TikTok announced Thursday that it has successfully finalized an ownership restructuring creating a majority American-owned entity, with both US and Chinese government officials approving the arrangement that allows the platform to sidestep a federal ban. The deal marks the end of years of diplomatic and regulatory tension over the popular app.
The completed transaction reduces ByteDance’s ownership stake to 19.9%, while American investors collectively control 80.1% of the new US-based company. Three primary investors share equal ownership at 15% each: Oracle, the enterprise technology and cloud computing leader; Silver Lake, a prominent private equity firm specializing in technology investments; and MGX, an investment entity from Abu Dhabi. The investment firm of Michael Dell, founder of Dell Technologies, also participates.
This settlement stems from bipartisan legislation passed in 2024 that required TikTok to divest from Chinese ownership or face removal from American digital platforms. The law reflected congressional concern about national security vulnerabilities, including potential data harvesting and content manipulation by foreign actors. The Supreme Court upheld the legislation in January 2025, but President Trump employed executive authority to delay enforcement while facilitating negotiations among the parties.
Adam Presser will assume the role of CEO for the American TikTok entity, leveraging his extensive experience from previous leadership positions within the company, including general manager and global head of operations and trust and safety. The organization will operate under the supervision of a seven-member board of directors, intentionally structured with an American majority and populated by experts in cybersecurity and national security. Shou Chew, TikTok’s current global CEO, will serve on the board.
The restructured company has outlined specific protective measures for American operations, including comprehensive data protection protocols, secured algorithm architecture, enhanced content moderation systems, and software integrity verification processes. The platform’s recommendation algorithm will undergo complete retraining based solely on US user data, with continuous testing and refinement to ensure independent operation. President Trump celebrated the agreement on social media, expressing thanks to Chinese President Xi Jinping for approving the deal. A White House official confirmed that both governments had signed off on the arrangement, though the Chinese embassy in Washington did not immediately comment.
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