ByteDance rejects Microsoft's bid, to partner with Oracle

Microsoft released a statement on Sunday (Sept. 13) that Bytedance informed the company that it 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," Microsoft said in the statement. Meanwhile, Microsoft also said that they look forward to seeing how the service evolves in these important areas.

The Consumer News & Business Channel (CNBC) reported on Sunday that sources said Bytedance is currently in close communication with Oracle about selling TikTok's US business. At the same time, Reuters also quoted sources as saying that ByteDance abandoned the sale of TikTok in the United States on the same day
in pursuit of a partnership with Oracle Corp ORCL.N that it hopes that it will be spared of a US ban.

However, ByteDance and Oracle did not immediately respond to requests for comment. The White House declined to comment.

According to Reuters, it is unclear whether Donald Trump wants a US technology company to own most of TikTok’s share in the United States, and will approve the proposed deal. The Committee on Foreign Investment in the United States (CFIUS), a US government panel which reviews deals for potential national security risks, is overseeing the talks between ByteDance and Oracle.

Oracle chairman Larry Ellison is one of the few Trump supporters in the tech world. The company has significant technical prowess in handling data, but no experience with social media. Its clientele comprises companies, rather than individual consumers.

Donald Trump initially threatened with a Sept. 15 deadline for a TikTok sale, before setting Nov 12 as the deadline, with the threat of a potential ban. That has led to TikTok suing the Trump administration over an alleged lack of due process, and the potential of China blocking a deal or allowing it to be sold.