Oracle is reportedly set to snap up TikTok’s US operations – the astronomically popular, China-founded social media network – in what could be the century’s strangest corporate buy-out.
Aside from everything they sell, the people they sell to, their business models, and their entire corporate histories, Oracle and TikTok could not be a more natural fit for a corporate merger.
US President Donald Trump also seems to be a fan.
The relationship between Trump and Larry Ellison is said to be a good one. The Oracle CTO and founder famously opened his doors to a Trump fundraiser in February this year, while the US administration backed an Oracle database project to store and analyse COVID-19-related clinical data.
In August, the Committee on Foreign Investment in the US demanded that ByteDance, TikTok’s owners, should sell off the social media sensation’s US operations.
Trump had set a 15 September deadline for the sell-off, after saying there was “credible evidence” that TikTok was being used by ByteDance to breach US security. The Chinese firm has always strenuously denied claims that it shared users’ data in ways which would break these laws.
On Sunday, according to The Washington Post, Oracle, which has made its fortune in enterprise databases and related software since the 1977, is set to buy the US division of TikTok, a short-form video sharing service aimed at consumers which launched in 2012 and has accrued 800 million users worldwide.
Oracle has not commented on the news.
As El Reg revealed earlier today, Microsoft is on longer in the running. In a statement, the Beast of Redmond, said:
“ByteDance let us know today they would not be selling TikTok’s US operations to Microsoft. We are confident our proposal would have been good for TikTok’s users, while protecting national security interests. To do this, we would have made significant changes to ensure the service met the highest standards for security, privacy, online safety, and combatting disinformation, and we made these principles clear in our August statement. We look forward to seeing how the service evolves in these important areas.” ®