal.

Legal Challenges and Ownership Changes

With a U.S. law enacted on January 19, 2025, prohibiting U.S. companies from engaging with TikTok under Chinese control, the new ownership model aims to limit ByteDance’s stake below 20%, complying with the legal structure that arose from national security concerns.

Negotiations with China

Trump noted on Friday that an arrangement for TikTok U.S. is approved by Chinese President Xi Jinping, with reports indicating that both nations have reached a preliminary agreement on transaction parameters. Enforcement of the divest-or-ban regulation has been postponed until December 16, as stakeholders finalize the operational framework.

ByteDance’s Position and Commitment

Despite the swirling rumors about the future structure of TikTok U.S., neither ByteDance nor TikTok has provided comments on the upcoming ownership model. However, in a recent statement, ByteDance expressed gratitude to President Trump and President Xi Jinping for their roles in keeping TikTok operational in the U.S., confirming their compliance with local laws to ensure the app’s availability for American users.

Future of Fox Corp. and TikTok

It remains uncertain whether Fox Corp. would opt for a passive stake in TikTok U.S. or leverage its existing assets, such as the free streaming service Tubi, in conjunction with the TikTok platform. Earlier this month, Lachlan Murdoch solidified his leadership over Fox Corp. and News Corp. following a family succession dispute.

Investment Group Structure

According to recent reports from the Wall Street Journal, TikTok U.S. will be predominantly owned and managed by an investment consortium, which includes Oracle, Silver Lake, and Andreessen Horowitz, with existing ByteDance investors like Susquehanna International, KKR, and General Atlantic also involved. A U.S.-dominated board is anticipated, including a member designated by the U.S. government, reflecting the regulatory oversight anticipated in this new framework.

Licensing the Technology

Under plans proposed by the Trump administration, ByteDance will license the TikTok content recommendation algorithm to the U.S. entity, ensuring separate operational management from the version controlled by China.