[WASHINGTON] US President Donald Trump will meet on Wednesday (Apr 2) to consider a proposal for divesting TikTok’s US operations from Chinese parent company ByteDance, just days ahead of a deadline for a sale of the popular social media app, according to sources familiar with the matter.
The administration is considering a deal that would include Oracle and Blackstone and potentially other investors in a joint venture, the sources said, speaking on condition of anonymity to share details about the meeting.
Trump will consult with Vice-President JD Vance, who is helping run negotiations over the forced sale, as well as other top officials, the sources said. Plans for the meeting were first reported by CBS News.
The White House, ByteDance, Blackstone, TikTok and Oracle did not immediately respond to requests for comment.
The deal led by Oracle would give the company a small stake in a new American entity. Oracle would provide security assurances for US data while potentially leaving the app’s valuable algorithm in Chinese hands, according to a proposal previously circulated within the administration.
Trump faces an Apr 5 deadline for ByteDance to find a buyer for TikTok’s US operations or see the app banned in the country, though he has said he would be willing to extend the deadline as necessary. A bipartisan group of US lawmakers passed the law, signed by former president Joe Biden, last year to address concerns that the Chinese government could collect sensitive data on US citizens.
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Trump has extended the deadline once already from an initial date of Jan 19. Even if he signs off on the proposal, it would still require approval from TikTok’s parent company and the Chinese government.
It remains unclear if ByteDance and the Chinese have been involved in the conversations. However, authorities in Beijing would likely accept a deal with Oracle’s involvement as long as TikTok’s algorithm remains fully under Chinese control.
Oracle has already built a significant cloud infrastructure business to work with TikTok as part of a partnership called Project Texas. It was also tapped to help the app cordon off sensitive US user data from ByteDance, though that plan ultimately failed to win acceptance from regulators in Washington.
Critics of the proposal, including some Republican lawmakers, say it risks failing to comply with the law by leaving unresolved concerns that China could access sensitive data or use the app to spread propaganda. ByteDance and officials in Beijing have previously rejected those claims.
Trump has appeared unconcerned about the looming deadline, telling reporters this week that there were many interested parties interested in the app. He has also said he would consider lowering tariff rates he has imposed on China to secure Beijing’s support of a sale. BLOOMBERG
