Oracle Corp is supporting bipartisan legislation to reinforce foreign investment rules. The rules are due to the growing concern over Chinese attempts to buy U.S. tech companies.
The bill will enhance the authority of the Committee on Foreign Investment in the United States (CFIUS), allowing it to analyze lesser investments and add new national security factors, like revelation of Americans’ Social Security numbers. CFIUS is an inter-agency panel that examines transactions for national security concerns. CFIUS can ban transactions, but the real power come from the U.S. President, who can stop or suspend a deal.
“We appreciate the language is narrowly tailored to focus on specific national security concerns, distinguishing between investments that are financially motivated and investments that are strategically motivated, such as improving foreign military capabilities or other strategic objectives,” Kenneth Glueck, a Senior Vice President at Oracle said in the letter to Republican Senators John Cornyn and Richard Burr, and Democratic Senator Dianne Feinstein.
This bill has also received much opposition. Among the opposition is International Business Machines Corp, arguing the company would bog down an already busy panel with routine transactions.
It was expected that the Senate will show the hearing before the end of 2017, and that the committee will also take action soon after.