New York: Satya Nadella-led Microsoft lost a bid to acquire TikTok in the US after the Chinese owner of the video-sharing platform chose Oracle to be its technology partner for its American operations, ahead of the September 20 deadline set by President Donald Trump that the popular app will be banned in the US if it isn’t sold to an American company.
Microsoft said in a statement on Sunday that the Chinese owner of TikTok ByteDance has informed it that “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 combating disinformation, and we made these principles clear in our August statement. We look forward to seeing how the service evolves in these important areas,” Microsoft said.
A report in The New York Times said it was unclear whether TikTok choosing Oracle as a technology partner would mean that the multinational computer technology corporation would also take a majority ownership stake of the social media app.
The Wall Street Journal said in a report that Oracle is set to be announced as TikTok’s “trusted tech partner” in the US, and the deal is likely not to be structured as an outright sale.
“The next step is for the White House and the Committee on Foreign Investment in the US to approve the deal, said one of the people, adding that the participants believe it satisfies the concerns around data security that have been previously raised by the US government,” the WSJ report said.