Oracle Confirms Deal with TikTok Owner ByteDance to Become ‘Trustworthy’ Technology Partner
Oracle confirmed it has struck a deal with TikTok-owner ByteDance, weeks after the Trump Administration ordered a TikTok divestiture in the U.S. The proposal for an agreement still needs to be approved by the US government.
Treasury Secretary Steven Mnuchin told CNBC on Monday morning that the U.S government intends to review the agreement this week. Depending on how the transaction goes, Oracle may become more visible to young consumers and gain control of a prominent advertising venue. And it could boost Oracle’s cloud business.
Microsoft was also interested in the social-media asset, as it competes with Oracle in cloud computing and database software.
But Microsoft’s bid was rejected, and the company announced it had withdrawn from the process on Sept. 13
TikTok said it has over 100 million active monthly users in the U.S. Millions of users are teenagers, the New York Times reported in August.. According to industry research firm Comscore, the largest age bracket among TikTok users in the United Kingdom in December was 18-24.