The framework agreement for social media platform Tiktok will include new investors and existing investors by the platform’s Chinese parent company, sources told CNBC’s David Faber.
Sources say the deal is expected to close in the next 30-45 days, when asked to ask them not to name because the negotiation details are confidential. As part of the contract, Oracle The cloud will maintain business with the platform, people said.
“This is capitalized and we still have a look at how big it is,” Faber said Tuesday on CNBC’s “Squad Work on the Street.” “I’ve heard that it actually becomes relatively small in terms of the actual size of the check written for the entity itself, but at some point it’s not something that will be published.”
The White House, Tiktok and Oracle did not immediately respond to CNBC’s request for comment.
Tiktok’s future in the US has been uncertain since 2024, when Congress passed a bill banning the platform unless it was sold from its US business. Lawmakers were concerned that the Chinese government could access sensitive data from American users and manipulate content on the platform.
Contract talks have been dragged, and President Donald Trump has extended the deadline three times since taking office in January.
New details about the contract include U.S. Treasury Secretary Scott Bescent on Monday that the US and China have reached a Tiktok “framework” deal.
Bescent said Tuesday that commercial terms have been in place since March or April, but the Chinese have put it on hold after Trump’s “liberation day” tariff blitz.
Oracle has been floating for months as a potential investor or buyer for Tiktoc.
Reuters reported in January that the White House chose Oracle to process Tiktok’s data collection and software updates as part of the transaction.
Trump previously said he would be open to Oracle Chairman Larry Ellison to buy Tiktok in the US
