Trump Concerns Leave TikTok Oracle Deal In Doubt
The proposed deal between Oracle and TikTok owner ByteDance is still up in the air, with US President Donald Trump raising questions about national security.
Time is running out for TikTok in the US, with an executive order signed by the President last month forcing Chinese-owned ByteDance to sell the short video app to an American company or be forced to shut down in the country.
Oracle – owned by Trump ally Larry Ellison – beat a joint bid by Microsoft and Walmart to a deal, which would see TikTok spun off into a standalone US company and Oracle brought on board as a “trusted tech partner”.
At a press conference, Trump said he did not like the concept of ByteDance continuing to own a majority stake in TikTok.
“It has to be 100 percent as far as national security is concerned. And, no, I’m not prepared to sign off on anything. I have to see the deal,” he said.
ByteDance must sell TikTok by September 20 if the app is to remain functional in the US, but six Republican senators have written to the President urging him to block Oracle’s deal for security reasons. Florida’s Marco Rubio said he was opposed to any deal that would allow Chinese entities to “retain, control or modify the code or algorithms that operate any US-based version of TikTok”.
“We are heartened that this deal still requires government approval, and if reports indicating this proposed deal will retain links to ByteDance or other Chinese-controlled entities, we strongly urge the administration to reject such a proposal on national security grounds,” he said.