In an unprecedented move, the White House has assumed a pivotal role in the high-stakes sale of TikTok’s U.S. assets, with Vice President JD Vance overseeing the auction. This direct involvement by the nation’s highest office marks a significant departure from the usual hands-off approach Washington typically adopts in private transactions.
Vance’s legal counsel, Sean Cooksey—former Chair of the Federal Election Commission—has been facilitating communications between the White House and the bidders. He provides feedback, suggests modifications to offers, and serves as the main contact for potential buyers. This level of government engagement in a private deal is unusual, according to Richard Briffault, a government ethics expert and law professor at Columbia University.
For bidders, this process has been anything but ordinary. Reid Rasner, a Wyoming entrepreneur, describes the auction as a fluid and unpredictable process. “There is no clear set of assets, no valuation, and no investment bank leading the sale,” Rasner explained. TikTok’s Chinese parent company, ByteDance, has shown minimal involvement, offering little more than occasional input into the negotiations.
The auction has drawn significant interest, with several high-profile investors throwing their hats in the ring. Notable figures include Jeff Yass’ Susquehanna International Group, General Atlantic, Kohlberg Kravis Roberts (KKR), and Sequoia Capital—each of which is part of ByteDance’s U.S. backers. Additionally, billionaire Frank McCourt is joining forces with Canadian investor Kevin O’Leary and Reddit co-founder Alexis Ohanian on a bid. Social media sensation Jimmy Donaldson is also in talks to join their group.
The stakes are high, as TikTok faces a potential shutdown in the U.S. next month unless ByteDance can find an American buyer. U.S. President Donald Trump has confirmed that multiple groups are vying for control of the short-video app, which boasts 170 million American users. Trump has suggested the U.S. government could take a 50% stake in TikTok’s U.S. operations, adding yet another layer of complexity to the ongoing negotiations.
As the deadline to strike a deal looms—set for April 5—the bidding process remains fluid. Despite the White House’s active role, many questions remain, particularly regarding the strategic value of TikTok and the level of involvement from ByteDance and Beijing.
Government ethics experts are raising concerns about the implications of such direct government involvement in private transactions, especially when no clear strategic significance has been established for the company in question. As the sale progresses, observers will be watching closely to see how the auction unfolds and whether it will set a precedent for future government intervention in private business deals.
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