Microsoft to complete TikTok deal by September 15

Microsoft to complete TikTok deal by September 15

Microsoft commits that it will finish talking about a potential TikTok takeover deal by September 15 after definitive outcomes to the discussions.

TikTok users in the United States do not have to panic. They could still continue using the famous social media app because of an unlikely savior in Microsoft. The Redmond-based company is committed to pursuing the talks to takeover Tiktok.

The decision was a result following the conversation between Microsoft CEO Satya Nadella and President Donald J. Trump. They are committing that no more security issues over user data should concern the White House.

Microsoft wants to solve the security problem

In a blogpost, Microsoft acknowledges the importance of addressing President Trump’s concern over the security of the app. They added the company is committed to fully acquiring TikTok. After such, the company will not only conduct a full security review but will also study the economic benefits of acquiring the operations of the app.

The company is planning to take over the operations of TikTok not only in the United States. It is also looking into the possibility of moving in the operations in Canada, Australia, and New Zealand. Coincidentally, the latter two countries have shown their equal dismay for the app’s possible security breaches. They are also considering banning the app.

Preliminary talks

Microsoft and ByteDance have only delved into a preliminary stage in their talks. As such, no concrete details of the takeover has been fleshed out. Nonetheless, the two companies have already sent a notice to the Committee on Foreign Investment in the United States (CFIUS) to get the ball rolling.

Microsoft is also considering inviting other investors for a minority stake in the deal. The company doesn’t guarantee that these talks will end up in a smooth transition. Nonetheless, the deadline set for the discussion is on September 15. After this, a definitive decision could be made.

Security cleanup of data

The Redmond-based company ensures that as soon as it takes over TikTok, it will do a comprehensive combing of user data. Nothing in the interface will change. The company commits that it will largely remain the same with just added world-class security and data privacy.

Moreover, Microsoft ensures that all private data of TikTok’s American users are transferred to and remains in the United States. Any data stored or backed-up outside the United States will be deleted from such servers.

Microsoft does not intend to provide further details on the matter.

Image from Johny Vino/ Unsplash

Micky is a news site and does not provide trading, investing, or other financial advice. By using this website, you affirm that you have read and agree to abide by our Terms and Conditions.
Micky readers - you can get a 10% discount on trading fees on FTX and Binance when you sign up using the links above.