TLDR
- TikTok is building a new US app version ahead of a planned sale to non-Chinese investors, set to launch September 5
- President Trump says the US has “pretty much” worked out a deal for TikTok’s sale, pending Chinese approval
- The current TikTok app will continue working until March 2026, but users will need to download the new version
- Trump has extended the divestment deadline three times, with the current deadline set for September 17
- Multiple buyers including Microsoft, Oracle, and billionaire Frank McCourt have expressed interest in acquiring TikTok
TikTok is building a new version of its app specifically for US users as talks continue about selling the platform to American investors. The Information reported that ByteDance, TikTok’s China-based parent company, is developing the replacement app ahead of an expected sale.
TikTok is reportedly building a new app internally called “M2” specifically for U.S. users.
According to The Information, it is set for a September launch. The current app will shut down by March 2026 and users will have to download the new one to keep accessing the platform. pic.twitter.com/5MffgjkzBg
— Pop Base (@PopBase) July 6, 2025
President Trump told reporters on Air Force One on Friday that the US had “pretty much” worked out a deal for TikTok’s sale. He said he planned to discuss the app’s fate with Chinese officials on Monday or Tuesday this week.
Chinese officials have not confirmed that a deal is in place, according to CNN. TikTok did not respond to requests for comment about the development.
The new app could become available in US app stores starting September 5 if TikTok successfully sells its US operations to non-Chinese investors. Users would eventually need to download the new version to continue using the service.
The current TikTok app will continue working until March 2026, though this timeline could change. The transition plan allows for continuity while the ownership transfer takes place.
Legal Deadline and Extensions
Congress passed legislation in 2024 effectively banning TikTok unless ByteDance divests its US operations. The law prohibits US cloud providers like Oracle and app stores including Apple’s and Google’s from hosting the service without divestment.
Trump has used executive orders to suspend the deadline three times since taking office in January. TikTok briefly went offline just before Trump’s inauguration but resumed service after the administration provided assurances.
The Trump administration told cloud and app store companies they would not face fines while the deadline remains extended. Trump’s most recent extension in June pushed the deadline to September 17.
The president said Chinese President Xi Jinping would likely need to approve any divestment deal. “I’m not confident, but I think so,” Trump said when asked if a deal was likely.
Potential Buyers and Valuation
Several groups have expressed interest in acquiring TikTok despite its estimated value of up to $50 billion. A group of investors led by billionaire Frank McCourt Jr. has shown interest in buying the app.
Microsoft, internet personality Mr. Beast, Oracle co-founder Larry Ellison, and AI chatbot developer Perplexity AI have also expressed interest. The high valuation reflects TikTok’s large user base and advertising revenue potential.
The sale discussions come as the US works on a broader trade deal with China following Trump’s initial tariff increases and subsequent pause on levies. According to the Associated Press, China was prepared to approve a TikTok deal but pulled back after Trump announced tariffs in April.
Trump has said any sale would likely come after the two countries reach a trade agreement. The president changed his stance on TikTok during the 2024 election, saying it serves as competition against Meta’s social media dominance.
TikTok previously challenged the Biden-era ban law in the Supreme Court but lost. The court sided with the government’s argument that the app could pose national security risks.
US officials have argued for years that the Chinese government could use TikTok to spread propaganda or gather information on American users. Officials have not publicly shared evidence of these security concerns.
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