Trump Signs Executive Order to Finalise TikTok U.S. Ownership Deal

President Donald Trump has officially signed an executive order cementing a landmark deal that brings TikTok’s U.S. operations under American control, ending months of uncertainty over the app’s future.

The decision follows a 2024 law signed by former President Joe Biden requiring TikTok’s Chinese parent company, ByteDance, to sell its U.S. business or face a nationwide ban.

Under the agreement, TikTok’s American operations will be spun off into a new joint venture majority-owned by U.S. investors. ByteDance will retain less than 20% of the new company, ensuring compliance with national security rules. The board will consist entirely of Americans, with ByteDance permitted to appoint just one of seven directors. The company’s security committee will exclude ByteDance altogether.

The ownership structure brings together heavyweight U.S. investors including Oracle, Silver Lake, and MGX, who collectively hold a 45% stake. Additional shares from existing American backers such as General Atlantic, Susquehanna, and Sequoia Capital push overall U.S. ownership to more than 80%.

Vice President JD Vance confirmed that the new TikTok entity is valued at $14 billion, though some analysts argue that figure undervalues the platform’s vast market potential.

Oracle will play a central role as the security provider, managing TikTok’s algorithm, data handling, and content moderation. All U.S. user data will be housed in Oracle’s secure cloud system, with the algorithm retrained and monitored to safeguard against foreign influence. Lawmakers have long raised concerns about potential misuse of U.S. user data by ByteDance, and this arrangement aims to provide a strong firewall between TikTok’s American operations and its Chinese roots.

Trump’s executive order extends the enforcement deadline of Biden’s divestiture law by 120 days, giving investors and regulators time to finalize the deal. The president stressed that the agreement protects U.S. national security while maintaining TikTok’s economic value for the 170 million Americans who use the platform for entertainment, business, and income.

Trump also revealed that Rupert Murdoch, Lachlan Murdoch, and Michael Dell are among the American investors involved, describing them as “very sophisticated Americans” and assuring that TikTok will now be “American-operated all the way.”

Although ByteDance has not publicly commented, Trump said Chinese President Xi Jinping has approved the deal. Final regulatory reviews in both Washington and Beijing remain pending.