Yahoo Finance White House expected to sign off on Oracle deal for TikTok
The White House is expected to approve a deal to allow Chinese social media app TikTok to continue operating in the US on Tuesday.
Technology giant Oracle, once considered a dark horse in the race to buy TikTok's US operations, has been chosen to become a "trusted technology partner" and a minority shareholder in a new TikTok company, which will be US-headquartered.
Officials still need to sign off on the deal, which has the backing of Mr Trump's son-in-law and senior adviser Jared Kushner. A White House announcement was expected following a review by a national security panel on Tuesday.
CNBC reported that approval would be announced on Tuesday afternoon.
43-year-old database software and cloud computing company Oracle, run by Trump ally Larry Ellison, might have been considered an unlikely partner for the social media app wildly popular with teenagers and young people around the world.
Its fellow technology veteran Microsoft had been the frontrunner to close the deal, but its bid to buy the company's US assets was rejected.
President Trump had previously threatened to ban the app, which has 100m US users, citing national security concerns amid a long-running feud with China. He set a deadline of September 20 for a deal to be confirmed.
China has repeatedly denied accusations that foreign citizens' data could be accessed by officials through the app's parent company.
The deal falls short of the full sale that Mr Trump wanted, but is still likely to mitigate much of this concern, with the company set to process US user's data in-country to prevent it from being sent to China.
TikTok's current parent, ByteDance, is expected to retain a share. US retailer Walmart, which had been involved in the bidding process, has also expressed an interest in becoming an investor.
