• The U.S. government is negotiating with Oracle and U.S. investors for a majority stake in TikTok, aiming to reduce Chinese ownership.
• ByteDance, TikTok's parent company, would retain a minority stake while Oracle supervises crucial aspects like data collection and software updates.
• This deal aims to address national security concerns surrounding data access by Chinese authorities.
• Discussions also involve addressing congressional approval and potential investors like Microsoft and Perplexity AI.

In a significant move to address national security concerns, the White House is engaged in negotiations to potentially transfer control of TikTok's global operations to Oracle, a plan that would involve American investors. The deal aims to substantially minimize Chinese ownership of the popular video-sharing app, which has been embroiled in controversy over data privacy and security issues related to its Chinese parent company, ByteDance. Under the proposed arrangement, ByteDance would retain a minority stake in TikTok while Oracle would oversee critical functions, including the app's algorithm, data collection, and software updates. This structure aims to alleviate fears regarding the possible misuse of American user data by the Chinese government, as outlined in reports by several news sources including NPR and Reuters.

President Donald Trump has previously indicated a strong interest in maintaining TikTok's operations in the U.S., publicly stating he is in discussions with various parties about acquiring the app. While Trump expressed that he has not personally spoken to Oracle's co-founder Larry Ellison, he confirmed plans to make a decision regarding TikTok's future within the next 90 days. This aligns with ongoing negotiations reported by Newsweek and VOA News.

Critically, the deal involves safeguarding American user data and eliminating any operational relationship between TikTok and its Chinese owners, a stipulation that Congress insists must be met for any sale to proceed. A key component of these discussions is the legal framework surrounding TikTok's operations, which demands a “qualified divestiture” from ByteDance as outlined in U.S. law. Negotiators are aware of the challenges this presents given the historical reluctance of Congress to agree on actions relating to TikTok. This is compounded by the continuing uncertainty regarding the valuation of the application, which some estimates place as high as $200 billion.

Other potential investors in the talks include Microsoft, which brings additional validation and resources to the negotiation table. However, challenges persist as the situation evolves, highlighting ongoing discussions about TikTok’s operational future in the U.S. as further regulatory scrutiny gathers momentum. Chinese officials have iconically shifted their tone, suggesting they may not obstruct an ownership change, which reflects an evolving landscape in the negotiations surrounding U.S.-China relations. Further developments are expected as the end of the negotiation window approaches, with many stakeholders keenly awaiting a resolution that offers clarity and security for users of the platform.

For more comprehensive coverage, click the referral links to India Times, Forbes, and additional sources for further insights into this ongoing situation.