For Oracle, the partnership fits with a plan to become a provider of a broad range of computing services delivered via remote server farms, rivaling leaders Amazon.com Inc., Microsoft Corp. and Alphabet Inc. The strategy, announced with fanfare half a decade ago, had mixed success. As of last year, Oracle
had grabbed such a small share of the cloud computing and storage market that research firm Gartner Inc. didn’t even tabulate the figure. In 2018 Gartner classified Oracle as a “niche player.”
TikTok’s decision to pick Oracle was influenced by another company, Zoom Video Communications Inc., which recently moved some of its videoconferencing capacity to Oracle’s cloud business, Redwood City, California-based Oracle said Saturday in a statement.
Oracle Chairman Larry Ellison said in a statement that TikTok chose Oracle “because it’s much faster, more reliable, and more secure than the first generation technology currently offered by all the other major cloud providers.”
said that while terms aren’t final, it has tentatively agreed to buy 7.5% of TikTok Global and that it would provide services including payments, e-commerce and order fulfillment to the new company. Walmart Chief Executive Officer Doug McMillon will also serve as one of five board members of TikTok Global.
“This partnership will provide Walmart with an important way for us to expand our reach and serve omnichannel customers as well as grow our third-party marketplace, fulfillment and advertising businesses,” Bentonville, Arkansas-based Walmart said in a statement.
The move is part of a broader long-term play to bring more shoppers, advertisers and vendors into its camp as the lines between content and commerce continue to blur. The arrangement could also enhance its soon-to-launch delivery subscription service, making it a more credible threat to rival Amazon’s Prime offering. TikTok could become a platform to sell Walmart’s products, catapulting the 58-year-old Arkansas retailer into the emerging realm of “social commerce” against Facebook and its Instagram platform.
Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.
As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.
Support quality journalism and subscribe to Business Standard.