TikTok Ban and Oracle's Role
lately ABDwhich occupies the agenda in TikTok The ban is being closely followed by social media users and tech enthusiasts. ByteDanceThis popular app, owned by , is facing a ban that will come into effect on April 5. In the meantime, the tech giant Oracle infrastructures is expected to play an important role.
US Congress and TikTok
US Congress to clamp down on TikTok’s US operations ByteDance passed a law requiring its divestiture by TikTok. If ByteDance does not divest the app’s operations in the US, TikTok will be banned entirely. The ban is motivated by concerns about the security of user data and national security concerns.
Trump and TikTok Deal
Former President Donald Trumptook a tough stance against TikTok as soon as he took office, requesting a 75-day delay on the bill. This request provided TikTok with some short-term relief. Last week, US Vice President J.D. VanceHe said a high-profile deal that would address national security concerns was “almost certain” to happen by early April.
Oracle and the Future of TikTok
Oracle infrastructures , billionaire Larry Ellison As a tech giant founded by , it is TikTok's primary cloud provider. It also played a key role in Trump's attempt to acquire TikTok in 2020. With the 'Project Texas' regulation implemented in 2022, TikTok's US traffic began to be routed through Oracle's cloud infrastructure. This step was linked to a commitment to store American users' data domestically.
Possible Deals Between ByteDance and Oracle
Technology news site The InformationAccording to reports in , Oracle is emerging as one of the leading candidates to rescue TikTok’s US operations. ByteDance management reportedly wants to be directly involved in operational processes in a potential deal. Bloomberg News According to information provided by the White House, one of the possibilities being considered by the White House is a model in which Oracle would take a stake in the company in exchange for protecting TikTok user data. However, this plan envisages TikTok's algorithm remaining with ByteDance.
The Future of Algorithms and User Data
TikTok CEO Shou Zi Chew, had previously expressed its objections to the transfer of the algorithm many times. Reuters The company also included an alternative scenario involving Oracle, in which ByteDance’s largest non-Chinese investors could increase their existing stakes and buy TikTok’s US operations through a new structure, while Oracle could take on the role of data security by ensuring that user data does not reach China.
The Future of TikTok and Its Impact on Users
The developments are critical to TikTok’s future and its impact on users. If TikTok can maintain its presence in the US market, this could present significant opportunities for both users and content creators. In particular, Oracle’s commitment to data security could increase users’ trust in the app.
As a result
While the threat of TikTok being banned may cause users to question their loyalty to the application, Oracle's efforts to solve this problem with possible agreements are drawing attention. Developments in the coming days will be decisive for the future of both TikTok and Oracle.
