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TikTok’s future in the United States has been secured through a major deal that shifts control of its U.S. operations to a group of American and allied investors, ending years of regulatory uncertainty and political pressure. The agreement was finalized on December 18, 2025, creating a new ownership structure designed to address long standing national security concerns.
The deal establishes a new entity, TikTok USDS Joint Venture LLC, which will oversee the platform’s U.S. business. Under the arrangement, American technology firm Oracle, private equity company Silver Lake, and Abu Dhabi based investment group MGX will collectively hold a majority stake. Existing ByteDance investors will retain a minority share, while ByteDance itself will keep a smaller ownership position that does not provide controlling influence.
The move follows intense scrutiny from U.S. lawmakers who argued that TikTok’s Chinese ownership posed risks related to data privacy, foreign influence, and algorithmic control. The new structure directly responds to federal legislation that required ByteDance to divest TikTok’s U.S. operations or face a nationwide ban. With more than 170 million users in the United States, TikTok’s continued availability has been a high stakes issue for creators, advertisers, and policymakers alike.
Under the new ownership model, TikTok’s U.S. operations will function independently, with a majority American board and strict oversight mechanisms. User data will be stored domestically, and the platform’s recommendation systems will be managed under U.S. governance frameworks. These measures aim to ensure that American user data and content moderation decisions remain insulated from foreign control.
Oracle is expected to play a central role in providing secure infrastructure and technical oversight, reinforcing the platform’s compliance with U.S. data protection standards. The involvement of multiple investors is also intended to strengthen financial stability and operational transparency as the company enters a new phase.
The transaction is expected to close by January 2026, bringing clarity to a saga that has repeatedly threatened TikTok’s presence in the country.
While some critics remain concerned about the broader implications of investor influence in major digital platforms, the agreement effectively removes the immediate risk of a ban and allows TikTok to continue operating in one of its most important markets.
