Murdoch Family, Oracle, and Dell Technologies Join Forces to Acquire TikTok's US Operations

TikTok Deal Takes Shape: Trump Suggests Murdoch Family, Oracle, and Dell Technologies Involved The potential sale of TikTok's U.S. operations has taken a significant turn, with President Donald Trump suggesting that the Murdoch family, Oracle executive chairman Larry Ellison, and Dell Technologies CEO Michael Dell are likely to be involved in the deal. According to Trump, Rupert Murdoch and his son Lachlan, who is the CEO of Fox Corp, will probably join the investor group backing TikTok's U.S. spinoff from owner ByteDance. This news comes after White House Press Secretary Karoline Leavitt revealed that an agreement has been reached but not signed, which would see TikTok's U.S. operations spun out under majority American ownership. Key Financial Facts: The deal is expected to value TikTok at around $20 billion to $30 billion. Americans will hold six of seven board seats in the restructured TikTok. The short-form video app's algorithm will be based in the U.S. Company Background and Context: TikTok, owned by ByteDance, is a social media platform with over 1 billion active users worldwide. The company has been under scrutiny from regulators and lawmakers due to concerns over data security and national security risks associated with its Chinese ownership. In response, the Trump administration has been pushing for a sale of TikTok's U.S. operations. Market Implications and Reactions: The potential involvement of the Murdoch family, Oracle, and Dell Technologies in the deal is significant, as it suggests that the investor group will have a strong presence in the tech industry. This could lead to increased scrutiny over data security and national security risks associated with TikTok's operations. The market has been reacting positively to the news, with shares of Fox Corp rising by 2% on Monday morning. Oracle's stock price also saw a slight increase, while Dell Technologies' shares remained steady. Stakeholder Perspectives: Lachlan Murdoch, CEO of Fox Corp, is likely to be involved in the deal due to his family's significant stake in the company. Rupert Murdoch, chairman emeritus of Fox Corp, will also play a key role in the investor group. Larry Ellison, executive chairman of Oracle, has been a vocal supporter of the deal, stating that it would provide a "stable and secure" home for TikTok's U.S. operations. Michael Dell, CEO of Dell Technologies, is expected to bring his company's expertise in cloud computing and data security to the table. Future Outlook and Next Steps: The next step in the process will be for the investor group to finalize the deal and complete the spinoff of TikTok's U.S. operations. This is expected to take several weeks to months, depending on the complexity of the negotiations. Once the deal is completed, TikTok's U.S. operations will be restructured under majority American ownership, with Americans holding six of seven board seats. The short-form video app's algorithm will also be based in the U.S. The implications of this deal are significant, as it would provide a stable and secure home for TikTok's U.S. operations and alleviate concerns over data security and national security risks associated with its Chinese ownership. *Financial data compiled from Techcrunch reporting.*