On August 1, ByteDance—which initially sought to maintain a minority interest in a sale to a U.S. buyer—agreed to divest TikTok outright to prevent a ban in the United States and in other countries (including Japan, Pakistan and Australia) where restrictions are also being considered because of privacy concerns primarily related to its ownership by a China-based firm. A preliminary deal to sell the platform to Microsoft was submitted to President Trump for review, in which Microsoft would also assume data management responsibilities; preliminary terms allowed American investors in the platform to eventually acquire minority stakes in TikTok post-sale. South Carolina Sen. Lindsey Graham later expressed support for the Microsoft proposal. In a video statement posted on TikTok that morning, Manager of U.S. Operations Vanessa Pappas stated that the company is "not planning on going anywhere" and is "building the safest app because we know it's the right thing to do." On August 2, it was reported by The Wall Street Journal that Microsoft paused talks with ByteDance. Later that day, Microsoft confirmed that talks would continue following a conversation between CEO Satya Nadella and President Trump. Reportedly, after White House advisers persuaded him to hold off on banning TikTok outright because of the possible legal and political repercussions involved, Trump subsequently agreed to put a 45-day hold on any action against TikTok to allow ByteDance to divest the platform to Microsoft or, should a deal with the tech company not materialize, another American corporation. On August 6, Trump signed an executive order banning the platform in 45 days if it is not sold by ByteDance; Trump also signed a similar order against the WeChat application owned by the Chinese multinational company Tencent. On August 14, Trump issued a new executive order giving ByteDance 90 days to sell or spin off its U.S. TikTok business. In the order, Trump said that there is "credible evidence" that leads him to believe that ByteDance "might take action that threatens to impair the national security of the United States." On August 17, Oracle entered the race to buy TikTok's operations in the United States, Canada, Australia, and New Zealand, working with U.S. investors—including General Atlantic and Sequoia Capital, who own stakes in TikTok—to secure a bid.
