Oracle and a group of investors, including Microsoft, are reportedly in negotiations to take over TikTok’s global operations. The discussions, taking place on January 26, 2025, involve the White House, which is facilitating the deal that would allow ByteDance to retain a minority stake in the app while Oracle oversees its algorithm and data management.
- Oracle and investors negotiating TikTok takeover
- ByteDance to retain minority stake
- Oracle to oversee TikTok's operations
- Microsoft engaged in acquisition talks
- Walmart opted out due to pricing concerns
- Trump issued executive order for reprieve
The potential acquisition of TikTok by Oracle and its investors comes amid ongoing concerns regarding data privacy and ownership. Under the proposed agreement, Oracle would have significant oversight of TikTok’s operations, which includes managing its data collection and software updates. This arrangement aims to reduce Chinese ownership of the platform, addressing national security concerns raised by U.S. officials.
Key points regarding the negotiations include:
- Oracle’s existing infrastructure supports much of TikTok’s operations.
- Microsoft’s role in the talks remains unclear, though it was previously involved in a bid to acquire TikTok in 2020.
- Walmart, which was part of the earlier bid, is not participating in the current discussions due to price concerns.
These negotiations follow a recent executive order from President Trump, which granted TikTok a 75-day reprieve from enforcement actions related to the requirement for ByteDance to divest from the app. The executive order had suggested the possibility of a joint venture in which U.S. entities would hold a significant stake in TikTok.
In summary, Oracle and Microsoft are engaged in discussions to take over TikTok’s global operations, with the White House’s involvement. This move seeks to address ownership concerns and enhance oversight of the app’s data management, reflecting broader issues related to data privacy and national security.
