By Joseph Pisani & Zen Soo, AP Technology Writers
Walmart said Thursday it may join Microsoft to buy the U.S. business of TikTok, the popular Chinese-owned video app that has come under fire from the Trump administration.
Microsoft and TikTok declined to comment Thursday.
TikTok, through its fun, goofy videos, has gained hundreds of millions of users globally. But the U.S. is pushing its Chinese owner to sell the U.S. business if it wants to keep operating in the country.
Walmart said in a statement that a deal with Microsoft and TikTok could help it expand its advertising business and reach more shoppers.
The Trump administration is forcing a sale of TikTok's U.S. operations because of its Chinese ownership and has threatened to ban the app, which TikTok says has 100 million U.S. users, citing national-security concerns. TikTok, which is owned by Chinese tech company ByteDance, has sued to stop the ban, but not the sale order. Microsoft has confirmed discussions with TikTok; other tech companies such as Oracle are also reportedly interested in a possible acquisition.
TikTok, owned by Chinese tech company ByteDance, says it is willing to pursue a sale of its U.S. operations and has threatened legal action if it's not treated fairly.
U.S. authorities are concerned that TikTok would turn over user data to Chinese authorities and that it censors content that would upset China. TikTok denies that it has shared user data with the Chinese government and would not do so if asked, nor censored videos at Chinese authorities' request, and says it is not a national-security threat.
The sale situation has been unusual, with President Donald Trump demanding payment for the U.S. government for its part in orchestrating a deal, a step that experts say is unprecedented. The president said on Aug. 18 that Oracle was "a great company" that "could handle" buying TikTok. He declined to state a preference between Oracle and Microsoft as buyers.
Over past year, TikTok has tried to put distance between its app and its Chinese ownership. It installed a former top Disney executive as its American CEO — who left after just a few months — and also named two other Americans chief security officer and general counsel.
Microsoft and Walmart are already business partners, with Microsoft providing cloud computing services that help run the retailer's stores and online shopping. The two companies signed a 5-year partnership in 2018, enabling them to join forces against shared rival Amazon.
SCHROM x Yacht Club and Be Electric Studios Launch Electric XR for Virtual Production
SCHROM x Yacht Club, a full-service live-action, tabletop, and postproduction company, has teamed with Be Electric Studios, a soundstage, equipment rental, and virtual production company, to launch Electric XR, a virtual production collective.
Industry veteran Thomas Rossano will lead the new venture, which provides advanced virtual production solutions across multiple facilities. He brings over 25 years of experience in live-action, tabletop, postproduction and talent curation to enhance Electric XR’s offerings as a resource for brands and agencies, as well as other production companies in need of virtual production solutions. Additionally Rossano continues to serve as EP at XR New York (XR-NY), a role he’s held since December 2022. SCHROM x Yacht Club originally established XR-NY to help provide XR services for third-party rentals. While XR-NY will continue to function independently for SCHROM X Yacht Club, it now operates under the Electric XR umbrella.
Rossano’s expertise spans producing live-action commercials, branded content, interactive and experiential content. In addition to leading Electric XR, he holds responsibilities at SCHROM x Yacht Club which include driving business development, collaborating with sales reps and expanding the company’s creative talent network. Rossano’s career includes serving as an exec producer at Hungry Man for about 11 years, right from that company’s inception. He then went on to become a partner at Station Film where he also had a lengthy tenure. Later he was a partner at PRISM. Then after the pandemic hit, he became a freelance EP for nearly two years, looking into opportunities in virtual production, which led him to XR NY and now Electric XR. Over the years, he has produced high-profile... Read More