TikTok Avoids US Ban as Joint Venture Deal Officially Closes

TikTok has announced that it has finalized a woody to found a bulk American-owned associated venture, allowing the app to proceed operating successful the United States indefinitely.


First agreed successful December, the woody creates "TikTok USDS Joint Venture LLC," which volition beryllium 80.1 percent owned by U.S. and planetary investors, with ByteDance retaining a 19.9 percent stake. Oracle, Silver Lake, and Abu Dhabi-based MGX each clasp 15 percent arsenic managing investors. Additional stakeholders see the Dell Family Office and affiliates of Susquehanna International Group.

A White House authoritative confirmed that some the U.S. and Chinese governments person signed disconnected connected the arrangement.

President Trump praised the result successful a societal media post, penning that helium was "so blessed to person helped successful redeeming TikTok," and thanked Chinese President Xi Jinping "for moving with america and, ultimately, approving the Deal."

The caller task volition run nether a seven-member, majority-American committee of directors. Adam Presser, formerly TikTok's wide manager and planetary caput of operations, has been appointed CEO of the associated venture. TikTok's planetary main enforcement Shou Zi Chew volition besides service connected the board.

Under the agreement, the task volition grip U.S. information protection, contented moderation, and algorithm security. TikTok's proposal algorithm – wide considered cardinal to the app's popularity – volition beryllium retrained exclusively connected U.S. idiosyncratic information and secured wrong Oracle's unreality infrastructure. Oracle volition besides service arsenic a "Trusted Security Partner" to reappraisal and validate TikTok's root code.

The woody ends years of regulatory uncertainty that began successful August 2020, erstwhile Trump archetypal tried to prohibition the app during his archetypal term. Congress passed authorities successful 2024 requiring ByteDance to divest TikTok's U.S. operations oregon look a nationwide ban. The instrumentality was upheld by the Supreme Court successful January 2025. Trump has extended the deadline multiple times since past to fto the negotiations play out.

TikTok has much than 200 cardinal users successful the United States. It's unclear precisely however the restructured algorithm volition impact the idiosyncratic experience, but the app could extremity up moving otherwise compared to TikTok successful different countries.
This article, "TikTok Avoids US Ban arsenic Joint Venture Deal Officially Closes" archetypal appeared connected MacRumors.com

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