ByteDance Signs Deal to Form TikTok U.S. Joint Venture

ByteDance, TikTok's Chinese owner, has signed agreements with Oracle, Silver Lake, and MGX to form a new TikTok U.S. joint venture named TikTok USDS Joint Venture LLC. U.S. investors own 80.1% of which Oracle, Silver Lake, and MGX will collectively hold 45% of the new entity and ByteDance retaining 19.9%. The venture will operate independently, managing U.S. data protection, algorithm security, content moderation, and software assurance. The deal addresses national security concerns, following years of U.S. government scrutiny and a 2024 law requiring ByteDance to divest TikTok's U.S. assets. Trump approved the deal in September, citing U.S. data protection. Oracle will serve as the "trusted security partner" to secure sensitive U.S. data to be stored in a trusted and secured cloud environment.