- Bytedance retains some ownership and control of the app and the algorithms
- Oracle runs the entire back end on their infrastructure
- Oracle guarantees to the US government that no data is going back to China (because they control the release of the app and control the back end)
- This satisfies the USA's (supposed) national security concerns and also satisfies China because TikTok is not actually being "sold" to a US company.
If it's one of a dozen places you advertise, that's fine. If you're trying to run a business where it's a core platform, you quickly run into the limits there.
Otherwise the guarantee that no data is being sent to China is not airtight. Oracle could audit the app every time it gets an update and watch network traffic, but this would miss anything sent by code activated remotely after the fact. It wouldn't work for long, but the US government will look for any reason to deny this deal. I don't think Oracle will audit the app constantly anyway. Come to think of it, that could apply to the source code too, if the malicious code was extremely well hidden.
Also they will probably take over responsibility for the Play and App Store accounts and be responsible for pushing the new versions (after audit).
Plenty of companies store their users’ data in the US, but user profiles and content made public is visible from anywhere in the world.
So I don't think this is a great step forward for US consumers.
Oracle is a greedy leech on the world and tech in general. Tiktok has something they want to use to sue other companies. Oracle knows almost no other way to do business.
There is literally no reason to think this could possibly happen, apart from “Oracle is bad and they do bad IP lawsuits”. Tik Tok doesn’t have any novel IP that could support a theory like this, and Oracle isn’t even getting any IP in this deal.
And I would think the magic algorithm that comes along with Tiktok is IP.
Maybe you know the list of patents Bytedances holds? If they do not have IP around that algorithm they are idiots.
Anyway it will be interesting to watch.
It suggests that Oracle's cloud business has such dire traction that they can't acquire prominent customers for it any other way than to directly buy part of them. It also speaks to that Ellison & Co. view the cloud shift as a terminal threat for Oracle, one that is getting worse by the day, and that if they don't succeed at building up their cloud business, they will erode and die (and they're right).
Oracle stayed in the game in the last round through massive consolidation, buying up the competition one after another (eg Siebel, PeopleSoft, etc). They'll try the same thing this time around as their organic efforts have largely failed; we'll see how much success they have given they're far outgunned this time around (and running from much further behind).
In other words it's the same as every cloud provider: They hope you'll build a business system that uses enough of their proprietary tech that you can't easily move to another provider.
The autonomous database is Oracle's offering of their Oracle database - that requires no DBA or tuning and runs on Exadata infrastructure.
They are offering it for free - because they want enterprises using existing on-premise Oracle databases, to move their existing DB applications to the cloud.
Oracle Autonomous databases comes with free Oracle APEX - which is a low code / no code toolchain.
Does the ceo/founder have family in china that can be held hostage?
This is the real risk.
It really is not. One of the biggest horrors of the Trump years is the extent to which this kind of capricious executive action has been normalized. A ban is a ban. If you genuinely think an app poses a security risk, then you use one of the executive tools available to shut it down.
There was no "ban" enacted here. It was a bargaining chip used to muck with the markets in an outrageously explicit way. We don't do that in this country. Or we never did before.
The closest equivalent to this in terms of effect would have been the trust busting of the early 20th century. And that involved all three branches of government working over years. This happened because One Guy decided he didn't like TikTok.
This is the correct question to ask, but the answer is quite simple - because Donald Trump is corrupt and thinks he can get away with it.
You had a republic, can you keep it?
He wants one to score with the voters. Given the unusual nature of the ask , it could be a donation to the project of his choicing like the wall
It’s no wonder that Silicon Valley is uninterested in defending it, despite the fact that this sort of deal is likely to severely fracture how tech services are treated by governments in the future.
'ByteDance let us know today they would not be selling TikTok’s US operations to Microsoft.' 
Skype was not sponsored by a foreign power but by liberal minded founders using P2P technology. Still a "national security" threat (actually a hegemony threat) so it had to be addressed somehow. Microsoft was happy to help.
It also helps explain a little the hapless treatment of the Skype brand under Microsoft. Not that Microsoft hasn't bought companies and mismanaged the assets before, but they really didn't know what to do with Skype.
Wasn’t tiktok just running a huge campaign about how all the work is done in the US, it just happens to be hq-ed in China?
It's not true for ByteDance though, which appears to be where the algorithms came from.
Me thinks this was all a massive gambit to win the JEDI deal, hobble Oracle with a turd, and then pull out.
> The Chinese regulations helped scuttle the effort by Microsoft, which said the only way it could both protect the privacy of TikTok users in the United States and prevent Beijing from using the app as a venue for disinformation was to take over the computer source code underlying the app, and the algorithms that determine what videos are seen by the 100 million Americans who use it each month.
This makes it clear that China has ties to Oracle management in some form or another, or Oracle wouldn't be the last man standing. This is going to be a shitshow.
Oracle also has ties to Trump. This stinks.
Still, I’m not saying that the $10B DoD contract and the way they tortured the process to avoid giving it to Amazon did not stink as well. Or that Amazon as a company is fine. There can be more than one festering carcass in a swamp.
Isn’t this virtually identical to the Chinese model? For example, NetEase is the tech partner for Blizzard, GCBD for Apple’s iCloud, Sinnet for AWS, who does Microsoft partner with?
This appears to be a working model that the Chinese government will support. I wonder if other nations will start to adopt it.
My Chinese friends are joking on this "California on Cloud" scenario. (GCBD is called "Guizhou on Cloud" in Chinese)
Edit: They're probably being technically correct about "sell", but not so much about "operations".
Oracle purchasing a stake in ByteDance, and maybe handling US operations? It sounds like one of those deals which will end up as a loss in a few years and a write-down. The first comparison that comes to mind is the Tumblr sale, when Yahoo wrote-down $712 million, although the companies are quite different. However, the similarity is the culture difference between the parent and subsidiary companies - Yahoo couldn't figure out how to turn Tumblr profitable as they had no successful examples prior, as far as I remember. Oracle and TikTok could not be more different: Oracle is a cold cloud technology supplier with no business advertising to teens.
If Oracle wishes to only be the cloud partner holding US data (a possibility mentioned in the article) it's possible that it could work out, but whether it is possible is dependent on politics and potentially who is elected as the next President.
"You actually don't need to be open-minded about Oracle, you are wasting the openness of your mind [...] As you know people, as you learn about things, you realize that these generalizations we have are, virtually to a generalization, false. Well, except for this one, as it turns out. What you think of Oracle, is even truer than you think it is. There has been no entity in human history with less complexity or nuance to it than Oracle."
- Bryan Cantrill, https://youtu.be/-zRN7XLCRhc?t=2046
Oracle is where things go to die.
Any source for this? I wasn't aware that third party stores are used by the general population as commonly as the play store anywhere.
Another thing is that with such bans, all major ISPs and network carriers are instructed to block the traffic to the related domains, so the app won't work anyway unless they roll out with a lot of changes.
I thought the idea of Microsoft buying TikTok was funny, but I couldn't think of a company more effective to dismantle TikTok than Oracle.
Oracle has one of the last couple of proper industrial research labs left in the industry.
It regularly publishes at the top venues in multiple fields and funds a lot of academics.
RAPID: In-Memory Analytical Query Processing Engine with Extreme Performance per Watt
Database Workload Capacity Planning using Time Series Analysis and Machine Learning
Less sarcastically, I’d like to see some examples of this as I have a genuine interest in the topic.
You're not wrong - it is a little funny.
But on the other hand, they have been running LinkedIn (and Github!) pretty successfully, so it's not that ridiculous.
Minus the avoidable password breaches
Ah, but therein lies the genius of the purchase.
In 40 years, the current TikTok userbase will be technology-hating, risk-adverse VPs -- a prime Oracle demographic.
They're just getting in early.
I guess I'll be polishing my resume.
They paid for an apartment and car as well!
It’s a great place to be, actually.
Sadly it was looking out over the West side of Chicago from the West side of the loop, so the view was mediocre even when the weather played nice.
One of the nice things about this pandemic has been how silent my office is. So much easier to keep my head down and churn code / solutions to problems out.
Today..not worth the price tag. And if you do pay the price tag, you're going to need some high priced DBAs to baby it along.
To your list I would add that with Hudson they achieved such an own-goal that all anyone knows is the renamed fork, Jenkins. (Which I believe was named after Leeroy Jenkins...)
Agreed. Having worked with and delivered some great solutions with Oracle DB in the 2000's, I've been telling people since at least 2010, that Oracle used to be the answer to the question, "which enterprise database?", but now is the answer to "which is the one vendor I should avoid at all costs?"
IIRC, they wanted an English butler name snooty enough to match "Hudson" - and Jenkins fit the bill (you can almost hear the British accent)
Oracle software licenses are so opaque that there's almost no way to be compliant and that's by design.
So in essence: Either you pay more for your existing installation or buy some additional shit, which you don't need, or else.
The or else is the threat of a software audit, which is almost guaranteed to find you non-compliant and gives you 30 days to either pay up or get rid of every Oracle software component. Best of luck with that.
There are umpteen stories about this behavior on the web. For example this: .
Oracle's business model is not really technology, but a licensing racket for enterprise customers. Sort of
Nice company you have here, would be a shame if something happens to it
edit : rephrased a sentence
Instead of a license, the SQLite source code offers a blessing:
May you do good and not evil
May you find forgiveness for yourself and forgive others
May you share freely, never taking more than you give.
I'd say they are doing a mediocre job on the whole. But I may just be bitter over recent bugs like renaming a table crashing the server.
Any ideas why?
Nah. If it were any good then the license wouldn't prohibit you from benchmarking it.
Bytedance isn’t actually selling TikTok, and the White House gets its win.
Sun (the company), not Solaris (the OS). But yeah, Java has done relatively well.
Peoplesoft was pretty entrenched when Oracle bought it, and the state of other options in that field remains pretty grim.
Anybody remember PeopleSoft?
If Oracle has anything to do with the app itself or its functionality then TikTok will not do well. But if Oracle just manages the data and cloud operations then this may indeed work out well for both companies. Oracle is competent when it comes to data and cloud. That's their core business after all.
What an irony given Oracle's own roots in USA's espionage agencies.
Absolutely not. If anything, the young user base makes TikTok more valuable. It will be viewed as an analogue to Facebook before it exploded.
“ByteDance started opening data centers in India and the US in 2019. This may be strictly for internal purposes, but its possible they plan to launch a cloud hosting service. ByteDance acquired Terark in 2019 which allows databases to run 200x faster by reading compressed data at 50% of the cost. If they launch an external service, the selling point could be faster processing and access to some of ByteDance’s AI tech.
A cloud service combined with enterprise software (and eventually a phone or other hardware) would take a page out of Microsoft’s approach of bundling multiple products and selling them top down through the C- Suite.”
Sure. The answer is that there is no such significant added value to Oracle, specifically, but TikTok itself will end up selling for bargain basement prices, meaning that added value isn't necessary for an acquisition to make sense.
What was the most visible outcome of Microsoft's takeover of GitHub? Some software engineers who happen to live in a wrong peninsula in Europe had their GitHub accounts shutdown with no advance notice and no recourse. So much for the rule of law and for social coding!
I think it's great that people from all over the world have a choice of who to give their data to. If there'd be a worldwide antitrust body, US would already be in trouble! Remember when China blocked Twitter and whatever else? Yeah, aren't we the China now?!
It's insane when I tried installing oracle db and BI tools on my laptop. It was the worst software installation process in my life.
Further credibility with the US government as they deepen their ties with the NSA and US intelligence. Leads to winning more massive government contracts and more favor from future administrations.
Oracle is ahead of the game. It has realized that ingratiating itself with the government is a recipe for long-term success.
"If we can't have it, then we want to make sure NOONE will profit from it, and we burn that space to the ground in the US" ?
The cynic in me suspects that this is so, Oracle looked like a weird pick from the start. It would have been super interesting to be part of that negotiation.
> Microsoft earlier Sunday said it was notified earlier in the day of the decision by TikTok parent ByteDance Ltd.
> “We are confident our proposal would have been good for TikTok’s users, while protecting national security interests,” the company said in a statement. “To do this, we would have made significant changes to ensure the service met the highest standards for security, privacy, online safety, and combatting disinformation, and we made these principles clear in our August statement. We look forward to seeing how the service evolves in these important areas.”
Yeah, as a self-appointed member of the worldwide trade commission, enforcing the antitrust rules and regulations, I'm really happy that the Microsoft's bid has been declined!
You don't just pick the highest paying bid, necessarily
Sure, if you're the shareholder, you may not care what happens to your former employees, but the buyer should care that the value of the asset they just paid for is inclusive of human capital, and that value depends on the opinion of the people working on the seller's side
This means that Oracle are legitimately the best people to answer the question of which half of your advertising was wasted for offline sales.