TikTok has finalized a long-awaited deal that reshapes its ownership structure in the United States, closing a $14 billion transaction designed to address national security concerns and prevent a potential ban of the platform.
The agreement establishes a new joint venture that will take control of TikTok’s U.S. operations and user data, placing majority ownership in American hands while allowing Chinese parent company ByteDance to retain a minority stake. The deal was completed ahead of the deadline set by President Donald Trump for TikTok’s U.S. assets to be spun off.
The newly formed entity will be led by Adam Presser as chief executive officer, with Will Farrell overseeing security and data protection. The board includes senior representatives from TikTok, Oracle, Silver Lake, MGX, and other major investors.
Under the agreement, Oracle will manage the storage and protection of U.S. user data and oversee the retraining of TikTok’s recommendation algorithm using American data. The U.S. venture will also assume responsibility for content moderation affecting American users, while ByteDance’s global operations will continue to handle international commerce and advertising functions.
President Trump praised the completion of the deal, crediting cooperation from Chinese President Xi Jinping and calling the outcome a success for American users and investors. Trump had repeatedly delayed enforcement of the ban-or-sale law during negotiations, ultimately approving the transaction as a qualified divestiture under U.S. law.
The move is expected to reassure TikTok’s more than 200 million American users, many of whom rely on the platform for entertainment, business, and income. While ownership and governance will change behind the scenes, the user experience on the app is not expected to shift dramatically in the near term.
Despite the deal’s completion, some lawmakers and policy experts continue to question whether the structure fully resolves concerns over algorithm control and potential foreign influence. Federal officials have indicated that oversight will continue as the new venture begins operations.
For now, the agreement marks the end of a multi-year standoff over TikTok’s presence in the United States and secures its ability to operate under American regulatory standards.
