Now that Microsoft got the blessing from Trump with regards to the acquisition of TikTok, Walmart decided to team up with the tech company.
Microsoft is reported to be nearing in closing a deal with ByteDance, TikTok’s parent company. Since the report, companies are trying to bind a relationship with Microsoft, but Walmart got the upper hand. According to the retail corporation, the partnership is for its advertising business and third-party marketplace to expand and grow.
In a statement of Walmart to CNBC, the company said that it “believes a potential relationship with TikTok US in partnership with Microsoft could add a key functionality and provide Walmart with an important way for us to reach and serve omnichannel customers as well as grow our third-party market place and advertising businesses.”
“We are confident that a Walmart and Microsoft partnership would meet both the expectations of the US TikTok users while satisfying the concerns of US government regulators,” the corporation added.
The talks about the acquisition of the popular video app have made its CEO, Kevin Mayer to abandon its post and due to some political turmoil.
Recently, the Trump administration has been pressuring the TikTok app to sell its U.S. business to keep trading within the States. He then issued an executive order that banned the company from doing business with American investors for 90 days.
In response, ByteDance filed a lawsuit against the government claiming that the administration has denied it to have a due process.
However, the dispute between TikTok and Trump might end very soon. For some unknown reason, Microsoft has been permitted to do business with ByteDance.
Even before the executive order, Microsoft has been reported to make a deal with TikTok. Although other companies such as Oracle and Netflix were also eyeing to close a deal with the app, Microsoft showed the most persistence between competing firms.
Walmart joining hands with Microsoft could be a lot more advantageous to defeat other competitors to acquire TikTok. In the past years, two companies also used the same tactic to take on Amazon.