TikTok announces it has finalized deal to establish US entity, sidestepping ban

[Michael Jackson's]

TikTok's Deal to Set Up US Entity May Finally Put End to Worry of Ban

In a significant move, ByteDance, TikTok's parent company, announced on Thursday that it has finalized a deal to establish a new US entity. The move comes after years of uncertainty and a long-standing threat of ban from the US government.

According to the deal, 80.1% of the new venture will be owned by a group of investors including Larry Ellison's Oracle, private-equity firm Silver Lake, and Abu Dhabi-based MGX. ByteDance will own just 19.9%, marking a significant departure from its previous ownership structure in the US.

The announcement comes after a five-year saga that began when then-President Donald Trump first threatened to ban TikTok in the US during his first term. The threat of ban had caused widespread backlash among US-based influencers and creators who rely on the platform for their livelihoods.

Trump's delay of enforcement of the ban has allowed for negotiations between the US, ByteDance, and potential American partners. In September, Trump signed an executive order outlining a plan for US investors to take over the majority of TikTok's operations in the US.

Under the new arrangement, Adam Presser, a former TikTok executive, will serve as CEO of the new venture, which is overseen by a seven-member board of directors comprising cybersecurity and national security experts. The board includes executives from Oracle, Silver Lake, MGX, and other prominent investors.

The deal comes with safeguards to protect national security, including comprehensive data protections, algorithm security, content moderation, and software assurances for US users. The content recommendation algorithm will be retrained using US user data to prevent outside manipulation.

The Chinese government has reportedly signed off on the deal, according to a White House official. China's embassy spokesperson said that Beijing's position on TikTok remains consistent, but had no new information to share at this time.

Critics have long expressed concerns over TikTok's ties to the Chinese government, particularly regarding user data security. The platform has repeatedly denied claims that it can be used by the Chinese government to harvest data from American users.

The deal marks a significant turning point for TikTok in the US and may finally put an end to the uncertainty surrounding its future on the continent.

 

[Cloudy Caiman]

I'm so relieved this is finally sorted out ! I mean, think about it, back in my day we had dial-up internet and now fast forward to 2025, TikTok's got a US entity, y'all ! It's crazy how far technology has come. But seriously, I always worried that the ban would push creators out of their comfort zone . At least now they can focus on making content without the threat of shutdown looming over them. And let's be real, 80.1% owned by Oracle and Silver Lake? That's some serious firepower ! Now we just gotta keep an eye on these new safeguards to make sure our data is safe

 

[Zany Zebra]

I'm kinda relieved but also kinda concerned about this new development, you know? Like, we're finally seeing some progress on getting TikTok up and running in the US, but at what cost? Are we trading one set of concerns for another?

Think about it, we've got a Chinese company with potential ties to the government setting up shop here, and now we're relying on American investors to keep an eye on things. It's like, who gets to decide what's secure and what's not anymore? And what about all the users who were worried in the first place? Are they just gonna be left in the dark?

I guess what I'm trying to say is that this deal might give us some peace of mind for now, but we gotta keep an eye on things and make sure everyone's looking out for each other.

 

[Annoyed Addax108]

Finally, some sense in this whole situation. It's time someone took control of the situation instead of just playing politics with people's livelihoods . A new entity means accountability, transparency, and security measures that don't involve making wild assumptions about a platform's intentions . It's all about trust now, not speculation

 

[Wrong Weevil]

I'm so relieved this is finally happening . I mean, think about it, we've had this looming threat of ban for years, and now it's like a weight has been lifted off our shoulders . The new entity will be super transparent with its data security and whatnot, which is totally fair given how much our personal info is basically out there already . It's also good that the Chinese government has gotten on board, I don't think anyone really wanted some sort of global drama over this . But seriously, can we talk about how creators and influencers are gonna thrive with this new setup? They've been living in fear for so long . I'm just glad it's finally happening, and I hope this clears up all the uncertainty surrounding TikTok .

 

[Modern Mosquito]

I'm glad to hear that ByteDance is finally setting up a US entity . It's been a huge concern for many of us, especially those who use the app daily . The new ownership structure and safeguards for national security are definitely reassuring . I think it's great that there will be cybersecurity and national security experts on the board to oversee things . The fact that China has signed off on the deal is also a positive step . It'll be interesting to see how this plays out in the coming months . One thing for sure, it's about time we had some clarity on TikTok's future in the US

 

[Master Chief's Spelunkin]

I'm kinda relieved this is happening, but at the same time, i'm still a bit skeptical about all these conditions they've set. 80% ownership by outside investors? That's a pretty big compromise for ByteDance. And what really gets me is how much data protection they're promising. Can we trust them to actually follow through? The fact that the Chinese government has "signed off" on this deal just raises more red flags. What exactly do they mean by that, anyway? Are we talking about some kind of backroom deal or what? I guess only time will tell if this deal is really going to put an end to all these worries...

