trump deal

Another pair of influencers might be joining President Trump’s effort to preserve TikTok in the U.S.: Rupert and Lachlan Murdoch.

The Trump administration has been working on a deal that would keep the wildly popular social video service operational for millions of Americans. Under a law signed by President Biden, TikTok’s U.S. service must separate from its Chinese parent company, ByteDance, or face going dark.

Congress passed the law out of security concerns over TikTok’s ties to China and worries that the app would give the communist government access to sensitive user data, which TikTok has denied doing.

Trump revealed more details about the plan over the weekend. The president on Sunday told Fox News that people involved in the deal include Oracle Corp. cofounder Larry Ellison, Dell Technologies Chief Executive Michael Dell and, probably, Rupert Murdoch and his eldest son, Lachlan.

“I think they’re going to be in the group, a couple of others, really great people, very prominent people,” Trump said on “The Sunday Briefing” on Fox News. “They’re also American patriots. They love this country, so I think they’re going to do a really good job.”

If the Murdochs were to be involved, it could be through their media company Fox Corp. investing in the deal, according to a source familiar with the matter who was not authorized to comment publicly. Fox Corp. owns Fox News, Fox Business and the Fox broadcast network. Fox News’ opinion hosts are vocally supportive of Trump.

The pending agreement would hand over TikTok’s U.S. operations to a majority-American investor group, White House press secretary Karoline Leavitt told Fox News on Saturday. The app’s data and privacy in the U.S. would be led by Texas-based cloud computing company Oracle, she added.

Oracle’s cofounder and chief technology officer Ellison is a Trump ally who is the world’s second-richest person, according to Forbes. TikTok already works with Oracle. Since October 2022, “all new protected U.S. user data has been stored in the secure Oracle infrastructure, not on TikTok or ByteDance servers,” TikTok says on its website.

Leavitt told Fox News that six out of the seven board seats controlling the TikTok app in the U.S. would be held by Americans and that the app’s algorithm would be controlled by America.

“We are 100% confident that a deal is done,” Leavitt said.

In a Monday news briefing, Leavitt said Trump expected to sign the deal later this week.

ByteDance would retain a less than 20% stake in TikTok U.S. The investor group is still being sorted out, reported CNN, citing a White House official.

The White House, Dell Technologies and Oracle did not immediately return a request for comment. Fox Corp. declined to comment.

TikTok’s future has been uncertain for months since the law was signed. After Biden had signed the 2024 law, ByteDance was initially given a deadline of Jan. 19, which has since been extended several times by Trump. The current deadline is Dec. 16.

Any deal would also need the approval of the Chinese government.

On Friday, Trump suggested on his social media platform Truth Social that China’s president, Xi Jinping, had approved the pact during a call between the two leaders.

Reports cited Xinhua, China’s state-run news agency, which quoted Xi as saying the Chinese government “respects the wishes of companies and welcomes them to conduct commercial negotiations based on market rules and reach solutions that comply with Chinese laws and regulations and balance interests.”

ByteDance in a statement on Friday thanked President Xi and President Trump “for their efforts to preserve TikTok in the United States.”

“ByteDance will work in accordance with applicable laws to ensure TikTok remains available to American users through TikTok U.S.,” the company said.

Trump has said he believes TikTok played a key role in helping him reach younger voters and win the 2024 presidential election. During his first term, he was a prominent voice calling for TikTok to be banned during his broader campaign against China over trade and COVID-19.

David Ellison finally clinched his prize Thursday, completing Skydance Media’s $8-billion takeover of the historic Paramount.

But the tech scion immediately faced questions about President Trump’s boast that he expects $20 million in free advertising and programming as part of a settlement to end Trump’s lawsuit over CBS “60 Minutes” edits. The settlement cleared the way for Skydance’s takeover of the company that, in addition to CBS, includes MTV, Comedy Central and the storied Paramount Pictures.

Last month, Paramount paid $16 million to settle the lawsuit, which 1st Amendment experts said had no merit. Three weeks later, Ellison’s acquisition of Paramount was approved by federal regulators.

