The popular tech company, Microsoft has confirmed that they were in talks to buy TikTok’s US operations. It was announced in a statement on Sunday.
The announcement comes after Microsoft CEO, Satya Nadella had a conversation with President Donald Trump about the acquisition.
Before this, US President Donald Trump has stated that his administration would ban the Chinese-owned app after some politicians are worried that the app poses a risk to national security because it might be used to collect Americans’ personal data.
“As far as TikTok is concerned we’re banning them from the United States,” said Mr. Trump.
“Microsoft fully appreciates the importance of addressing the President’s concerns,” stated Microsoft in a statement.
“It is committed to acquiring TikTok subject to a complete security review and providing proper economic benefits to the United States, including the United States Treasury,” Microsoft added.
The popular app is owned by ByteDance, an internet technology company. It was a Chinese-owned company in Beijing.
According to Business Insider, Microsoft plans to complete these ‘talks’ with the TikTok’s parent company, ByteDance no later than September 15, 2020.
“The discussions with ByteDance will build upon a notification made by Microsoft and ByteDance to the Committee on Foreign Investment in the United States (CFIUS),” said Microsoft.
“The two companies have provided notice of their intent to explore a preliminary proposal that would involve a purchase of the TikTok service in the United States, Canada, Australia, and New Zealand and would result in Microsoft owning and operating TikTok in these markets,” stated Microsoft.
“To the extent that any such data is currently stored or backed-up outside the United States, Microsoft would ensure that this data is deleted from servers outside the country after it is transferred,” added the company.
Source: BBC, Business Insider, The Spectator Index