TikTok on Thursday finalized an agreement placing its US operations into a new joint venture controlled by American investors, ending years of political and regulatory pressure over Chinese ownership.
The agreement, brokered by President Donald Trump, comes just ahead of this week’s deadline for TikTok to strike a deal or face a US ban, following a series of deadline extensions issued by executive order.
Trump said on social media Thursday night that he thanked members of his administration—and Chinese President Xi Jinping—for helping make the deal possible.
Oracle’s Larry Ellison, private equity firm Silver Lake, and Abu Dhabi-based MGX will each own 15 percent of the venture. ByteDance will retain a 19.9 percent stake, staying below the 20 percent threshold that has been a political flashpoint in Washington. Other investors include the family office of Dell founder Michael Dell and Revolution, the firm formerly led by Vice President J.D. Vance.
TikTok said the joint venture will operate under “defined safeguards” to protect US national security, including comprehensive data protections, algorithm security, content moderation, and software assurances for American users.
Under the deal, TikTok’s content recommendation algorithm will be stored with Oracle.
TikTok veteran Adam Presser will serve as CEO of the US-based entity, while TikTok CEO Shou Chew and representatives from several investors will sit on its board.
The deal caps a yearslong US government push to force ByteDance to cede control of TikTok over national security concerns. It stops short of a full divestment but shifts governance, data, and algorithm custody into US hands—likely enough to avert an outright ban while keeping regulatory scrutiny firmly in place.
