Oracle Is Buying TikTok’s US Operations

Oracle Corp has edged out Microsoft in a bid to purchase Chinese video company TikTok. Microsoft was long-rumored to be the company that would eventually buy TikTok, but Oracle has beaten them. With Oracle taking over, restructuring will operate more like minority ownership and less like an outright purchase. Sources close to the deal are saying Oracle had the more attractive terms, positioning themselves more as a partner than a purchaser, and that allows for greater flexibility when a final deal is reached.

Ironically enough, Oracle co-founder Larry Ellison is one of few silicon valley tech moguls who openly support US President Donald Trump. Trump forced the sale of TikTok by attempting to ban the video service on the grounds of concerns over national security. Oracle is no stranger to security concerns themselves after suffering a massive data breach earlier this year after leaving a server unsecured.

Both parties aren’t out of the woods just yet though. US and Chinese officials still have to sign off on the deal, in addition to official terms being discussed. With the US being more focused on putting sensitive user data back into the hands of a “US company,” things could get a bit hairier before any sort of agreement is reached.

via Bloomberg