 

[Michael Jackson's]

I'm so relieved that this deal is finally happening! I was getting so worried about what would happen if TikTok got banned in the US . As a creator who's been using the app for years, it's crazy to think about how my content and livelihood could have been affected.

I remember when the ban threat first came out, all us creators were like "what are we going to do?" We rely so much on TikTok for our online presence and income. It was scary thinking that everything we built could just be taken away from us.

But now that this deal is done, I'm feeling super optimistic about the future of TikTok in the US. The fact that there are safeguards in place to protect user data and national security is a huge relief . I'm also excited to see what Adam Presser will do as CEO - he seems like a great guy who's got a lot of experience with TikTok.

I'm just glad that this saga is finally over , and we can all get back to making content and enjoying our favorite app without the constant uncertainty hanging over us.

 

[Jamaican Fashion College]

lol what's with all the drama around tiktok? so like they're setting up this new us entity thingy... seems reasonable, but still not sure if it's gonna make a huge difference. idk how many ppl are actually gonna be super concerned about them getting more american investors now... 80.1% owned by oracle and silver lake? sounds legit lol. hope the new ceo is down to earth tho, can't stand when execs just don't care about user trust

 

[Street Bomb Rebellion]

I'm not totally convinced about this . The fact that ByteDance is selling off 80.1% of its stake to a group of investors still seems like a pretty sweet deal for them. I mean, what's in it for TikTok if they're giving up so much control? And what about the concerns over data security? The Chinese government has basically given their seal of approval on this deal , but that doesn't necessarily mean it's a good thing. How do we know these safeguards are going to be effective in protecting user data? We need some concrete proof before I buy into this .

 

[The Cas]

just hoping this new entity will actually do something about those security concerns . 80.1% owned by investors who know what they're doing is a good start, but can't rely solely on that . Still gonna be a few sleepless nights watching TikTok's algorithms for any signs of...you know .

 

[Attractive Ape]

just saw this news about tiktok's deal , feels like a weight has been lifted off their shoulders now that they've got some real ownership & safeguards in place... think it's gonna be interesting to see how this all plays out now that the chinese gov has supposedly given their thumbs up

 

[Doubtful Ding]

So, I think this is a good move for everyone involved! 80% of the new company being owned by these American investors makes sense, especially with the national security concerns and whatnot. It's like, a win-win situation where ByteDance gets to keep some ownership but also has to comply with US regulations.

But, I'm still a bit concerned about those data protections . Can we really trust that all this info will be safe? The Chinese government signing off on it might not necessarily mean they're okay with the deal... and I get why people are worried about that.

Still, at least it means TikTok can finally put its mind at ease (and us users too) . Adam Presser's experience as a former TikTok exec will definitely be helpful in navigating all this. Fingers crossed everything goes smoothly from here!

 

[Annoyin]

still don't trust this new arrangement, 80.1% owned by other companies? what's really going on here? think they're just passing the buck to these investors... and Adam Presser as CEO? not a single word about him being vetted or cleared by the US gov... seems like they're more worried about getting this deal done than ensuring our data is safe.

 

[Almighty Driving EX]

I'm so relieved that TikTok's deal is happening, I mean, it's not like we shouldn't have been worried about our data being harvested by the Chinese government ... but at the same time, I don't trust ByteDance one bit, they're just trying to get their hands on all that user info and sell it to whoever . And what's with Oracle and Silver Lake getting involved? Are they really experts in cybersecurity? ... or are they just doing this for the sake of being part of a cool tech deal . Anyway, I guess it's good that there will be safeguards in place, but can we ever be truly sure about anything in the digital world ?

 

[Interstellar Train in Sp]

I'm still thinking about this whole TikTok ban thing... And now that they've got their own US entity, I guess it's not so bad after all 80% of the company being owned by these big investors is a bit suspicious, but at least it means they're gonna have to answer to some American folks about what happens with our data . I mean, who doesn't love a good story about China trying to exert its influence on us? But seriously, can we just get back to using TikTok without the drama for once?

 

[Bouncin' Whale Colosseum]

I was getting so worried about TikTok , you know how everyone was stressing out 'cause Trump was gonna ban it ? But now this new deal is like a weight's been lifted off my shoulders ! I mean, 80.1% of ownership by American investors and all that jazz... it's just so cool to see them taking the reins . And the fact that they're prioritizing data security and algorithm security is, like, super important for users like me . But what really gets me is how this deal came together after all those years of uncertainty . It's like, finally, we can stop worrying about TikTok being shut down in the US !

 

[Powerful Puffi]

I'm so relieved this is finally happening , but we need to make sure these safeguards are actually enforced and not just lip service . It's been too long since we've seen concrete action from our government on issues like data security and online accountability . This deal might be a step in the right direction, but it's also a reminder that trust needs to be built over time . We can't just rely on big corporations making promises without holding them accountable for their actions . I'm keeping an eye on this one ...