Chinese media called the TikTok deal extortion, signaling Beijing’s unwillingness to approve any deal that would see the company under complete American ownership. The reports follow contradictory understandings regarding the deal's ownership structure. Oracle released a statement claiming that ByteDance would retain no ownership, while ByteDance insisted that it would hold a controlling 80% stake.
- Oracle claimed all shares in the new entity set up by the deal, TikTok Global, would be distributed to existing stakeholders.
- ByteDance released a statement underscoring its intent to retain its economic ownership of TikTok. It is operating with the understanding that Oracle and Walmart would own 20% of the new entity, with ByteDance controlling the rest 80% stake.
- Trump initially approved of the deal but retracted his support after learning that ByteDance would still control the new company. He also stipulated that the new entity create a $5B patriotic education fund, the news of which ByteDance claimed to have first heard from newspaper reports.
- Oracle announced that the deal would create 25 thousand jobs, in addition to paying $5B into the treasury. Walmart claimed that TikTok Global would go public within 12 months.