If Skydance participated in such a deal to give free public service announcements to Trump to settle his “60 Minutes” lawsuit, viewers are going to have to watch CBS to find out.

The first question Ellison, the newly minted chairman and chief executive of Paramount, fielded from reporters during a news briefing Thursday was about the purported PSAs. Ellison would not directly answer it.

“We are not going to politicize anything today,” Ellison said at the event held at Paramount headquarters in Times Square in New York.

Paramount Global handled the settlement and Skydance was not involved “in any way,” Ellison said. But Trump — who has a friendly relationship with Ellison’s father, Larry — has proclaimed numerous times that he’s been promised $20 million in free air time for public service announcements that promote causes favored by the White House. Trump’s former agent Ari Emanuel also helped Ellison make its case to the president to allow the deal to go forward.

Ellison and the other top executives stated their support for the news division at the news conference. Ellison said CBS News and “60 Minutes” were among the first stops on his tour of the company’s offices after the deal was closed.

As for the news ombudsman that Skydance agreed to as part of the terms to get approval, Paramount’s new president, Jeff Shell, said the position should not be viewed as a censor.

“The ombudsman is meant to be a transparency vehicle, not an oversight vehicle,” Shell said. “We do believe in transparency.”

Asked how Skydance will handle the ongoing attacks on mainstream media that continue to come from the White House, Ellison said the company will stand its ground.

“We’re obviously going to be fierce defenders of our talent,” Ellison said. “We always have been.”

Before the news conference, Ellison put out a mission statement for the merged company, promising to combine the company’s storied movie and TV properties with technological prowess. Paramount is also the home of several iconic but aging cable brand names, including MTV, Nickelodeon and Comedy Central.

“Moving forward, we will work with conviction and optimism to transform Paramount into a tech-forward company that blends the creative heart of Hollywood with the innovative spirit of Silicon Valley,” Ellison wrote.

The immediate challenge facing Skydance will be building the scale of Paramount+, which, despite a decent number of popular shows, has lagged in the streaming competition led by Netflix and Amazon Prime.

Ellison promised the direct-to-consumer offering can be “a leading global streaming service.”

The mogul is taking over the most-watched television network in CBS, but like the rest of the legacy media industry, it’s fighting the migration of viewers to streaming.

Ellison’s note made a point of praising “60 Minutes,” saying it has “a long tradition of impactful reporting led by seasoned journalists committed to accuracy, integrity, and public trust” and expressed thanks to the news division for continuing to toil through the controversy.

“We take immense pride in CBS News’ legacy of impactful journalism and look forward to continuing to foster a newsroom culture where journalists are empowered, trusted, and equipped to do their best work,” Ellison wrote.

The new company is now called Paramount, a Skydance Corp, with its stock trades under the PSKY ticker. Shares were trading down about 3%, to $11.25, in midday trading.

According to Ellison and his private equity Paramount investors, RedBird Capital Partners, the company will soon be positioned to reach new heights.

Ellison’s play for the studio began nearly two years ago during Hollywood’s summer of labor unrest, when then-controlling shareholder Shari Redstone’s family enterprise, National Amusements, found itself in a cash crunch after Paramount halted its dividend to its investors.

In December 2023, Redstone turned to Paramount’s board to approve the Skydance transaction. That triggered another fraught process as board members agonized over the structure of a deal that would reward rank-and-file shareholders — not just the Redstones.

The deal was finally signed July 7, 2024. As part of the Skydance buyout, the Redstones’ National Amusements Inc. was paid $2.4 billion. After the firm’s considerable debts are paid, the family should come away with about $1.75 billion.

Paramount shareholders will receive $4.5 billion. Skydance and RedBird Capital Partners also agreed to inject $1.5 billion into Paramount’s balance sheet to help pay down debt.

“Our investment in Paramount and long-term partnership with the Ellison family reflects our deep conviction in the value of world-class intellectual property and the potential to unlock substantial growth,” RedBird founder Gerry Cardinale said in a statement.