Oracle announces CEO shakeup, company named in TikTok deal
Oracle (ORCL) said Monday that it has appointed two new co-CEOs to replace its current chief executive Safra Catz. The development came after the White House said that the software giant will recreate and provide security for a new TikTok algorithm, per a Bloomberg report.
The two new chief executives are Clay Magouyrk, who was the president of the company’s AI cloud business, Oracle Cloud Infrastructure (OCI), and Mike Sicilia, who was the president of Oracle Industries. The two were named presidents of those Oracle segments in June.
Oracle stock rose less than 1% on the news in early trading.
Oracle’s former CEO, Safra Catz, served in her role since 2014. The Israeli-American billionaire and former investment banker has been appointed executive vice chair of the company’s board of directors.
“In her role as Vice Chair, Safra and I will be able to continue our 26-year partnership — helping to guide Oracle’s direction, growth and success,” Oracle chair Larry Ellison said in a statement.
Oracle’s stock decline reverses gains earlier in the morning after news that the tech firm will recreate and provide security for a new TikTok algorithm to allow the social media app to continue operating in the US, avoiding an impending ban.
The arrangement, outlined by the White House official in a statement to Bloomberg Monday, seeks to make sure that US buyers control TikTok’s recommendation software in the country following a divestiture by its Chinese parent, ByteDance Ltd. Owners of the US-based TikTok would lease a copy of the algorithm from ByteDance that Oracle would then retrain, Bloomberg said.
Multiple outlets have reported previously that Oracle would be part of a consortium of investors that will control TikTok’s US operations.
Analysts have told Yahoo Finance that Oracle’s involvement in such a deal is seen as a positive for the software company because it allows it to continue its partnership with TikTok, storing the app’s American user data. That deal accounted for 5% of the revenue seen by OCI in its 2025 fiscal year, MorningStar analyst Luke Yang estimated.
