After weeks of negotiations, ByteDance, the company responsible for the controversial TikTok app, made a somewhat surprising decision: instead of selling its North American operations to Microsoft, it simply closed a “technological partnership” with Oracle, counting on the specialist cloud company as a “reliable technology provider”.
The agreement, which was announced last Sunday (13th), still needs to be screened by the United States Treasury, and there is already great opposition to the proposal. On Tuesday, for example, Senator Josh Hawley publicly caught the attention of the Trump administration, calling for the proposal to be rejected.
For Josh, “a continuous ‘partnership’ that allows for anything other than total emancipation of TikTok from potential control of the Chinese Communist Party it is completely unacceptable and totally inconsistent ”with the will of the republican president.
ByteDance, as TikTok’s parent company, will continue to be subject to Chinese laws that put Americans’ data at risk.
That’s the problem the President’s EO sought to fix. And it’s exactly the same problem the proposed Oracle partnership leaves fully intact https://t.co/tZzUaD5TTS
– Senator Hawley Press Office (@SenHawleyPress) September 15, 2020
Anonymous sources told Reuters news agency that Microsoft was disappointed with the decision and, by questioning the reasons that led to the rejection of its proposal, gained a frivolous explanation that Oracle would have created a more “comfortable” environment during the negotiations, without taxing the application as a privacy risk to US citizens.
To CNBC, Steven Mnuchin, secretary of the US Treasury, assured that he will have technical conversations with Oracle “over the next few days” to understand the whole scope of the proposal.
Source: G1, Reuters, The Daily Caller
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