Analyst: Oracle’s bid for TikTok’s business in the US and other countries is due to cloud computing business
On August 19, according to foreign media reports, the business of TikTok, a video sharing app owned by ByteDance, is being asked to sell its business in the United States. The popular buyer who was interested in bidding before was Microsoft, but now there are new bidders. Oracle, the enterprise software company founded by Larry Ellison, is also trying to acquire TikTok’s business in the United States and other countries.Oracle official logo
The news that Oracle is seeking to bid for TikTok’s business in the United States and other countries began to appear this week. Foreign media said that Oracle and ByteDance have begun preliminary negotiations, and they are also negotiating with some American investors in ByteDance to consider an acquisition. TikTok’s operations in the United States, Canada, Australia and New Zealand.
As an enterprise software company, Oracle mainly sells hardware and software to large companies, and is now also developing cloud computing business, but their current business does not have a direct consumer-oriented business, so they bid for a popular consumer application , Inevitably makes people puzzling.
Regarding Oracle’s bid for TikTok, some analysts expressed their views that Oracle seeks to bid for TikTok’s business in the United States and other countries because of data and the promotion of cloud computing .
Ray Wang, an analyst at Constellation Research, gave five advantages to Oracle for bidding for TikTok’s multinational business on social media.
The first favorable factor given by Ray Wang is to obtain a large amount of cloud computing workload. Through acquisitions, a large amount of cloud computing business can be obtained and promote the development of its cloud computing business.
On social media, the second favorable factor given by Ray Wang is data. Through acquisitions, Oracle will obtain a large amount of data. Data is critical to Oracle’s customer experience business. At the same time, the huge consumer database can also provide Oracle Cloud Tools provide convenience in marketing and customer service.
Ray Wang’s other favorable aspects include increasing the value of undervalued stocks and a rare opportunity.
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