In a stunning turn of events, President Donald Trump's tariffs have killed a proposed deal to save TikTok from a US ban, according to sources familiar with the matter. The deal, which would have seen an Oracle-led consortium take over the app's US operations, was on the verge of being announced before Trump's tariff announcement on Wednesday torpedoed the plans.

The Oracle-led consortium, which included many of ByteDance's biggest investors, had proposed licensing the app's algorithm from China and shuffling some shareholder money around to make TikTok look more independent from its Chinese parent company. However, Trump's tariffs have made it impossible for the Chinese government to approve the deal, sources said.

The development is a major blow to TikTok's hopes of avoiding a US ban, which has been looming over the app since Trump first tried to ban it five years ago. The ban was initially set to take effect on April 5th, but Trump has since pushed it back by 75 days to give the parties more time to work out a deal.

However, with the Oracle-led consortium's proposal now off the table, it's unclear what the future holds for TikTok. ByteDance has issued a statement saying that any agreement will be subject to approval under Chinese law, while Trump has expressed uncertainty about whether a deal can be reached. "We hope to continue working in Good Faith with China, who I understand are not very happy about our Reciprocal Tariffs," Trump said on Friday.

The collapse of the deal is a major embarrassment for Trump, who had been touting the Oracle-led consortium's proposal as a way to save TikTok while also addressing national security concerns. However, critics have argued that the proposal did little to address the app's security risks, and that Trump's administration was more interested in scoring a political win than in protecting US national security.

The implications of the deal's collapse are far-reaching. TikTok's investors and employees are now left in limbo, unsure of what the future holds for the app. Meanwhile, the US government's handling of the situation has raised questions about its ability to navigate complex geopolitical issues.

The episode has also highlighted the growing tensions between the US and China, which have been escalating in recent months. Trump's tariffs have been seen as a key factor in the breakdown of the deal, and it remains to be seen whether the two countries can find a way to resolve their differences and reach a compromise on TikTok's future.

For now, TikTok's fate remains uncertain. The app will continue to operate in the US for the time being, but its long-term prospects are unclear. One thing is certain, however: the saga of TikTok's ban has become a major embarrassment for all parties involved, and a stark reminder of the complexities and uncertainties of the global tech landscape.