TikTok announces it has finalized deal to establish US entity, sidestepping ban

The Guardian - World NewsCenter-LeftEN 3 min read 100% complete by Sam LevinJanuary 23, 2026 at 03:36 AM

AI Summary

medium article 3 min

TikTok has finalized a deal to establish a new US entity, effectively sidestepping a potential ban and concluding a long legal battle. The agreement, approved by both the US and Chinese governments, involves ByteDance, TikTok's Chinese owner, creating a majority American-owned venture. US investors, including Oracle and Silver Lake, will control 80.1% of the new entity, while ByteDance retains 19.9%. This development follows years of scrutiny and threats of a ban due to US concerns about data security and national security. Adam Presser will serve as CEO, and the new entity will operate under safeguards to protect US user data and ensure algorithm and content moderation security. The content recommendation algorithm will be retrained using US user data.

Key Entities & Roles

Key Player Opposition Context

Abu Dhabi 40% Shou Chew 40% Adam Presser 40% MGX 40% China ×250% Larry Ellison 50% Silver Lake 50% Oracle 60% Donald Trump ×470% ByteDance ×270% United States ×680% TikTok ×1090%

Keywords

tiktok 100% us entity 90% data security 70% bytedance 60% national security 60% ban 60% content moderation 50% algorithm security 50% donald trump 40% us users 40%