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Oracle to handle TikTok’s US operations as Microsoft loses bid, Internet says ‘CEO is close to Team Trump’

During his visit to Yuma, Arizona, Trump reportedly said while talking about Oracle taking over the U.S operations, 'I think Oracle is a great company'

Microsoft which had been at the forefront to buy the Chinese app TikTok has now lost its proposal to Oracle, as direct sources have revealed that ORCL.N has acquired the app's US operations, according to NBC reports. Microsoft revealed it was no longer acquiring TikTok after its bid was rejected by TikTok owner ByteDance. Microsoft had been pursuing a deal to buy TikTok’s operations in the US, Australia, Canada, and New Zealand.

For the first time ever Oracle, which has mostly catered to corporate customers using cloud offering and software licensing, will be seen moving its strategy following the latest acquisition. Oracle has been selected as 'trusted tech partner' and this deal is different from an outright sale and appears to suggest Oracle will be helping run TikTok’s US operations with its own cloud technologies.

Larry Ellison, the co-founder of Oracle is an open supporter of President Donald Trump, states Reuters. During his visit to Yuma, Arizona,Trump reportedly said while talking about Oracle taking over the U.S operations,“I think Oracle is a great company." 

In November 2019, the US government had expressed concerns over security threats and ordered an open investigation into the Chinese app TikTok. A few weeks ago, Secretary of State Mike Pompeo had announced that the US was "looking at " banning the app. An executive order was signed on August 6 by Trump, banning US companies from carrying business activities of any sort which the parent company of TikTok ByteDance. It was asserted that TikTok was allegedly storing and using the personal information of its users, which could amount to "national emergency". However, TikTok denied such allegations and said that its US user data was always stored in the US and only had a backup in Singapore. It further established that its centers are located outside of China, thus not subjecting its date to Chinese authority. 

Meanwhile, Oracle's Ellison has maintained that their organization has never given money to Trump’s campaign but openly spoken in favor of POTUS’s administration. He had told Forbes in an interview, "We only have one president at a time. "I don't think he's the devil - I support him and want him to do well.”

While Oracle's deal with TikTok has startled many, especially after watching Microsoft's interest in acquiring the app, people on the Internet are widely discussing Ellison's leaning towards Trump's leadership, questioning the impact of the latest deal. NBC reporter Ben Collins tweeted, "What a scoop by Jo. Note that Oracle’s CEO is close to Team Trump."

One user wrote, "Wonder how much the kickback is. You just KNOW Trump’s getting a bribe for this. It’s not even open to question. He’s cashing in on the presidency while he still can. I shudder to think how much he’s getting from Saudi etc for the troop deployment". Another added, "They will donate to his campaign, and they get the bid. That’s the trade off. That’s how American corporations bribe politicians, legal way." Many of them pointed out how the acquisition of the app by the tech giant to impact its users.

One wrote, "CEO of Oracle is Larry Ellison who is a conservative and huge supporter of Trump. Just putting it out there, dig in....". Another tweeted, "Oracle now owns tiktok. Which is suspicious because Oracle also LOOOOVES Trump"