Oracle Invests Big in TikTok US
Oracle revealed a $2.2 billion investment for a 15% stake in TikTok's new American entity after ByteDance's mandated divestment. Oracle is also overseeing US data and security, a move aimed at appeasing national security concerns. The American reorganization of TikTok, valued around $14 billion, was completed in January.
Oracle's $2.2 billion investment reflects a valuation of approximately $14.67 billion for TikTok's US operations. This valuation surfaces after the completion of the American reorganization of TikTok in January. The mandated divestment of TikTok by ByteDance was influenced by national security concerns raised by the US government, specifically regarding data security and potential influence by the Chinese government. Oracle's role in overseeing US data and security aims to mitigate these concerns and ensure compliance with regulatory requirements. Following the completion of the deal in January, TikTok's US entity is expected to operate independently, focusing on serving its American user base while adhering to US laws and regulations. The company will likely face continued scrutiny regarding data privacy and content moderation policies. TikTok's main headquarters are based in Los Angeles, California and Singapore.
