Oracle stock jumps as US and China agree to preliminary TikTok deal

Core Insights - Oracle's shares increased by over 3% following a preliminary TikTok deal between the US and China during trade talks in Madrid, with Oracle being a top contender for the acquisition of TikTok [1] - The tech firm's shares spiked up to 5% in premarket trading after President Trump hinted at a TikTok deal, although they eased slightly later in the day [2] - TikTok faces a potential US ban unless it divests ownership to a US or allied country by September 17, with Trump indicating a possible extension of the deadline [2] Company Developments - The White House is considering Oracle's proposal to run TikTok, which may allow ByteDance some control over the app, as Oracle already stores TikTok's American user data through Project Texas [3] - Oracle has collaborated with the Trump administration on AI development initiatives, including a $500 billion project to build AI data centers in the US called Stargate, although this project has faced delays [4] - Oracle's shares have risen 81% this year, with a significant boost following the projection that its cloud revenue will reach $144 billion by the 2030 fiscal year, largely driven by a $300 billion deal with OpenAI [6] Competitive Landscape - While Oracle is a leading candidate to acquire TikTok, other interested parties include a group of investors led by billionaire Frank McCourt Jr., Microsoft, YouTuber Mr. Beast, and Perplexity AI [5]