President Donald Trump is set to sign an executive order this week approving a new agreement that places TikTok’s U.S. operations under majority American ownership. A senior White House official said the move will keep all U.S. user data stored in a secure domestic cloud and under American oversight.
Majority-American Ownership
The plan creates a joint-venture company that will run TikTok in the United States. ByteDance, TikTok’s Beijing-based parent, will hold less than 20% of the stock. A seven-member board—mostly U.S. citizens—will manage the company, with one ByteDance-appointed member barred from serving as board chair or on the data security committee.
Oracle as Trusted Security Provider
Oracle will become TikTok’s official security partner, monitoring data operations and safeguarding information. The company will handle source code review, algorithm retraining, and application development while storing Americans’ data in a dedicated U.S. cloud environment protected by perimeter controls and machine learning systems.
Algorithm Secured and Retrained
TikTok’s U.S. algorithm will be duplicated, leased to the joint-venture, and fully separated from ByteDance control. Oracle will retrain and monitor the system to prevent foreign influence and ensure content integrity.
Continuous Global Access
Despite the ownership changes, the app will remain globally interoperable, allowing American users to view international content while keeping their data secure in the United States. The user experience will remain uninterrupted.
Economic and Legal Impact
White House officials project the agreement could generate $178 billion in economic activity over four years and sustain thousands of American jobs. The executive order will delay enforcement of the Protecting Americans from Foreign Adversary Controlled Applications Act for up to 120 days, following months of negotiations and previous extensions.
Background of the Ban
Congress passed a law, signed by President Biden, banning apps controlled by foreign adversaries over national security concerns. After surviving a Supreme Court challenge, the law took effect in January 2025. Trump granted multiple enforcement delays as talks with ByteDance continued, culminating in this pending deal.
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