Last week, Trump said the U.S. government will prohibit TikTok unless the program can be marketed to an American organization within 90 days.
Oracle and Microsoft have emerged since the two front runners in the race to acquire the wildly popular movie sharing program.
Oracle co-founder Larry Ellison threw a campaign fundraising event for Trump earlier this season and has expressed his support for the president.
President Donald Trump stated U.S. enterprise software giant Oracle is "a great company" when asked if if it would be a good buyer for TikTok.
Speaking at an event in Yuma, Arizona,'' Trump said: "Well, I believe Oracle is a great companion, and I think its proprietor is a tremendous guy. He is a huge individual. I think that Oracle will be surely somebody that will handle it. Yeah.
It is unclear just how much Oracle is prepared to pay for TikTok but some of ByteDance's investors value TikTok's global company at $50 billion, according to Reuters.
The way TikTok is structured means the subsidiaries from New Zealand, Canada, and Australia report into the U.S. and that's why they're being included in the bargain talks.
Oracle's bid for TikTok also involves U.S. venture capital firms Sequoia Capital and General Atlantic, which can be now investors in ByteDance. The discussions were confirmed by a CNBC origin after they were first reported by the Financial Times.
Last week, Trump said the U.S. government will ban TikTok unless the app can be marketed to an American organization in 90 days.
"There is credible evidence which leads me to think that ByteDance... could take action that threatens to impair the national security of the United States," Trump said in an executive order.
TikTok might not seem like the most natural match for Oracle but Abishur Prakash, a geopolitical futurist at a strategy consulting company called Center for Innovating the Future, knows the provider is interested.
"By putting TikTok's data on Oracle servers, Oracle might have the ability to construct in-roads into new industries," Prakash said.
"From the post-Covid world, each business is trying to reinvent themselves," Prakash added. "And, within geopolitics of technology, there is not just dangers, but also chances. Oracle may have its own ideas as to how it may use TikTok it hasn't revealed to the industry yet."
Oracle is competing with Microsoft, which emerged as the initial leading runner in the race to obtain the fast-growing social media program.
Asked which company he'd rather see take ownership, Trump said:"I guess Microsoft wants it so does Oracle, and likely so do other folks, but they need to also make sure that the United States is well compensated because we are the ones making it possible. Very simple: We're the ones making it possible"
Trump added: "Our Treasury must be very well paid."
ByteDance and Oracle are nevertheless to deny that the bargain talks. When asked about them, a ByteDance spokesperson stated: "We do not comment on rumors or speculation" An Oracle spokesperson added: "This really isn't something that we can comment on."