Oracle Secures Partnership to Manage TikTok US Operations
Oracle wins a deal to serve as TikTok's trusted technology partner in the US, taking over the app's cloud management just after Microsoft's acquisition bid falls through.
Oracle officially wins a deal to manage TikTok's US cloud operations as a "trusted tech partner." Rather than acquiring the social media app outright, Oracle takes on a role that involves running TikTok's US infrastructure using its own cloud technologies.
This partnership emerges just an hour after Microsoft reveals that ByteDance rejects its bid to acquire TikTok's operations in the US, Australia, Canada, and New Zealand. The shift away from a full acquisition highlights a change in strategy for TikTok's parent company as it navigates US regulatory pressure.
The deal occurs under the shadow of an executive order from President Trump that initially demands an American company purchase TikTok's US business within 45 days. A subsequent order extends the divestment timeline to 90 days, but the original 45-day deadline remains active as the Department of Commerce continues its regulatory operations.