TikTok’s owner has chosen Oracle over Microsoft as its preferred suitor to buy the popular video-sharing app, according to a source familiar with the deal.
The choice came a week before President Donald Trump’s deadline to ban it in the U.S. Microsoft said in a Sunday statement that TikTok’s parent company, Bytedance, “let us know today they would not be selling TikTok’s US operations to Microsoft.”
The Trump administration has threatened to ban TikTok by mid-September and ordered ByteDance to sell its U.S. business, claiming national-security risks due to its Chinese ownership. The government worries about user data being funneled to Chinese authorities. TikTok denies it is a national-security risk and is suing to stop the administration from the threatened ban.
President Trump comments after Israel and the United Arab Emirates say they are establishing full diplomatic relations in a U.S.-brokered deal on Aug. 13, 2020.
TikTok didn’t immediately return requests for comment Sunday.