First, it was Microsoft. Now, Walmart has decided to join the Redmond-based software company is buying TikTok.
Owned by China-based ByteDance, TikTok is under massive pressure to sell its US operations in order to remain in business. It is perceived as collateral damage in the US-China trade war.
According to reports, any sale is expected to be in the range of between US$20 billion and US$ 30 billion.
However, the Microsoft-Walmart partnership is not the only offer on the table. The massively popular video app’s suitors include Oracle and Twitter.
In a public statement, Walmart noted that “the way TikTok has integrated e-commerce and advertising capabilities in other markets is a clear benefit to creators and users in those markets.”
“We believe a potential relationship with TikTok US in partnership with Microsoft could add this key functionality and provide Walmart with an important way for us to reach and serve omnichannel customers as well as grow our third-party marketplace and advertising businesses. We are confident that a Walmart and Microsoft partnership would meet both the expectations of US TikTok users while satisfying the concerns of U.S. government regulators,” it added.
The potential benefits of adding TikTok to its portfolio are massive. TikTok has nearly 100 million active users in the US alone.