In a significant development, TikTok has signed a deal to sell its U.S. operations to an American investor group led by Oracle. This move comes after months of uncertainty surrounding the popular social media platform’s future in the United States. The deal aims to address national security concerns raised by the Trump administration and avoid a potential ban on the app.
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According to NPR, TikTok’s parent company, ByteDance, has reached an agreement to spin off its U.S. entity with American investors, including Oracle. The deal will involve the creation of a new U.S. joint venture to oversee TikTok’s operations in the country. This joint venture is seen as a way to ensure data protection, algorithm security, and content moderation within the app.
BBC reports that the deal will see nearly 50% of TikTok’s U.S. assets being held by American companies, including Oracle, Silver Lake, and MGX. The remaining assets will remain with ByteDance’s affiliates. This arrangement is aimed at addressing concerns about the app’s ownership and control, particularly in relation to data privacy and national security.
The New York Times highlights that the deal with Oracle and other American investors represents a significant step for TikTok in securing its future in the U.S. market. It comes after months of negotiations and regulatory scrutiny, including threats of a ban by the Trump administration over national security concerns.
While the specifics of the deal are still being finalized, it is clear that TikTok’s move to sell its U.S. operations to American investors is a strategic decision to address regulatory challenges and ensure its continued presence in the country. The involvement of Oracle, a prominent technology company, adds a layer of credibility to the deal and may help alleviate concerns about data security and privacy.
Overall, TikTok’s agreement to sell its U.S. operations to an American investor group led by Oracle marks a significant development in the ongoing saga surrounding the app’s future in the United States. The deal reflects a proactive approach by TikTok to address regulatory concerns and ensure compliance with U.S. laws and regulations.
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References:
– NPR: [TikTok signs deal to give U.S. operations to Oracle-led investor group](https://news.google.com/rss/articles/CBMieEFVX3lxTE5xUXdBVndBaWJIQlUycnRLajhmeFZXQ0ZXVU9ydm42Y3JtbEcyZ2s0NlhGWGJXa3hWVXdBZmN5elFoM0ZGTUZUc0NXYmplaE4zY0J3X1JaQzJXcW1XZHh4blg4ZzRGZ01ZNDBWNzhtVEVIeTk4bGFuVw?oc=5&hl=en-US&gl=US&ceid=US:en)
– BBC: [TikTok owner signs deal to sell US business](https://news.google.com/rss/articles/CBMiWkFVX3lxTE9XUjdDaFItamc1OHpPMjZFWURVLW8zd2JTUHFCMHhKVVVibGZXdDRTNXFKUmlkNm85cFhBSnlCaHpfRW9EV2ZtMlZncUFVbXUzZmxrdkxwU0dodw?oc=5&hl=en-US&gl=US&ceid=US:en)
– The New York Times: [TikTok Signs Agreements With Investors in Step Toward Avoiding a U.S. Ban](https://news.google.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?oc=5&hl=en-US&gl
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