Walmart partners with Microsoft for TikTok bid
ByteDance has been in talks to sell TikTok's North American, Australian and New Zealand operations which could be worth $25 billion to $30 billion to companies including Microsoft and Oracle (NYSE: ORCL), people with knowledge of the matter have told Reuters.
U.S. President Donald Trump has demanded that China's ByteDance, which owns TikTok globally, sell its U.S. operations, citing potential national security risk due to the vast amount of private data the app is compiling on U.S. consumers.
"We are confident that a Walmart and Microsoft partnership would meet both the expectations of U.S. TikTok users while satisfying the concerns of U.S. government regulators," the retailer said in a statement.
The two companies are two years into a five-year partnership as part of the retailer's push for wider use of cloud and artificial intelligence.
Walmart said TikTok's integrated e-commerce and advertising capabilities in other markets "is a clear benefit to creators and users in those markets."
The retailer's shares were up about 4.4% on the news.
(Reporting by Munsif Vengattil and Nivedita Balu in Bengaluru and Nandita Bose in Washington; Editing by Arun Koyyur and Sriraj Kalluvila)