A billionaire tech critic, Frank McCourt, has announced his intention to purchase TikTok, the popular Chinese-owned social media app. McCourt, founder of the tech initiative Project Liberty, aims to rebuild TikTok into “a new and improved version of the internet” where individuals have ownership and control over their identity and data.
In a recent interview, McCourt stated, “TikTok represents the best and worst of the internet. It connects 170 million people and allows them to be creative, build, and enjoy things. On the other hand, they don’t get to really share in the value that’s created, and their data is scraped, stolen, and shipped to China.”
McCourt has enlisted the investment bank Guggenheim Securities to advise him on what he calls the “people’s bid,” seeking funds from foundations, endowments, pension funds, and public support. He emphasizes the importance of aligning capital with values, focusing on respecting individuals’ ownership and control of their data and identity.
Despite McCourt’s efforts, he will likely face stiff competition from major American companies interested in acquiring TikTok’s lucrative advertising business and user base. Previous attempts to force a sale, including by former President Donald Trump, attracted interest from companies like Microsoft, Oracle, and Walmart.
ByteDance, TikTok’s Chinese owner, is challenging new legislation in court that could compel it to sell the app. If ByteDance decides to sell, the value of TikTok may hinge on whether the deal includes its algorithm, which powers its personalized video recommendations.
McCourt proposes moving key aspects of TikTok to a technical architecture developed at Project Liberty. This move would give users more control over their digital identities and personal data, allowing creators to manage their own videos and potentially monetize them elsewhere. Users would also have explicit control over the videos they see and the data they share.
Jameel Jaffer, executive director of the Knight First Amendment Institute at Columbia University, has raised concerns about banning TikTok, highlighting the platform’s role in enabling First Amendment rights for its American users.