Chinanews client, Beijing, September 20th (Reporter Wu Tao) After the US Department of Commerce issued a ban, TikTok protested and said that it will continue to push for litigation. Now TikTok's destiny has ushered in new changes.
Data map: Bytedance Company.
On September 20, Beijing time, TikTok issued a statement stating that in order to ensure that 100 million American users can continue to use TikTok, meet US government regulatory requirements, and strengthen TikTok's US business, Bytedance, Oracle, and Wal-Mart have reached principles on the "California on the Cloud" plan. Sexual consensus.
The three parties will follow this consensus to reach a cooperation agreement that meets the legal requirements of the United States and China as soon as possible.
According to the proposal, TikTok’s headquarters will remain in the United States, and Oracle will become TikTok’s partner in data security compliance, providing cloud architecture services for US users.
The cooperation model between the two parties is similar to Apple's data security compliance cooperation in China from Guizhou on the cloud.
Since TikTok's US business has offices in Los Angeles, California, the program is also called "California on the Cloud."
The program does not involve technology and algorithm transfer.
According to reports, TikTok will add 25,000 jobs in the next few years to support rapid business development.
At the same time, under the control of Bytedance, TikTok will form a new board of directors and management.
TikTok will open a new round of financing of no more than 20% in the same period, and Oracle and Wal-Mart will be introduced as potential investors with first-hand purchase rights.
If market conditions permit, TikTok will complete an initial public offering (IPO) in the United States within one year.
At the same time, TikTok will also jointly invest US$5 billion with companies such as Oracle, Wal-Mart, GA, and SIG to establish a global education foundation to improve global education through technology and online videos.
"Oracle Cloud Infrastructure will empower TikTok's next phase of development, and at the same time, ensure that the company's business follows the most stringent security standards." Oracle founder and chief technology officer Larry Ellison (Larry Ellison) said.
"Walmart is very pleased to work with ByteDance and Oracle to build TikTok into a more popular service application in the United States." Walmart CEO Doug McMillon said, "We look forward to the final completion of the transaction and start serving us Customers and create more jobs."
According to the information provided by ByteDance to the media, the proposal has been initially approved by the US government, which will allow US users to continue using TikTok.
According to US media reports, on Saturday (September 19), US President Trump left the White House for a campaign rally in Fayetteville, North Carolina, and told the media that he had agreed to this plan in principle.
However, the plan will finally take effect, and it still needs the final formal agreement of all parties.
Previously, on September 18, the U.S. Department of Commerce, under the name of national security and data privacy, announced that it would ban TikTok from downloading and updating application stores in the United States from September 20.
TikTok subsequently stated that it opposes the decision of the US Department of Commerce and is deeply disappointed, and will continue to advance the lawsuit against the US Executive Order to protect the legitimate rights and interests of users, creators, partners and companies.