The widely popular video-sharing platform TikTok has finalized an ownership restructuring that establishes a majority American-owned entity, preserving access for the millions of influencers and businesses that depend on the platform as a primary revenue source. The announcement Thursday brings relief to an industry that faced potential devastation from a nationwide ban.
ByteDance, the Chinese technology conglomerate that created TikTok, has agreed to reduce its ownership stake to 19.9% in the American entity, while US investors assume controlling interest with 80.1% of the company. Three major investors share equal ownership at 15% each: Oracle, the enterprise technology giant; Silver Lake, a prominent private equity firm specializing in technology investments; and MGX, an investment entity from Abu Dhabi. Michael Dell’s investment firm provides additional American capital.
This resolution addresses legislation enacted by Congress in 2024 that effectively banned TikTok unless it separated from Chinese ownership within a designated timeframe. The law reflected bipartisan concern about national security risks, including potential unauthorized access to user data by foreign governments and possible algorithmic manipulation. The Supreme Court affirmed the legislation’s validity in January 2025, but President Trump utilized executive authority to postpone enforcement during negotiations.
Leadership of the American entity will be entrusted to Adam Presser, who previously held senior positions managing global operations and trust and safety functions for TikTok. The company will be overseen by a seven-member board of directors, deliberately designed with an American majority and composed of cybersecurity and national security experts. Current global TikTok CEO Shou Chew will participate as a board member, ensuring strategic continuity.
The new US entity commits to implementing rigorous safeguards for American users, including comprehensive data protection protocols, secured algorithms, enhanced content moderation, and software integrity measures. The platform’s recommendation algorithm will be completely retrained using exclusively US user data, with ongoing testing and refinement to ensure independence. Both US and Chinese government officials have approved the arrangement, with President Trump publicly thanking Chinese President Xi Jinping for his role in facilitating the deal. The resolution prevents disruption to an influencer economy worth billions of dollars and protects the livelihoods of content creators who have built careers on the platform.