Kevin O’Leary’s Plan: Save TikTok And Boost Privacy Measures

Social media apps on phone screen with hand holding stylus.

Kevin O’Leary’s vision to acquire TikTok aims to both save the platform from a possible U.S. ban and strengthen its data privacy measures.

At a Glance

O’Leary plans to purchase TikTok to avoid a U.S. ban, addressing privacy concerns.
His strategy involves transforming TikTok into an American entity by relocating servers.
Efforts include crowdfunded investment, although skepticism remains over feasibility.
The U.S. government considers legislation to facilitate the platform’s continued operation.
Concerns of user data leaks to Chinese entities remain central to TikTok’s challenges.

O’Leary’s Ambitious Proposal

Kevin O’Leary, famous for “Shark Tank,” recently proposed purchasing TikTok. His bold plan hinges on saving the platform from a potential U.S. ban. As TikTok grapples with legislative actions threatening its U.S. operations due to its ties with ByteDance, O’Leary offers an alternative: transform TikTok into an American company by relocating its servers and eliminating vulnerabilities related to data privacy.

O’Leary emphasizes the importance of safeguarding user data against foreign threats. He’s even set up a crowdfunding site, allowing individuals to express interest in co-investing, although payment systems are not currently active. This approach could democratize ownership and decision-making processes.

Whoever buys TikTok will have to rewrite the algorithm. That’s the big risk because if it doesn’t work the way it does now, it’s not worth anywhere near $100 Billion. All you’re buying is 170 million names and a brand called TikTok. pic.twitter.com/iFTaALfgYg

— Kevin O'Leary aka Mr. Wonderful (@kevinolearytv) March 30, 2024

Transformative Changes and Challenges

Transforming TikTok into a genuinely American institution involves addressing concerns of unintentional data leaks to the Chinese Communist Party, which O’Leary has candidly criticized, asserting, “Everyone knows TikTok leaks data to the CCP. It’s not a secret.”

O’Leary’s move comes amidst a bill passed by the House aiming to change TikTok’s ownership structure. A legislative consensus seems closer, with lawmakers pushing for regulations requiring divestment from Chinese entities. This aligns with O’Leary’s plan to “re-emulate” TikTok’s functioning to fit U.S. regulatory frameworks.

‘Shark Tank’ Star Kevin O’Leary Says He’s Near Deal to Buy TikTok: ‘We’re Doing This’ https://t.co/PHRyF1wCRo

— TheWrap (@TheWrap) January 6, 2025

Financial Skepticism

Though O’Leary’s initiative is compelling, skepticism looms regarding its feasibility, especially about TikTok’s valuation, which hovers between $100 billion and potentially far less. Concerns about O’Leary’s financial capabilities, given the high stakes, arise, although he has a history of consolidating software businesses.

Furthermore, O’Leary’s opening bid of $20-30 billion seems undervalued. His previous contributions to tech sectors bolster optimism about his competence to revamp TikTok effectively. Other potential parties, like Frank McCourt and Steven Mnuchin, are also in the race, indicating sharp competition.