"Really interesting asset" — Shark Tank star Kevin O'Leary weighs in on TikTok's appeal to potential buyers

Shark Tank investor Kevin O’Leary, widely known as "Mr. Wonderful," recently discussed TikTok's potential sale in an interview with Bloomberg's Insight with Haslinda Amin on January 22, 2025. Addressing the market competition, O’Leary said,

"I think there's a lot of interest in TikTok. It's a really interesting asset."

O’Leary, who partnered with billionaire Frank McCourt on a $20 billion bid for TikTok, stated that any new owner must rebuild its tech stack due to a Supreme Court ruling banning Chinese algorithms. He emphasized that their bid excludes acquiring the current algorithm, complying with legal requirements. O’Leary also estimated TikTok’s U.S. market value at $20 billion, reflecting its global valuation.

---

Shark Tank investor Kevin O'Leary on TikTok’s sale and legal restrictions

O’Leary emphasized that the Supreme Court's 9-0 ruling and Congress’s bipartisan decision mandate a complete separation from any Chinese-controlled technology. This means that potential buyers cannot retain or modify TikTok's current algorithm. Instead, they must develop a new one.

Many competing bids assume that a partial transfer of TikTok’s technology could be negotiated with ByteDance, but O’Leary dismissed this notion. He clarified that such agreements are prohibited under the court's ruling. He stated,

"A lot of these bids make the assumption that they're going to fork the code as it's called or form a joint venture with China and remove any of the spyware. That's not going to be allowed."

O’Leary’s bid, in contrast, explicitly excludes the algorithm and aims to build a new tech framework. He stressed that his offer complies with all legal requirements, ensuring TikTok’s continued operation in the U.S.

---

The $20 billion valuation and market pricing

The Shark Tank investor outlined how his $20 billion bid aligns with TikTok's market value. He explained that TikTok’s total global valuation is estimated at $230 billion, with the U.S. segment representing about 8% of this figure.

"The last time these shares traded, it was around a $230 billion market cap. So, you know, this is not rocket science,"

O’Leary said. He pointed out that while his bid excludes the algorithm, the cost of rebuilding the tech infrastructure justifies the valuation. Although he acknowledged potential flexibility in pricing, O’Leary stated that the current offer reflects TikTok’s true worth.

---

O’Leary’s competitive position

With various names like Elon Musk and Larry Ellison rumored to be interested in TikTok, O’Leary addressed how his bid differs from others. He noted that Musk could face antitrust issues due to his ownership of X, while Oracle, previously involved with ByteDance, may seek a service-provider role rather than direct ownership.

The Shark Tank investor positioned himself as the best choice due to his independence from existing social media companies. He also pointed out his strong relationship with TikTok’s small business advertisers, which make up a major revenue source.

"Most of the revenue in TikTok U.S. comes from small businesses that are basically Shark Tank companies. They all know me, about 7 million small businesses. I think I'm well trusted by them," he stated.

To strengthen his bid, O’Leary has launched an equity crowdfunding initiative, allowing small businesses to invest alongside him. This effort is structured under the JOBS Act, with an initial $75 million available for investment through 'wonderfultiktok.com.' By engaging small businesses, O’Leary aims to build a network of investors who already rely on TikTok for advertising and sales.

---

Shark Tank airs every Friday at 8/7c on ABC.