US President Donald Trump on Thursday signed an executive order clearing the way for TikTok to keep operating in the United States under a new US-led ownership structure. The deal, which still requires approval from Beijing, is designed to satisfy a 2024 national security law that threatened to ban the popular video app unless its Chinese parent company ByteDance sold off its US operations.
The plan calls for a new joint-venture company to run TikTok’s American business, with US and global investors taking the majority stake. Oracle, private equity firm Silver Lake, and Abu Dhabi-based MGX investment fund are expected to control roughly 45 per cent of the new entity. ByteDance investors would hold another 35 per cent, while ByteDance itself would retain less than 20 per cent.
Oracle will also handle TikTok’s cloud services and oversee security operations. Trump highlighted Oracle’s involvement, noting founder Larry Ellison is part of the ownership group. “It’s owned by Americans, and very sophisticated Americans,” the president said. “This is going to be American operated all the way.”
Vice President JD Vance said the deal values TikTok’s US operations at about $14 billion. Trump told reporters that Chinese President Xi Jinping had agreed to the arrangement. “They’re on board,” Trump said, while acknowledging there was resistance before the agreement.
The executive order delays enforcement of the looming TikTok ban until December 16, giving the parties time to finalize details and secure China’s approval. ByteDance has not publicly acknowledged the transaction, and no representatives from the company were present at the signing.
TikTok has 170 million users in the US, including 15 million who follow Trump’s personal account. The president has credited the app with boosting his reelection last year, and the White House launched its own TikTok account just last month.
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