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In the absence of official confirmation from both the Asian company and Oracle, Microsoft, the latter’s main rival in the bid, publicly admitted defeat and announced that it had not been chosen, while sources close to the operation confirmed it to the local press.
Donald Trump, who considers Chinese ownership of TikTok a threat to US national security, had given ByteDance a deadline, expiring on September 15, to either sell its operations in the country to a local company or abandon the country.
TikTok will continue in the United States
With what was known this Sunday, the option that TikTok was forced to close its operations in the US would be ruled out in principle, although the approval of the operation by the US and Chinese governments is still missing, which is already in the past has shown its disagreement with the pressure exerted by Trump.
The election of Oracle does not imply that there will be a sale in strict terms of ByteDance’s business in the US, but that it will have Oracle as a partner in the country, something that both companies consider satisfies the requirements imposed by the president .
TikTok, which has more than 80 million users in the US, is one of the social networks that has grown the most in recent years. In addition, it has become the main entertainment channel for many teenagers and a marketing source for prominent celebrities.
Strong ties between Oracle and Trump
Oracle, based in Redwood City (California) and founded in 1977, is one of the pioneering companies in Silicon Valley, and despite not having a name as recognized by the general public as Apple or Google, its software is used by millions of users. companies around the world.
Oracle CEO and Co-Founder Larry Ellison – the world’s fifth-richest fortune, according to Forbes – is one of the few prominent tech industry executives who has publicly voiced his support for Trump, including holding a fundraising event. for the president’s re-election campaign in February.
In recent weeks, it had been speculated that precisely this good harmony between Ellison and Trump could tip the balance in favor of Oracle, since the main objective of ByteDance is to guarantee the operation of its operations in the United States with the approval of the agent.
Microsoft admitted defeat
“ByteDance has told us that it will not sell its US operations to us. We are confident that our proposal would have been good for TikTok users, while protecting US security interests,” Microsoft said, which is number 1 in the software industry (Oracle is number 2) in sales volume worldwide.
The company that owns the Windows operating system had been seen since early August as the favorite to take over ByteDance’s business in the US, and the Redmond, Washington-based firm had come to partner with the department store chain Walmart. For this end.
Walmart, the largest company in the world both in terms of annual turnover and number of employees, saw in TikTok an opportunity to advance its strategic commitment to e-commerce and online advertising.
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