Apple is unlikely to buy or invest in TikTok despite having the financial resources to do so. Historically, Apple has avoided large acquisitions, focusing instead on smaller purchases that fit within its ecosystem. Its largest acquisition so far was Beats Electronics for $3 billion, a much smaller figure compared to TikTok’s estimated $60 billion valuation.
The company has also shown no interest in entering the social media space, which would represent a big departure from its core focus on hardware, software, and services.
TikTok’s current situation is complicated by political and regulatory concerns tied to its Chinese ownership and national security questions. Acquiring the platform could bring reputational risks for Apple, which carefully protects its brand image. Additionally, managing a large social media platform would require expertise that Apple does not currently have.
TikTok remains hugely popular, with over 170 million users in the United States alone. However, other companies such as Oracle and Amazon, along with private equity firms, are seen as more probable candidates for acquiring TikTok’s U.S. operations.
For now, Apple seems content to let TikTok continue running on its App Store without pursuing ownership or involvement in its management.
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