WASHINGTON – The Trump administration allowed Tikotok’s Chinese parent company a Friday deadline to sell the viral video app for defaults, a person with knowledge of the decision said. But the government continued to work on a deal that would put a large piece of Tiktok’s ownership in American hands, the person said.
white House Ordered sales In August, Tickcock’s US assets raised concerns that Chinese ownership of the app posed a national security risk. Bytdance, the Chinese internet giant that owns the app, attempted to sell the app to American buyers and met the administration’s concerns.
Under the terms of the proposed deal Announced this year, ByteDance agreed to sell the app to Walmart and enterprise software company Oracle. Oracle will also help manage Tiktok’s data to alleviate concerns that Beijing may have access to information related to US users.
ByteDance had until December 4 to sell the app under White House orders; The deadline was extended several times. While the White House did not extend the deadline for a deal, it does not plan to take immediate action in response to the lapsed cutoff, said a person with knowledge of the discussion, who was not authorized to speak publicly. This would allow negotiations on a possible deal to continue.
It was unclear how the administration would implement the deadline even if it wanted to do so. A spokesman for the Treasury Department said in a statement that the federal panel reviewing the deal was “engaging with ByteDance to complete the division and other necessary steps” to deal with the administration’s national security concerns.
A spokesperson for Tiktok declined to comment, as did Walmart. Oracle did not immediately respond to requests for comment.
The Trump administration has attempted to limit Chinese influence in technology around the world. Authorities have spent many years working to purge devices made by Chinese companies such as Huawei from telecommunications networks. More recently, the administration has Targeted Chinese-owned consumer apps Such as TikTok, Grindr and WeChat.