TikTok has finalized a deal to establish a majority American-owned joint venture, allowing the popular video-sharing app to continue operating in the U.S. and averting a long-threatened ban over national-security concerns tied to its Chinese parent company, ByteDance.
The Wall Street Journal reports the new entity, TikTok USDS Joint Venture LLC, is majority owned by American and allied investors (80.1% total), with ByteDance retaining a 19.9% stake. Oracle, private-equity firm Silver Lake, and Abu Dhabi-based MGX will each hold 15% as managing investors.
Other investors include the Dell Family Office, Revolution (linked to Vice President JD Vance's former firm), and additional groups.
The board includes TikTok CEO Shou Chew, Oracle executive Ken Glueck, and representatives from key investors.
The agreement complies with a 2024 U.S. law requiring separation from ByteDance to address security risks, following years of tensions. President Trump delayed enforcement after starting his second term, signing executive orders to extend deadlines until the deal closed Thursday. Trump celebrated the outcome on social media, saying he was "so happy to have helped in saving TikTok!" and thanking Chinese leader Xi Jinping for approving it.
Despite the structure, some lawmakers and security experts remain concerned about potential Chinese influence through ByteDance's minority stake. Investors are paying the U.S. government a multibillion-dollar fee as part of the arrangement, which values the entity at around $14 billion.
TikTok users in the U.S.—over 200 million—can continue using the app unchanged.