TikTok has officially secured its future in the United States after finalizing a long-awaited joint venture that allows the app to continue operating while addressing national security concerns.
An agreement announced Thursday ends years of uncertainty over the platform’s Chinese ownership and US data security risks.
Under the deal, TikTok will operate through a newly created US majority entity.
Oracle will oversee user data storage and algorithm operations, expanding a role it has held since 2020.
The move complies with a 2024 law requiring TikTok to separate from foreign influence or face a ban. President Donald Trump delayed enforcement after returning to office and signed executive orders to extend the deadline until the deal was finalized.
Trump welcomed the agreement and thanked China’s leadership for approving it.
TikTok executive Adam Presser will lead the new company.
Oracle, Silver Lake, and Abu Dhabi-based MGX will each hold 15% stakes, while existing TikTok investors retain about 30%. The venture is valued at roughly $14 billion, and investors are paying a multibillion-dollar fee to the US government.
TikTok now counts about 200 million US users, up from 170 million last year, highlighting its growing influence despite political scrutiny.