Donald Trump approved Oracle’s bid for the US operations of TikTok “in concept,” a deal forced by the president’s orders last month declaring the popular video-sharing app a national security threat, reported Bloomberg.
“I have given the deal my blessing. If they get it done that’s great. If they don’t, that’s OK too,” Trump told reporters on Saturday as he left the White House for a campaign rally in Fayetteville, N.C. “I approved the deal in concept.”
The new company, which will be called TikTok Global, has agreed to donate $5 billion to an education fund, which Trump said would satisfy his demand that the government receive a payment from the deal. “They’re going to be setting up a very large fund,” he said. “That’s their contribution that I’ve been asking for.”
Under terms of the deal, Oracle and Walmart will control 20% of the new TikTok Global. Sequoia Capital and General Atlantic, already investors in TikTok’s Chinese owner ByteDance, are also expected to take stakes in the new company, said a Bloomberg source familiar with the matter.