TikTok Strikes Deal To Remain In U.S. After Ownership Restructuring

After years of legal and political battles, TikTok will remain operational in the United States thanks to a newly finalized ownership deal between ByteDance and a consortium of international investors. The agreement, announced Thursday evening, brings a dramatic end to growing concerns over Chinese influence and data security on the platform.

Trump Administration Holds Line, Secures Deal

The breakthrough comes after a six-year effort to either ban or force a divestment of TikTok’s U.S. operations due to concerns over Chinese surveillance, intellectual property theft, and election interference. Although Congress passed a law in 2025 that would have banned TikTok in the U.S., President Donald Trump delayed its implementation to allow negotiations to continue with ByteDance.

Trump had repeatedly stated that banning TikTok outright would unnecessarily punish American influencers and businesses. Instead, his administration prioritized a solution that would preserve access while addressing national security risks.

New Ownership Structure Limits Chinese Control

Under the terms of the agreement, a new U.S.-based version of TikTok will be created. ByteDance will hold only 19.9% of the U.S. operation, with the remaining 80.1% owned by international investors. Notably, Oracle, MGX (a UAE investment group), and U.S. private equity firm Silver Lake will each own 15%.

Other key investors include:

• Dell Family Office (Michael Dell’s personal investment group)

• Vastmere Strategic Investments (affiliated with Susquehanna International Group)

• Alpha Wave Partners

• Revolution (a D.C.-based venture firm)

• Dragoneer Partners (via Merritt Way, LLC)

• Via Nova (a General Atlantic affiliate)

• Virgo LI, Inc. (Yuri and Julia Milner’s foundation)

• NJJ Capital (Xavier Niel’s telecom-focused family office)

Oracle to Manage U.S. Data, Algorithms

Oracle, a longstanding tech partner in TikTok’s U.S. restructuring efforts, will assume operational control of all American user data. The newly formed entity, TikTok USDS Joint Venture, is tasked with safeguarding the app’s algorithm and content moderation infrastructure.

According to the announcement, the joint venture will implement “comprehensive data privacy and cybersecurity measures,” maintain “robust trust and safety policies,” and provide “transparency reporting and third-party certifications” to ensure accountability.

Looking Ahead

While TikTok’s future in the U.S. once appeared bleak, this agreement allows the platform to continue operating under tightened security measures and drastically reduced Chinese ownership. ByteDance’s concession to surrender majority control is a clear sign that the pressure campaign — legally, politically, and economically — succeeded in reshaping one of the world’s largest social media platforms to conform to U.S. national security priorities.

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