On Sunday, Microsoft announced that it had been informed by ByteDance that it would not be selling TikTok’s U.S. operations to the American tech giant.
“We are confident our proposal would have been good for TikTok’s users, while protecting national security interests,” Microsoft said in a statement.
TikTok is a social media app that has come under scrutiny in recent months. President Donald Trump at one point threatened a ban on the social media app in the U.S. if a sale did not take place.
Later in the evening, Reuters reported that Oracle Corp would take over the U.S. operations of TikTok.
The deal will be structured not as a sale but as a restructuring, Reuters reported. It’s unclear how much ByteDance will continue to own.
Governments in U.S. and China will need to approve the sale in order for it to go through.