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No status is yet clear on Tittock's Indian business.
- Oracle to provide cloud technology to Tittock, deal finalized after Trump administration approval
- General Atlantic and Secioa will get stake
Chinese company ByteDance's short video platform TickTock's US business could soon find a new partner. According to reports from the US media, ByteDance has selected cloud company Oracle to operate TickTalk's US operation. Bytdance has rejected the offer from tech company Microsoft. However, no official announcement has been made in this regard yet.
Doubt on Oracle getting stake
According to a New York Times report, ByteDance has chosen Oracle as the technical partner to run TickTalk. However, Oracle remains skeptical about Ticketcock's stake under this partnership. The report states that it is separate from sales and will provide cloud technology for Oracle Ticketcock's operations in the US business.
General Atlantic will get stake
A Reuters report quoted sources as saying that the data management of American users of TickTalk will also remain with Oracle. In addition, American investment firms General Atlantic and Secioa will get a large stake in TickTalk. General Atlantic and Secioa ByteDance are among the top investors.
Approval will be sought from Trump administration
According to a Reuters report, the Trump administration's approval would have to be taken before the deal is finalized. The Committee on Foreign Investment in the United States (CFIUS) will examine the deal over potential national security risks. If the Trump administration rejects the deal, Bytdance may have to search for a new partner again.
These companies gave offers
Microsoft said – Bydans rejected the offer
Microsoft has released an official statement saying that ByteDance has rejected our offer. Bytdance, Ticketcock's American business will not sell to us. We are confident that in view of national security, our proposal would be good for Ticketock users.
Oracle's deep relationship with Trump administration
According to a New York Times report, Oracle has a deep relationship with the Trump administration. Oracle founder Larry Ellison organized a fund raising event for President Donald Trump this year. Oracle CEO Safra Katz has been part of the president's transition team. Saffra continues to visit the White House. Trump also said last month that he would support Oracle in purchasing TickTalk.
Oracle's revenue increased two percent in the first quarter
Cloud company Oracle announced its financial results for the first quarter of FY 2021 only last week. Oracle's revenue in the first quarter was $ 9.4 billion thanks to new cloud and infrastructure customers. This is 2 per cent more than the same period a year ago. China has previously stated that the sale of Ticketcock's US business is akin to forced robbery.
After India, America imposed a ban on Tittock
In June, after the border dispute in the Galvan valley of Ladakh, India banned 59 apps of Chinese companies, including Tiktok. After this, the Trump administration in the US issued an executive order for a ban on Tittock. However, this ban is to come into force from 15 September. Donald Trump has clearly stated that if the American business of Ticketock is not sold by this date, he will be banned.
The situation is not clear about Indian business
No status is yet clear on Tittock's Indian business. Several reports said that Japan's investment group Softbank Group Corp and Indian giant Reliance Industries could buy Tiktok's Indian business. However, Tittock, Softbank Group and Reliance Industries have not responded to these reports so far.