Oracle considers security deal, small stake to land TikTok deal, Bloomberg says

Oracle (ORCL) is considering a proposal for a sale of the U.S. operations of TikTok that would have it provide security assurances and take a small stake in a new American entity while potentially leaving the app’s algorithm in Chinese hands, Bloomberg’s Stephanie Lai and Brody Ford report. According to people familiar with the matter, last week a proposal was circulated within the White House that would have Oracle work with U.S. buyers to vouch for the safety of users’ data, including guarantees that an updated U.S. version of TikTok would not contain a back door that China’s government could exploit. There are less than three weeks left to reach a deal to avert a TikTok ban under U.S. law, the report notes. Several other companies have privately expressed interest in participating in a deal for TikTok or its American operations, including Amazon (AMZN) and Microsoft (MSFT), according to previous reports. Companies in the social media space that compete with TikTok include Meta (META), Alphabet’s (GOOG) YouTube (GOOGL), Pinterest (PINS), Reddit (RDDT) and Snap (SNAP).