Oracle was rumoured to be a part of the bidding process to acquire TikTok. Microsoft was also a part of those bidding wars, but unexpectedly, Oracle won the deal, proving that the biggest is not always the best. Oracle could not acquire TikTok, but it is now named the trusted tech partner. What this means in simpler terms is that Oracle will be helping TikTok run its services in the United States. That is, with its (Oracle’s) own cloud technologies.
Microsoft’s deal was rejected by none other than the owner of ByteDance, TikTok’s parent company. Microsoft was looking forward to buying the operations in the countries, US, Australia, Canada, and New Zealand.
The deal details are still in the air. ByteDance Ltd, TikTok’s parent company, which is Bejing based had an offer of $25 million from Microsoft as well as Oracle. But after that offer, the Chinese officials stepped in with new rules and regulations. These rules and regulations imposed limits on technology exports.
What Did Trump Do Once He Hard About This?
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It was obvious people would have differing opinions about this. Donald Trump is also a human being, though some people would disagree. But, he is a human being who had the power to make this deal either simpler or more difficult for the two companies who have decided to join hands and bring TikTok back into the United States.
Trump signed an executive order upon learning about the deal. The order stated that starting, August 6th all transactions with ByteDance will be blocked, and the order demanded an American company purchase TikTok’s US business. The Executive Order was initially given 45 days. However later on President Donal Trump signed a follow-up order giving the company 90 days. 90 days to sell or spin-off TikTok in the United States. This, however, is said to not replace the original deadline. As Department of Commerce Secretary, Wilbur Ross told The Verge: “Per the 45-day period outlined in the Executive Orders, the Department of Commerce is operating under a deadline of September 20th.”
Why Microsoft Was So Keen On Getting The TikTok Deal?
Many people hoped and expected Microsoft to win the TikTok deal, due to multiple reasons. Some of them being security and privacy reasons as well. Microsoft was said to be working with Walmart (two of the biggest companies in the world) in order to acquire TikTok. An insider also mentioned that Microsoft wasn’t asked to make revisions to its initial offer. In the face of recent signs of opposition to a deal from Chinese government officials.
Walmart still, however, is still very interested in making a deal with ByteDance regarding TikTok. A Walmart spokesperson stated “continues discussions with ByteDance leadership and other interested parties. We know that any approved deal must satisfy all regulatory and national security concerns.” ByteDance is still busy negotiating deals with the white house after Trump Association said the company’s Chinese ownership threatens national security. The negotiating bid might be bought forward by ByteDance sometime in mid-September.