News

National Security & Defense

Chinese Firm ByteDance Would Retain Majority TikTok Stake in Deal with Oracle

A man walks past the Bytedance headquarters building in Beijing, China August 3, 2020. (Carlos Garcia Rawlins/Reuters)

National security regulators are reviewing a proposal that would leave ByteDance, TikTok’s Beijing-based parent company, with a majority ownership stake in the short-form social media app.

According to a Wall Street Journal report, the Committee on Foreign Investment in the U.S., or Cfius, reviewed the deal that includes California- based tech firm Oracle’s bid to become TikTok’s U.S. technology partner late Tuesday afternoon but did not immediately announce a recommendation.

In an executive order last month, President Trump gave ByteDance 45 days to sell its U.S. TikTok operations or face a ban. In order to avoid President Trump’s ban, the deal must be settled by Sunday. 

In an effort to assuage national security concerns over the Chinese-owned app, the deal would make Oracle a “technology partner” of TikTok, while ByteDance would retain a majority ownership stake. TikTok’s global business would become a U.S.- based company that would remain a unit of ByteDance. Oracle would take a minority stake in that company, the Journal reported.

President Trump spoke with Oracle CEO Safra Catz about the company’s plans to overhaul the app’s U.S. operations on Tuesday, people familiar with the matter told the Journal, and said later that day that his administration would make a decision on the pending deal “pretty soon,” adding that he has “high respect” for Oracle chairman Larry Ellison.

“I heard they’re very close to a deal,” Mr. Trump said.

TikTok said Monday it believes its proposal “would resolve the Administration’s security concerns.”

The administration has labeled the app a security threat over concerns that data collected from U.S. consumers on the app could be shared with the Chinese Communist Party, though TikTok has said it would not share such data with the Chinese government.

While Peter Navarro, a trade adviser to the president, had pushed to ban the app, he expressed support for Oracle’s dealings with China in a Fox News interview last month, criticizing Microsoft’s deals in the Communist country while saying, “Oracle, on the other hand, has a strong reputation of really putting a great firewall between its operations in China.”

The deal would create an estimated 25,000 U.S.-based jobs, the Wall Street Journal reported. 

Send a tip to the news team at NR.

Most Popular

Media

The Attacks on Judge Barrett Have Already Started

Some left-wingers aren’t waiting for Judge Amy Barrett to be nominated to the Supreme Court to start attacking her. The attacks over the last few days have been steeped in anti-Catholicism, other types of bigotry, and lazy error. A headline at the left-wing website Refinery29 called her “the Potential RBG ... Read More
Media

The Attacks on Judge Barrett Have Already Started

Some left-wingers aren’t waiting for Judge Amy Barrett to be nominated to the Supreme Court to start attacking her. The attacks over the last few days have been steeped in anti-Catholicism, other types of bigotry, and lazy error. A headline at the left-wing website Refinery29 called her “the Potential RBG ... Read More

Andrew Cuomo’s Horrific Decisions

Observers of New York politics over the past several years understand that Governor Andrew Cuomo’s fanatical obsession with humiliating and overruling his fellow Democrat Bill de Blasio towers over every other consideration in the Empire State. Sometimes Cuomo’s habits come across as merely silly, as when he ... Read More

Andrew Cuomo’s Horrific Decisions

Observers of New York politics over the past several years understand that Governor Andrew Cuomo’s fanatical obsession with humiliating and overruling his fellow Democrat Bill de Blasio towers over every other consideration in the Empire State. Sometimes Cuomo’s habits come across as merely silly, as when he ... Read More
U.S.

Systemic Racism? Make Them Prove It.

I  worked in the criminal-justice system for a quarter century. It is run, day-to-day, by the crème de la crème of graduates from America’s top law schools. Those institutions wear their progressive bona fides on their sleeves and proclaim it for all the world to hear. In their offhand rhetoric — ... Read More
U.S.

Systemic Racism? Make Them Prove It.

I  worked in the criminal-justice system for a quarter century. It is run, day-to-day, by the crème de la crème of graduates from America’s top law schools. Those institutions wear their progressive bona fides on their sleeves and proclaim it for all the world to hear. In their offhand rhetoric — ... Read More
Politics & Policy

Rules Matter

On the menu today: One of Robert Mueller’s lieutenants now writes that the former FBI director failed to subpoena the president and otherwise “pulled punches for fear of incurring Trump’s wrath”; the importance of rules, and how political figures who refuse to apply a consistent standard make governing ... Read More
Politics & Policy

Rules Matter

On the menu today: One of Robert Mueller’s lieutenants now writes that the former FBI director failed to subpoena the president and otherwise “pulled punches for fear of incurring Trump’s wrath”; the importance of rules, and how political figures who refuse to apply a consistent standard make governing ... Read More
Law & the Courts

The Left Wants Regime Change

Constitutional revolution is going mainstream. After delivering lectures about political norms for the entirety of the Trump era -- often with good cause -- much of the Left is now threatening to kneecap an important institution of American government on a partisan vote in an act of ideological ... Read More
Law & the Courts

The Left Wants Regime Change

Constitutional revolution is going mainstream. After delivering lectures about political norms for the entirety of the Trump era -- often with good cause -- much of the Left is now threatening to kneecap an important institution of American government on a partisan vote in an act of ideological ... Read More