TikTok has announced the closing of the agreement for the establishment of a new joint company that will allow it to continue its activity in the United States. ByteDance, the platform’s owner, has sold a majority stake in the app’s US operations to a group of investors, ending a long-running business battle with geopolitical implications.
“TikTok USDS Joint Venture LLC has been formed in compliance with the Executive Order signed by President Trump on September 25, 2025, enabling more than 200 million Americans and 7.5 million businesses to continue discovering, creating and thriving as part of the vibrant global TikTok community and experience.“, the company said in a statement.
The company also includes the investment firm of Michael Dell, the founder of Dell Technologies
The new company is formed by, among others, the technology giant Oracle, the private equity firm Silver Lake Management, and the investment company MGX, based in Abu Dhabi. It also includes the personal investment entity of Michael Dell, the founder of Dell Technologies, and other companies, TikTok reported. All of them will bring together approximately 80% of the company, while Bytedance about the remaining 20%.
As noted by the platform, the joint company is majority American-owned and will operate with a focus on the protection of national security, data and algorithms, ensuring content moderation and software guarantees for American users.
Specifically, it notes that US users’ data will be protected in Oracle’s secure cloud environment. Additionally, the new company will retrain, test and update the content recommendation algorithm with data from US users. You will also review and validate source code on an ongoing basis, and have the authority to make decisions on trust and security policies, as well as content moderation.
However, as TikTok noted in its statement, interoperability will allow the joint venture to offer American users a global TikTok experience, ensuring that American creators can be discovered and that companies can operate on a global scale.
TikTok USDS Joint Venture LLC will be governed by a seven-member board of directors. mostly Americans: Shou Chew, CEO of TikTok; Timothy Dattels, TPG Global; Mark Dooley, Susquehanna International Group; Egon Durban, of Silver Lake; Raul Fernandez, CEO of DXC Technology; Kenneth Glueck of Oracle; and David Scott, of MGX.
The company will have Adam Presser as CEO, who has previously been part of TikTok and WarnerMedia; and Will Farrell as security leader.
The United States thus manages to reduce the platform’s links with China
With the achievement of this agreement, the United States manages to reduce the platform’s ties with China, after years pointing out that the government of the Asian country has used the application to monitor American users and use their data. These concerns are, precisely, those that began the complex political, legal and business framework around TikTok in the United States and that date back to Donald Trump’s first term.
Over the last few years, the platform’s activity in the country has been marked by different offers from different entities, such as Oracle itself or Microsoft; due to the pressure to be removed from application stores, due to a ban period that barely lasted 24 hours in January of last year; several extensions of the deadlines granted to ByteDance to sell its US business or end its activity in the country; or by social movements of users and creators that have sought to defend the presence of the social network in the United States.
But mainly the entire process has become a reflection of the new world order, since Donald Trump has turned TikTok into a negotiation tool with China and a symbol of both his international trade policy and his vision of international relations.
