The two companies are collaborating on an AI framework called Azure for ByteDance, which will

The two companies have for months been discussing a potential partnership or investment in ByteDance, which has attracted scrutiny from the U.S. government. The partnership will see Microsoft’s Azure cloud computing service used to run ByteDance’s Open Network Automation Platform, or ONAP. The system is designed to help companies automate the management of their networks, including the ability to quickly provision new services and applications. The two companies did not provide financial details of the deal. It’s unclear how much Microsoft is investing in the project or what, if any, equity stake it will receive. The partnership comes as the U.S. government is scrutinizing ByteDance over national security concerns. The Trump administration is considering banning TikTok, the popular short-video app owned by ByteDance, over concerns that the Chinese company could be forced to hand over user data to the Chinese government. Microsoft is also facing scrutiny from the U.S. government over its work with the Chinese military. The U.S. Defense Department has barred Microsoft from bidding on a $10 billion cloud computing contract over concerns about the company’s work with the Chinese military. Despite the tensions between the U.S. and China, Microsoft has been deepening its ties to Chinese companies. In July, Microsoft announced a $5 billion investment in Ant Financial, the parent company of Alibaba’s payments platform, Alipay.