President Trump has granted a third extension for ByteDance to sell TikTok’s U.S. operations, pushing the new deadline to mid-September. The app was initially set to be banned by January 19 under a 2024 law that requires TikTok to be sold or shut down unless ByteDance completes a divestment or shows significant progress.
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Trump initially delayed the deadline in January after taking office for a second term, then again in April, and now for an additional 90 days. The White House said the move allows more time for a deal that keeps the app running while addressing national security concerns.
TikTok has around 170 million users in the U.S. and is seen as a key platform for younger voters. Trump acknowledged the app’s political influence and said he did not want it to “go dark.” The administration hopes to close a sale that places TikTok’s U.S. assets under American ownership and control.
Will ORCL Take Over the App?
Several companies are in discussions to acquire the app, with Oracle (ORCL) still viewed as a leading candidate, given its existing relationship with TikTok managing U.S. user data. Also in the ring are Private equity firms, including General Atlantic and KKR, that are exploring a structure that would form a new U.S.-based company with ByteDance keeping less than a 20% stake.
In March, Trump suggested he could lower tariffs on Chinese goods if ByteDance agreed to a sale. Talks have stalled at times due to resistance from China, which must approve any deal involving core algorithm technology. Some lawmakers, including Democratic senators, argue that Trump lacks the legal authority to keep delaying the ban. However, the Justice Department has not enforced penalties on platforms like Apple (AAPL) and Google (GOOG)(GOOGL) for continuing to host TikTok.
The extension keeps TikTok available through the summer but does not eliminate uncertainty. The final outcome depends on complex negotiations between U.S. buyers, ByteDance, and Chinese regulators.
Is Oracle Stock a Buy, Sell, or Hold?
On Wall Street, Oracle is rated a Moderate Buy, with an average stock price target of $208.19 for ORCL. This implies a 0.01% upside.
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