TikTok Deal in the Works with Oracle, American Investors to Gain Majority Stake
The White House is reportedly negotiating a plan to save TikTok, involving software firm Oracle and external investors acquiring control of the app's global operations.
Under the deal, TikTok's Chinese owner ByteDance will retain a minority stake, while Oracle will oversee the app's algorithm, data collection, and software updates. Oracle currently supports TikTok's web infrastructure.
NPR cited sources familiar with the discussions, while the White House and Oracle declined to comment.
American investors would hold a majority stake in TikTok under the potential agreement. However, terms are still subject to change.
"Oracle's goal is to monitor and oversee TikTok's operations," said an unnamed source involved in the negotiations to NPR. "ByteDance would not vanish entirely, but Chinese ownership would be minimized."
Microsoft is also reportedly involved in the talks as a potential investor.
Meetings between Oracle and White House officials have taken place, and another is scheduled for next week. Oracle has expressed interest in a stake in TikTok "in the tens of billions."
According to NPR, appeasing Congress is seen as a significant obstacle by the White House.