In a landmark move ending years of uncertainty, TikTok has finalized binding agreements with Oracle, Silver Lake, and Abu Dhabi's MGX to create TikTok USDS Joint Venture LLC – securing its operations for 170+ million American users through 2026 and beyond. 📱✨
The deal, announced in an internal memo from CEO Shou Zi Chew on Thursday, establishes majority U.S. ownership (50%) through the investor consortium. ByteDance retains 19.9%, with existing investors holding 30.1%. A new seven-member board (majority American) will oversee data security and content algorithms – addressing longstanding Washington concerns.
"This ensures TikTok remains a global community free from manipulation," Chew wrote, praising teams for maintaining operations through political turbulence since 2020. The venture takes charge of U.S. data protection and content moderation starting January 22, 2026, while global features like TikTok Shop remain under existing management.
Tech analysts call this a masterstroke in geopolitical navigation 💡: By partnering with trusted entities like Oracle (which already hosts U.S. user data), TikTok maintains its cultural footprint while meeting regulatory demands. The retrained recommendation algorithm – using only American data – aims to be both addictive and audit-ready.
With 1 in 2 Americans reportedly using the app, this deal doesn't just save dance trends – it preserves a $15B+ U.S. ad market lifeline for creators and businesses. 🎶💸
