Oracle has actually reportedly won an offer to handle TikTok’s US cloud operations. Oracle had actually been reported to be part of the bidding procedure to acquire TikTok, however The Wall Street Journal reports that the business has actually been chosen as a “relied on tech partner” rather.
News of an Oracle offer comes simply an hour after Microsoft revealed it was no longer obtaining TikTok after its quote was rejected by TikTok owner ByteDance. Microsoft had actually been pursuing an offer to buy TikTok’s operations in the United States, Australia, Canada, and New Zealand. It’s clear talks have swayed far from a complete acquisition, with Oracle apparently winning the quote to be a technology partner instead.
President Trump signed an executive order August sixth obstructing all transactions with ByteDance, and the order demanded an American company purchase TikTok’s United States service The EO was meant to take effect within 45 days, however the president signed a follow-up order providing ByteDance 90 days to sell or spin off TikTok in the United States. That order was a result of an investigation of the business by the Committee on Foreign Investment in the US (CFIUS), which supervises foreign acquisitions of US business for any potential security risks.
Oracle has a history of partnership with the US government, making its partnership with TikTok a tactical relocation amidst the growing undercurrent of Chinese opposition running through the White Home and Congress.