Microsoft Renews Discussions on Potential TikTok Acquisition, Partnering with Oracle

Can you believe it’s already 2025? In this ever-changing digital age, Microsoft’s name is popping up again in the discussions to acquire TikTok.

For those out of the loop, last year brought some major legislative changes in the U.S. concerning TikTok. A bill was passed requiring the Chinese company to either sell its U.S. operations or shut them down entirely. When former President Joe Biden decided not to veto it, the bill turned into law. TikTok, standing its ground, chose not to sell, leading to a blackout just last Sunday. But don’t worry — the app was back in action within hours, thanks to a temporary reprieve from newly inaugurated President Trump.

President Trump has extended TikTok’s lifeline by 90 days. However, due to legal constraints, it remains absent from Google Play and Apple’s app stores. This means TikTok is on a ticking clock to either secure a buyer or face the shutdown in the coming months.

In the latest developments, NPR (via The Verge) reveals that Microsoft might be stepping up to buy TikTok once again.

Globally, TikTok’s come under fire for its addictive nature, with its sophisticated algorithm often fostering echo chambers and enabling radicalization. The U.S. cites national security concerns due to its parent company, ByteDance, having ties to the Chinese Communist Party. They fear TikTok could be used for spreading propaganda or tracking American citizens. Meanwhile, the European Union has also been scrutinizing TikTok’s influence in the political arena, including its role in disseminating Russian pro-Putin narratives.

Rumors are swirling about the White House working on a deal where Oracle could take over TikTok’s worldwide operations, with ByteDance retaining a minority share. Microsoft is also reportedly in the mix, but the extent of their involvement remains unclear. All the companies involved have kept a tight lid, refusing to comment on the matter.

Microsoft’s current social media portfolio includes LinkedIn, which, while successful and profitable, doesn’t quite capture cultural influence like TikTok. Imagine the possibilities if Microsoft were to integrate TikTok’s vibrant platform with its existing products like Xbox and Windows. The thought of seamless TikTok capabilities embedded in gamer’s terrain or video editing tools on Windows sounds intriguing, yet it echoes the hopeful forecasts heard when Microsoft acquired Skype, which didn’t exactly pan out as expected.

Though the odds of Microsoft directly acquiring TikTok seem slim, it’s worth noting TikTok’s considerable use of Microsoft’s Azure AI services. While most of TikTok relies on Oracle’s cloud infrastructure, Azure’s AI elements play a critical role. So, Microsoft’s interaction might largely focus on their standing Azure AI contract.

But just think, what if it did happen?