Musk Bought Twitter For $44B: Here’s How Much TikTok Might Cost Elon Musk

About three years ago, Elon Musk famously tweeted “the bird is free” to celebrate his $44 billion acquisition of Twitter. Now, the tech visionary might be preparing for another bold venture—this time involving TikTok. Reports suggest that Chinese officials are considering Musk as a potential buyer for TikTok’s US operations, a move that could reshape the social media landscape.

Uncertainty Faced Amid US Ban

TikTok, owned by Chinese tech giant ByteDance, is under scrutiny in the United States due to national security concerns. A Supreme Court ruling on January 19 could determine whether TikTok must sell its US operations or face a complete ban. With 170 million American users at stake, the platform’s future hangs in the balance.

Bloomberg, citing unnamed sources, reported that Chinese officials are open to selling TikTok’s US operations to Musk if a ban cannot be avoided. Neither ByteDance nor Musk has made official comments on the matter, but the speculation has sparked widespread interest.

What Could TikTok Cost Elon Musk?

TikTok’s valuation adds another layer of complexity. ByteDance reportedly values itself at $300 billion, while TikTok alone is estimated to be worth around $100 billion, though exact figures remain elusive. In 2024, TikTok’s global revenue is projected to reach $18.5 billion, with $7.7 billion generated in the US alone.

To put this into perspective, Musk acquired Twitter at 8–10 times its annual revenue of $5 billion. Applying a similar multiple to TikTok’s revenue suggests a valuation between $144 billion and $180 billion. For context, Microsoft’s attempted purchase of TikTok’s US operations in 2020 was valued between $50 billion and $60 billion.

Could Musk Save TikTok?

While Musk’s track record in reshaping industries makes him a compelling candidate, acquiring TikTok would be a monumental challenge. The question remains: will Musk step in to save the day, or will the platform face an uncertain future in the US?

As the January 19 deadline approaches, all eyes are on TikTok, ByteDance, and Musk to see how this high-stakes drama unfolds.