Trump's TikTok Deal Payment Criticized as 'Shakedown Scheme'
The Trump administration has been criticized for demanding a "low billions" payment from investors set to take over TikTok's US operations, with experts labeling the move as a "shakedown scheme". According to sources familiar with the talks, the payment was reportedly agreed upon by the investors, who saw it as a "finder's fee", sparking concerns about the president's business agenda and potential conflicts of interest.
The development has raised eyebrows among technology experts and critics, who argue that the federal government is acting like a private consulting firm rather than a regulatory body. The payment demand was made after President Trump signed an executive order in August 2020 approving a partial sale of TikTok's US operations, following a law requiring parent company ByteDance to divest or face a ban.
The critics point out that the payment is not only unprecedented but also raises questions about the administration's motives. "This is a shakedown scheme," said one expert, who spoke on condition of anonymity. "It's like the government is saying, 'We're going to let you do business in this country, but first, give us some money'."
The Trump administration has not commented publicly on the payment demand, but sources close to the matter confirm that it was made as part of the deal. The investors, who include a coalition of US companies, reportedly agreed to pay the "low billions" as a condition of taking over TikTok's US operations.
The move has sparked concerns about the president's business agenda and potential conflicts of interest. Critics argue that the payment demand is an attempt by the administration to profit from its regulatory powers. "This is exactly what we feared," said Senator Elizabeth Warren (D-MA), who has been a vocal critic of the Trump administration's handling of TikTok. "The government should be acting in the public interest, not lining its own pockets."
The payment demand has also raised questions about the role of Vice President Mike Pence, who was present when President Trump signed the executive order approving the partial sale of TikTok's US operations. According to sources, Pence was briefed on the deal and was aware of the payment demand.
As the controversy continues to unfold, experts are calling for greater transparency and accountability from the administration. "This is a clear example of the government overstepping its bounds," said one expert. "We need to make sure that our regulatory agencies are acting in the public interest, not as private consultants."
The current status of the deal remains unclear, but sources indicate that the investors are moving forward with the acquisition. The payment demand, however, has sparked a heated debate about the role of government in regulating big tech companies and the potential for conflicts of interest.
In conclusion, the Trump administration's demand for a "low billions" payment from investors set to take over TikTok's US operations has been criticized as a "shakedown scheme". The move raises questions about the president's business agenda and potential conflicts of interest, sparking concerns among experts and critics. As the controversy continues to unfold, greater transparency and accountability are needed to ensure that our regulatory agencies are acting in the public interest.
This story was compiled from reports by NPR News and BREAKING: NPR News.
