Netflix has reportedly been approached to buy the US operations of TikTok as President Trump continues to threaten to ban the social media app. However, the streaming giant reportedly declined the offer to get involved with Tiktok’s parent company, Bytedance.
TikTok's US dealings have varying valuations, with analysts and investors pricing the division at between USD 10-50 billion. Netflix, with a market cap of USD 216 billion, is one of the few media companies to be able to afford the app.
TikTok’s acquisition has been offered to several potential buyers, including Twitter, Alphabet, and Apple. Most Oracle was approached and quickly voiced it to Donald Trump. Microsoft is the only conglomerate that has confessed to considering the acquisition, noting in early August it had entered discussions with ByteDance to acquire TikTok's operations in the US, Canada, New Zealand, and Australia.
Among the several factors speculated to serve as the reason why Netflix declined the offer is the streamer’s lack of executing a large acquisition, and the difference of interest between the platforms; Netflix focus on produced video content, while TikTok uses raw user-generated video. While Tiktok relies on advertising, Netflix does not sell them.