President Donald Trump has reportedly given a TikTok-Oracle deal his ‘blessing’. This is a turn around from a ban that is supposed to block all US downloads of TikTok that is to take effect on 20th September 2020.
Bloomberg reports that President Trump said that he has OK’d, in concept, a deal for Oracle to acquire the TikTok’s US operations. Trump’s executive orders had earlier cited national security concerns in deciding to ban TikTok from the US. The executive orders stated that ByteDance must sell off its TikTok’s US operations or face a ban.
Although Trump has reportedly given consent, the Chinese government has to approve it too for a deal to be finalised. Bloomberg also reported that the indications from Chinese officials are that the government is willing to approve an agreement. However, on the condition that ByteDance doesn’t have to give up the artificial intelligence algorithms behind the TikTok app.
– TikTok Ban: CEO Begs Tech Companies To Publicly Support Its Litigation
– How China’s New Export Control Rules Could Block TikTok US Sale
– Apple Set To Launch Its Indian Online Store On 23rd September 2020
According to Bloomberg, under the agreement, Bytedance will retain a majority of TikTok’s assets and control the app’s algorithm, while Oracle and other US investors will have minority stakes.
Bloomberg cites unnamed sources regarding the agreement that; “Oracle will get full access to review TikTok’s source code and updates to make sure there are no back doors used by the company’s Chinese parent to gather data or to spy on the video-sharing app’s 100 million American users”.
A spokesperson for TikTok says the company is satisfied that the deal “will resolve the security concerns of the US Administration and settle questions around TikTok’s future in the US.” Oracle CEO Safra Catz says it will ensure data privacy of TikTok users in the US and worldwide.
For your daily dose of tech, lifestyle, and trending content, make sure to follow Plat4om on Twitter @Plat4omLive, on Instagram @Plat4om, on LinkedIn at Plat4om, and on Facebook at Plat4om. You can also email us at email@example.com and join our channel on Telegram at Plat4om. Finally, don’t forget to subscribe to our YouTube channel HERE.