Oracle, a US-based computer technology company, is set to become a business partner in the US operations of the small video-sharing app TikTok, surpassing Microsoft.
But in the end, the governments of the two countries will decide whether the contract of the Chinese company BiteDance, which owns Tiktok, will be finalized with Oracle, reports Deutsche Welle.
The news comes after weeks of speculation about the Chinese app’s future in the United States, CNN reports. President Donald Trump has demanded the app be sold, or else shut down in the US.
A month ago, US President Donald Trump announced that several Chinese apps were stealing US data. Internal security in the US is being compromised for those Chinese apps. Trump said apps like TikTok would be banned in his country by mid-September. However, if a US company buys it, it may not be banned.
Following Trump’s announcement, tech giant Microsoft began preparations to buy TikTok’s responsibility for US operations. The tech world had speculated that Microsoft would also buy TikTok at the September auction. Microsoft also took part in the auction on Sunday. But on Sunday night, Microsoft announced that their auction had been canceled. Shortly afterwards, another US tech giant, Oracle, set up a platform with a consortium or a number of companies to buy US shares of TikTok from ByteDance.
Experts do not think that the bite-dance agreement with Oracle has been sold. According to them, Oracle is responsible for running TikTok in the US and its information. ByteDance will not interfere there, as is the agreement.
However, there is considerable doubt as to whether the ByteDance deal with Oracle will be fruitful. The agreement will only be finalized if the US and Chinese administrations give the green light. At the moment, the relationship between the US and China has reached a point where many people think that the two heads of state may not give a waiver to the agreement.
In particular, according to Donald Trump’s close aides, the US president wanted Microsoft Nick to be in charge of the tick. Experts believe that the way Oracle has taken over the responsibility of forming the consortium could create considerable complications.