Trump has even said that he believes the USA government should receive a cut of whatever agreement is eventually made to sell TikTok's American assets, a move that tech experts say could set a unsafe precedent for future worldwide tech deals.
Microsoft had said earlier Sunday its bid to buy the popular video-sharing app had been rejected.
President Donald Trump announced his intention to ban TikTok, unless a U.S. company takes it over, was announced during a press conference on August 4.
Oracle Corp has been selected as the winning bidder for TikTok's U.S. operations, the Wall Street Journal reported, after Microsoft Corp said its bid was rejected by parent company ByteDance Ltd. "We are confident our proposal would have been good for TikTok's users, while protecting national security interests", Microsoft said in a statement. However, the source adds "the technology team of TikTok in the U.S. can develop a new algorithm", suggesting the change of terms isn't a major roadblock for anyone buying the business, but it would add new obstacles.
The government worries about user data being funneled to Chinese authorities. Oracle has been less forthcoming than Microsoft regarding its plans for the service. "We look forward to seeing how the service evolves in these important areas".
Soon after, Trump issued an order that would ban the app in the US beginning September 20.
It's unclear if that will pass muster with certain members of the Trump administration who are more hawkish about China.
Oracle and TikTok declined to comment.
Officials in the US have criticized the app, which is immensely popular among younger millennials and Gen Z users, saying that TikTok collects too much user data and may be passing that data on American consumers back to the Chinese government.