Tech giant Oracle stands aside as TikTok flounders

TikTok’s most powerful U.S corporate partner is sitting on the sidelines as the U.S. House of Representatives stands on the brink of passing a bill Wednesday that would force the app’s Chinese owners to sell it or face a ban.

TikTok’s lobbyists have complained to House aides that the Austin, Texas-based tech giant Oracle — a politically connected Washington powerhouse with 24 lobbying firms on payroll last year that forged deep ties to Donald Trump’s White House — has been almost entirely absent from the heated behind-the-scenes tussle over the bill.

The stakes are high for Oracle, which is one of the 30 most valuable companies in the world. The company’s role hosting TikTok’s U.S. data, and in theory guaranteeing its safety, was reportedly worth $1 billion. That contract to host TikTok’s massive video library represents one of the biggest prizes in the cloud computing industry. If TikTok is sold, Oracle would stand to lose that contract — especially if the app goes to a competing cloud company, Microsoft.

“TikTok has been vocal about their wish that Oracle would step up,” one senior aide to a Republican member told Semafor. ”They wish Oracle were being more proactive.”

TikTok has sought to play both outside and inside Washington games to stop the bill, known as the Protecting Americans From Foreign Adversary Controlled Applications Act. It has encouraged its millions of users to call members of Congress and demand “no” votes, while its CEO seeks meetings with members of Congress and TikTok creators visit the Hill.

Oracle representatives have told allies the company is staying out of the fight because part of its role is guaranteeing the integrity of TikTok’s data. A senior TikTok executive said the company understands the limits of Oracle’s role.