• Source:JND
Add as a preferred

Trump TikTok Deal: President Donald Trump is set to declare this week that a deal restructuring TikTok’s US operations away from its Chinese parent ByteDance meets the requirements of a 2024 law mandating divestiture, a senior White House official confirmed on Monday.

Oracle To Host US Data

Under the proposed agreement, all data of American users will be stored exclusively on Oracle-run cloud servers. The move is designed to allay concerns raised by US policymakers about possible Chinese access to user information and manipulation through TikTok’s advanced recommendation algorithm.

The White House official, speaking to reporters on a conference call, noted that ByteDance would hold less than 20 percent of the new entity. The rest of TikTok US would be owned by a mix of existing American stakeholders and several new investors. “It’s going to be real household names,” the official said, adding that Trump will sign an executive order certifying the legality of the deal.

President Trump on Sunday revealed that prominent business leaders such as Oracle co-founder Larry Ellison, Dell Technologies CEO Michael Dell, and Fox Corp. chief Lachlan Murdoch are expected to be part of the American investment group. According to Fox News, the board of the US venture would have seven directors, six of whom will be Americans. Venture capital firms Silver Lake and Andreessen Horowitz are also reported to be involved. The White House stressed that the valuation of TikTok’s US assets would be “many billions of dollars.”

One of the most controversial issues, TikTok’s proprietary algorithm has also been addressed. A senior US official explained that the system will be “fully inspected and retrained” by Oracle to operate solely on American user data. “It’s going to be continuously monitored to ensure it is not being unduly influenced,” the official said.

This compromise was reached after months of discussions with Beijing. According to Chinese state broadcaster CCTV, President Xi Jinping told Trump during their recent phone call that “the Chinese government respects the will of enterprises and welcomes them to conduct business negotiations based on market rules.”

No Golden Share For US Government

The official confirmed that Washington will not seek a “golden share” or a board seat in the new company. But Trump’s executive order will grant a fresh 120-day pause in enforcement of the 2024 law to allow investors and ByteDance to finalize the transfer.

The Chinese Embassy in Washington, in a statement on Monday, said it “would be happy to see productive commercial negotiations in keeping with market rules” and welcomed a solution that protects the interests of both countries.

ALSO READ: How Do Americans View TikTok And Its Addictive Video Algorithm?

Congress had passed legislation in 2024 under then-President Joe Biden, requiring ByteDance to sell TikTok’s US business or face a ban by January 2025. Trump, who returned to office earlier this year, delayed enforcement deadlines while pushing for a US-led restructuring.

ALSO READ: Trump And Xi Agree To Meet In South Korea; US President Confirms Much-Awaited China Visit Next Year | 6 Points

With 170 million users in the United States, TikTok remains one of the most popular social media platforms, and the latest deal signals a breakthrough in US-China trade talks that had otherwise stalled in recent months.