A couple of days ago, rumors began to surface that Microsoft might be interested in taking over a part of the popular TikTok short video app.
As usually happens in these cases, it turns out that those rumors are true, as Microsoft confirmed a few hours ago.
The Redmond company has confirmed its intentions to buy TikTok’s operations in the United States, and the deal could also include Canada, Australia, and New Zealand.
Microsoft CEO Satya Nadella and President of the United States Donald Trump appear to be working together on this, as Microsoft’s statement states that a conversation has taken place between the two.
TikTok is currently owned by the Chinese company ByteDance, which in Trump’s words poses a security risk due to the influence of the Chinese government on the country’s companies. Last Friday, Trump threatened to ban TikTok in the country, but with Microsoft’s entry into the game, the situation has changed.
The idea is that after Microsoft buys TikTok operations in the US, all data from US users will remain in the country, instead of being sent to China. Microsoft also promised that if this acquisition occurs, it will return current data from US users to the US.
No formal deal has yet been made, just a notification to the Committee on Foreign Investment in the United States. However, the two companies are currently planning to carry out the acquisition. Microsoft also said it could involve other companies in the purchase of minority shareholders.