TikTok announced Thursday the successful finalization of an ownership restructuring that creates a new majority American-owned company, effectively avoiding a federal ban that threatened the platform’s US operations. The deal represents a dramatic shift in control that addresses years of national security concerns while preserving ByteDance’s financial interest.
Under the completed transaction, ByteDance’s ownership of the American TikTok entity is reduced to 19.9%, while US investors assume controlling interest with 80.1% of the company. The American ownership consortium includes three equal partners at 15% each: Oracle, the technology infrastructure leader; Silver Lake, a major private equity firm focused on technology sector investments; and MGX, an investment fund based in Abu Dhabi. Michael Dell’s investment firm contributes additional capital to the ownership structure.
The agreement resolves a conflict stemming from bipartisan legislation passed in 2024 that effectively banned TikTok unless it separated from Chinese ownership. The law reflected congressional concern about data security risks and potential foreign government influence over the platform’s algorithms and user data. The Supreme Court validated the legislation in January 2025, but President Trump utilized executive authority to postpone enforcement while negotiations continued.
Adam Presser will lead the American TikTok as CEO, bringing institutional knowledge from his previous senior roles with the company, including general manager and global head of operations and trust and safety. The entity will operate under the supervision of a seven-member board of directors, intentionally structured with an American majority and staffed by cybersecurity and national security experts. Shou Chew, who currently serves as TikTok’s global CEO, will join the board.
The restructured organization has outlined comprehensive protective measures for American operations, including advanced data security protocols, algorithm protection systems, enhanced content moderation capabilities, and software integrity verification processes. The platform’s content recommendation algorithm will undergo complete retraining based solely on American user data, with continuous testing and updates to ensure independent operation from foreign systems. Both American and Chinese government officials have approved the arrangement, with President Trump publicly expressing appreciation to Chinese President Xi Jinping for facilitating the deal, which allows the platform to continue serving its massive American user base.