White House confirms China, US seal deal on TikTok's American operations.
In a significant development, the White House has confirmed that China and the US have finalized a deal to sell TikTok's American operations. According to a White House official, this move comes after a federal law requiring the sale of the app's American operations went into effect last year.
The bipartisan law, which was passed in 2024, effectively mandated a nationwide ban on TikTok for users in the US unless its China-based parent company, ByteDance, severed ties with the social media platform's American operations. However, President Trump has issued executive orders every few months directing the Justice Department not to penalize tech companies that host TikTok, keeping the app widely available despite the ban.
Under the new deal, a joint venture comprising mostly US-based investors will take over TikTok's operations for American users. The venture, which includes Oracle and Silver Lake as managing investors, will own 45% of the company, with ByteDance retaining 19.9%. However, the Chinese government has been vague about its plans to move forward, citing compliance with Chinese laws and regulations.
The new structure will require TikTok's US operators to retrain, test, and update their content recommendation algorithm using data from American users. Oracle will also review and validate source code on an ongoing basis. The US version of the app will remain interoperable with global content under the deal.
However, concerns have been raised about whether this arrangement meets the threshold of separation from ByteDance that lawmakers intended when they wrote the law. Congress plans to hold a public hearing to address questions about the TikTok deal, including whether it prevents Chinese influence over the algorithm and ensures user data security.
In a significant development, the White House has confirmed that China and the US have finalized a deal to sell TikTok's American operations. According to a White House official, this move comes after a federal law requiring the sale of the app's American operations went into effect last year.
The bipartisan law, which was passed in 2024, effectively mandated a nationwide ban on TikTok for users in the US unless its China-based parent company, ByteDance, severed ties with the social media platform's American operations. However, President Trump has issued executive orders every few months directing the Justice Department not to penalize tech companies that host TikTok, keeping the app widely available despite the ban.
Under the new deal, a joint venture comprising mostly US-based investors will take over TikTok's operations for American users. The venture, which includes Oracle and Silver Lake as managing investors, will own 45% of the company, with ByteDance retaining 19.9%. However, the Chinese government has been vague about its plans to move forward, citing compliance with Chinese laws and regulations.
The new structure will require TikTok's US operators to retrain, test, and update their content recommendation algorithm using data from American users. Oracle will also review and validate source code on an ongoing basis. The US version of the app will remain interoperable with global content under the deal.
However, concerns have been raised about whether this arrangement meets the threshold of separation from ByteDance that lawmakers intended when they wrote the law. Congress plans to hold a public hearing to address questions about the TikTok deal, including whether it prevents Chinese influence over the algorithm and ensures user data security.
. And what's up with the 45-19.9 split, sounds like some fancy accounting magic to me... I mean, who needs to know how TikTok's algorithms work when you've got Oracle reviewing and validating source code on an ongoing basis? Sounds like a recipe for disaster 
. And don't even get me started on the fact that ByteDance is still retaining 19.9%... sounds like they're still calling the shots from China 
. Can't wait to see how this all plays out, I'm sure it'll be a real snooze fest 
I'm kinda glad to see this whole thing is finally getting wrapped up, but at the same time, I'm a bit worried that we're sacrificing too much of our own users' freedom for the sake of "security". 
The new deal does seem like it's meeting some of the requirements set out by lawmakers, but what if ByteDance still finds ways to exert influence from behind the scenes? 
And with Oracle involved, I guess we can rest a bit easier knowing they're watching over things... I mean, Silver Lake and Oracle are pretty big players in this deal, so maybe it's not all bad? 
. Like, I get why the US government wanted to crack down on China's grip on our social media landscape, but at the same time... what if this joint venture thingy just ends up being another way for ByteDance to, you know, still control us from afar? 
I mean, 45% ownership by US-based investors is a nice gesture, but 19.9% still feels like they're holding the strings... 
. Like, I know lawmakers are trying to protect us from, you know, actual espionage or whatever, but can we really trust that this new setup won't just become another way for China to collect user data and shape public opinion? 
This whole thing feels like a half-baked solution to a much bigger problem 
.
and it sounds like they'll own like 45% of the company 
now about that public hearing tho... fingers crossed it comes out right and doesnt mess up our app 
We're living in a world that's constantly changing, and sometimes it feels like we're not always in control. I guess this whole ordeal is just a reminder to stay vigilant and keep an eye on our online lives. 
i mean lawmakers did try to ensure some separation from byte dance, but can we trust that this whole deal is legit? 
anyways i feel like we should all be watching this closely cuz like what if china still has a way to control the algorithm tho? and whats up with oracle reviewing source code? sounds sketchy 
anyway im hyped for tiktok users to have some peace of mind rn
What do u think tho? Should we be chillin' with this new deal or is it too suspicious for me? 
BUT AT THE SAME TIME I'M WORRIED ABOUT HOW THIS DEAL IS GOING TO PLAY OUT IN REAL LIFE, ESPECIALLY WITH CHINA BEING SO VAGUE ABOUT ITS PLANS 
... I'm sure Congress is just gonna sweep this under the rug 
like what's to stop them from accessing our data or injecting their own algorithms into the mix? 
... I mean, I get why people are worried about their personal info being shared with China 
but at the same time, it's crazy how fast tech companies can adapt and find workarounds 
. But for me, personally? I'm all about being cautious when it comes to my online presence 
. i guess only time will tell if this joint venture is a good thing or just a temporary fix 
. one thing's for sure, congress needs to keep an eye on this deal and make sure it doesn't mess with the integrity of the app 
It feels like we're always in some kind of negotiation with China over tech companies. Anyway, so the new deal is supposed to be super secure and all that jazz 
.
I'm not sure if this is a good thing or a bad thing