Despite support from Treasury Secretary Steven Mnuchin, Oracle’s proposed “trusted tech partnership” with TikTok to prevent a ban of the app in the U.S., faces stiff resistance from White House security advisers, including Secretary of State Mike Pompeo, FOX Business has learned.
The pushback from White House officials complicates what some Oracle executives believed was a nearly done deal and likely to pass muster with the all-important Committee on Foreign Investment in the United States—an arm of the Treasury Department—that Mnuchin chairs.
But as FOX Business was first to report, various Trump administration officials believe Oracle’s trusted partnership with TikTok fell short of the President’s stated goals when the TikTok imbroglio began in the summer. Without a break of U.S. operations from its Chinese parent company Bytedance, which the president claimed shares user data with the Communist Chinese Party for surveillance purposes, the president said he would ban the app from operation in the U.S.
The president’s threats to ban the app through executive orders touched off a wild spree of deal speculation with tech giant Microsoft making a bid to purchase the U.S. operation of the app outright for $20 billion or more and totally secure the code and algorithms in its cloud. Further complicating matters, the Chinese government became unnerved by Trump’s comments the app was a spying tool and prevented any transfer of technology to a U.S. buyer like Microsoft—prompting that deal to be scuttled.Share: