Trump gives ‘blessing’ for new company including Tik Tok likely to be based in Texas

Texas

TEXAS (AP/KXAN) — President Donald Trump said he has given his “blessing” to a deal between Oracle, Walmart and TikTok on Saturday with a new company that could potentially be based in Texas.

The reports come after Gov. Greg Abbott posted on Twitter that he spoke with the president about the deal on Saturday.

“I let him know that if he approves the deal Texas would be the perfect place for the HQ,” Gov. Abbott’s tweet said.

Trump said the proposed deal will result in a new company to be under the control of U.S.-based Oracle and Walmart.

“I have given the deal my blessing,” he said. “If they get it done, that’s great. If they don’t, that’s OK too.”

Trump has been targeting TikTok, a video app, as well as WeChat, another Chinese-owned app. The dispute over the two apps is the latest flashpoint in the rising tensions between the world’s two largest economies.

The news follows privacy concerns expressed by the Trump administration, who had ordered TikTok to be removed from app stores at midnight on Sunday.

On Aug. 7, KXAN’s John Engel reported TikTok is moving forward with hiring hundreds of new employees in Austin. TikTok’s expansion into the Austin market began in March. Dozens of job openings were posted to join the platform at the time.

Later, threats came from the president to shutdown the company, leading them to tell KXAN they were “re-evaluating” the move.

President Trump had previously called the popular app and its parent company a national security threat because of concerns that data was being shared with the Chinese government.

TikTok chose Oracle to be the company’s “trusted technology provider” over Microsoft in hopes of keeping the app running in the U.S.

In it’s proposal to the Treasury Department, TikTok emphasized the importance of its app to the 100 million users it claims in the U.S. and hoped it would “resolve the Administration’s security concerns.”

“Our team works tirelessly to provide a safe and inclusive platform and we’re thrilled that we will be able to continue serving our amazingly diverse and creative community,” a statement from TikTok said in part.

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