Group 1 - Oracle Corp has invested approximately $2.2 billion in the new U.S. entity managing TikTok, confirming a 15% ownership stake following the restructuring of TikTok's American operations [1][2] - The investment was disclosed in Oracle's quarterly filing for the period ending February 28, which reported around $2.2 billion in "non-marketable debt investments and equity securities," primarily related to TikTok USDS Joint Venture LLC [2] - The restructuring of TikTok's U.S. operations was mandated by a national security law requiring ByteDance to divest its U.S. business or face a ban [3] Group 2 - The new TikTok U.S. entity is valued at approximately $14 billion, with Oracle owning 15% and holding a board seat, while other investors like Silver Lake and MGX also control about 15% each, and ByteDance retains just under a 20% stake [4] - Oracle plays a crucial operational role by hosting TikTok's U.S. user data and serving as the independent security provider for the platform [5] - The transition to the new structure has encountered some initial challenges, including posting delays and service disruptions linked to issues at an Oracle data center, although these problems have since been resolved [6]
Oracle Reveals $2.2 Billion Investment In TikTok's US Business After ByteDance Divestment, Holds 15% Stake