Microsoft may well have competition. According to information from the Financial Times, the American company Oracle has entered into negotiations to acquire the U.S. Business of TikTok, but not only the firm would also like to get its hands on the activities of the social network in New Zealand, Australia, and Canada.
Oracle shows interest in acquiring TikTok
While Donald Trump recently signed a new decree giving TikTok 90 days to find a buyer, we learn today that the American firm Oracle would be interested in acquiring the Chinese social network. The negotiations have also already started since Larry Ellison, CEO of the firm would have spoken with ByteDance, the parent company of TikTok. His wish would not only be to acquire the American activities of the social network, but also those of New Zealand, Australia, and Canada.
For Oracle, which currently has no social media company, this acquisition could be a promising new growth path. In fact, during the fourth fiscal quarter, the revenues of the American firm fell 6% to $ 10.4 billion. Due to this fall, Amazon Web Services, Microsoft Azure, and Google Cloud now dominate the cloud computing market. The time, therefore, seems to be new for Oracle, and TikTok seems to be a ready-made entry point to allow the company to enter a new field.
A serious competitor for Microsoft
For Microsoft, which was the first to be interested in acquiring the social network, Oracle represents the first serious competitor in this acquisition. Indeed, if Twitter had also shown its interest, it was not in a strong position compared to the firm founded by Bill Gates.
Oracle, on the other hand, has a lot more going for it. The first of these being that he works with US venture capital firms, including General Atlantic and Sequoia Capital, which already have a stake in TikTok. Also, Larry Ellison has long voiced his support for Donald Trump and his policies: “ I don’t think he’s the devil – I support him and I want him to succeed, ” the Oracle CEO said at the meeting. ‘an interview with Forbes in April 2020. Earlier this year, the latter also organized a fundraising campaign for the US president. This position could well allow Oracle to attract the support of the White House for the takeover of TikTok. A new blow for Microsoft, which is already facing many difficulties in the process of acquiring the Chinese social network.
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