The US Treasury Department has reportedly reached a tentative agreement with TikTok owner ByteDance and Oracle over the latter’s bid to secure the app’s US operations.
ByteDance received a revised terms sheet from Treasury Secretary Steven Mnuchin earlier this week and the company accepted it along with Oracle, according to Bloomberg, citing people familiar with the matter.
Despite this positive development, any deal would still need to be approved by both the Trump Administration and the Chinese government, so there are still a couple of volatile hurdles in the way.
The latest plans would see Oracle secure a minority stake in a new TikTok business headquartered in the US with an independent board. Oracle would have full access to TikTok’s source code and updates in order to prevent ByteDance from accessing any data. The board would be made up entirely of US citizens, led by a US data security expert, and include a national security committee.
Alongside the US business negotiations, TikTok has also been searching for a new Chief Executive Officer. The short-form video app has been without a permanent CEO since Kevin Mayer resigned last month, with the General Manager of TikTok in North America, Vanessa Pappas, taking over in the interim.
Among the names approached to take over the role is Kevin Systrom, Co-founder and former CEO of Instagram, reports The New York Times.