Technology: Trump's pressure takes effect and TikTok chooses Oracle for its business in the United States
As the deadline set by President Donald Trump to avoid a TikTok ban nears, negotiators are rushing to find a new ownership structure for the popular video app that can be accepted
in both the United States and China.
This week a deal appeared to be taking shape that would allow Silicon Valley-based Oracle to be TikTok's American technology partner to allay Washington's concerns that the platform could be used for
Chinese espionage.
But the details of the deal remain unclear.
Some reports claim that
Oracle would be a majority shareholder in TikTok,
and that Chinese parent company ByteDance would retain the majority.
A US government national security panel was reviewing Oracle's offer, while Republican congressmen warned against accepting a deal that would keep the Chinese firm in control.
"We will make a decision soon,
" Trump said Thursday, a day after saying he was undecided and still considering the national security implications of any new framework for the popular app, which has an estimated
100 million users
in the United States. and up to 1 billion worldwide.
Difficult agreement
Some analysts said it seemed difficult to craft an agreement that would allay concerns in the two countries about security and the algorithms and other key technologies used by TikTok.
"It seems like a zero-sum game in which China or the United States get the benefits of intellectual property and security, and
there is no way for both parties to share that,"
said Betsy Cooper, director of the Center for Technology Policy at the Aspen Institute and a former official. of National Security.
Cooper said the reported agreement with Oracle to host data as a minority shareholder
"does not appear to address the security concerns"
raised by Trump and other US officials.
James Lewis of the Center for Strategic and International Studies believes that
Oracle could still get approval for its deal,
but that it might need to make changes.
"If they can show a good package of security measures, it will help," Lewis said.
"It is an easier sale for Oracle if ByteDance becomes a minority owner."
Six US Republican senators said in a letter to Trump this week that "any agreement between an American company and ByteDance must ensure that TikTok's operations, data, and algorithms in the United States are
completely outside the control of ByteDance
or anyone
else.
Chinese state-run actor, including any entity that may be required by Chinese law to hand over or access US consumer data. "
Trump has threatened to ban TikTok in the United States if a deal is not reached
by September 20,
in the latest battle between the two countries over technology.
The possibility of China vetoing any deal makes the TikTok situation even more complex.
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