TikTok has finalised a deal with the White House that will allow the video-sharing app to continue operating in the United States, ending a years-long dispute over its Chinese ownership.
The agreement creates a new joint venture to run TikTok’s US operations separately from its global business.
It will be majority American-owned, with equal 15 per cent stakes for Oracle, the US tech giant, MGX, the UAE investment firm, and Silver Lake, the private equity group. ByteDance, TikTok’s Chinese parent company, will retain a 19.9 per cent minority share.
Oracle, which is led by Larry Ellison, the billionaire Republican donor, will serve as a key partner. Mr Ellison has close ties to Donald Trump and a reported net worth of $227bn (£168bn). His family has also backed a bid by Paramount Skydance to acquire Warner Bros Discovery in a hostile takeover battle with Netflix.
Larry Ellison, the multibillionaire owner of Oracle, is a close ally of Donald Trump – Andrew Harnik/Getty Images
In a press release, TikTok said the new venture, TikTok USDS Joint Venture LLC, “will operate under safeguards that protect national security through data protections, algorithm security, content moderation, and software assurances for US users.”
Donald Trump praised the deal on Truth Social, writing: “I am so happy to have helped in saving TikTok! It will now be owned by a group of Great American Patriots and Investors, the Biggest in the World, and will be an important Voice.”
He added that TikTok had been “responsible for my doing so well with the Youth Vote in the 2024 Presidential Election” and expressed hope that he would “long into the future… be remembered by those who use and love TikTok.”
Trump also acknowledged President Xi Jinping of China, saying: “He could have gone the other way, but didn’t, and is appreciated for his decision.”
Data on American users will be stored in Oracle’s secure cloud and overseen by an audited cybersecurity programme. The app’s recommendation algorithm will be retrained and updated using only US data.
The joint venture will also manage trust and safety policies and moderation, covering other TikTok-owned apps in the US, including CapCut and Lemon8.
Adam Presser, a former WarnerMedia and TikTok executive, will lead the venture as chief executive, with Will Farrell as chief security officer. A seven-member board, including Shou Chew, TikTok’s chief executive, and executives from Oracle, Silver Lake, and MGX, will oversee the company.
US TikTok users received an ‘unavailable’ message following the brief shutdown in 2025 – Shutterstock
The deal resolves a saga that began under Trump’s first presidency, when the administration attempted to ban TikTok over concerns it could allow Chinese authorities access to US user data or manipulate the app’s algorithm.
A law, passed by Congress in April 2024 and upheld by the US Supreme Court in early 2025, required ByteDance to divest TikTok’s American operations or face removal from app stores.
The Court cited well-supported national security concerns despite TikTok’s argument that the ban violated First Amendment free speech protections.
Critics argue the new arrangement does not fully meet the requirements of the Biden-era national security law passed in April 2024.
“There remains a disconnect between the agreement and the spirit of what the statute required,” said Brett Freedman, former chief of staff of the national security division at the Department of Justice.