{"id":1744631,"date":"2026-01-27T02:16:44","date_gmt":"2026-01-26T23:16:44","guid":{"rendered":"https:\/\/analyse.optim.biz\/?p=1744631"},"modified":"2026-01-27T02:16:44","modified_gmt":"2026-01-26T23:16:44","slug":"tiktok-completes-deal-to-create-u-s-entity-and-avert-ban","status":"publish","type":"post","link":"https:\/\/analyse.optim.biz\/?p=1744631","title":{"rendered":"TikTok Completes Deal to Create U.S. Entity and Avert Ban"},"content":{"rendered":"

[analyse_image type=”featured” src=”https:\/\/media.pitchfork.com\/photos\/69781734856defb0ed31d68f\/16:9\/w_1280,c_limit\/GettyImages-2257851404.jpg”]<\/p>\n

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TikTok Completes Deal to Create U.S. Entity and Avert Ban<\/h1>\n
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Major investors Oracle, Silver Lake, and MGX signed agreements to form the new joint venture<\/div>\n
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By <\/span>Nina Corcoran<\/span><\/span><\/span><\/div>\n

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TikTok, photo by Mario Tama\/Getty Images<\/span><\/div>\n<\/div>\n<\/figure>\n<\/div>\n<\/div>\n<\/header>\n<\/div>\n<\/div>\n
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After the yearslong threat of a ban, TikTok has finalized the deal to create a U.S. entity that will allow the company to continue operating in America, the AP reports. The new version will operate under \u201cdefined safeguards that protect national security through comprehensive data protections, algorithm security, content moderation and software assurances for U.S. users,\u201d the company said in a statement. The original Chinese parent company, ByteDance Ltd., will still retain a 19.9% stake in the business.<\/p>\n

The company signed agreements with tech firm Oracle, Silver Lake, MGX, and more to form TikTok USDS Joint Venture. Adam Presser, TikTok\u2019s previous head of operations, trust, and safety, will lead the new entity as its CEO, alongside a seven-member, majority-American board of directors that includes TikTok\u2019s CEO Shou Chew. As the BBC reports, TikTok claims that the algorithm and U.S. users\u2019 data will be protected in \u201cOracle\u2019s secure US cloud environment.\u201d Some of the new investors\u2014including Oracle co-founder Larry Ellison and MGX\u2014have direct ties to President Donald J. Trump, raising concerns that the app could limit criticism of the president\u2019s politics.<\/p>\n

If the sudden TikTok ban feels like a long time ago, that\u2019s because it took place almost exactly one year ago. On January 17, 2025, the Supreme Court of the United States unanimously upheld a federal law that would ban TikTok unless ByteDance Ltd. initiated a sale by Sunday, January 19. The following night, TikTok went dark, users could no longer see content, and major app stores removed the platform for download. Just two days later, though, TikTok restored its service in the U.S. after then President-elect Trump, claimed he would pause the ban by executive order on his first day in office. The federal law authorized the sitting president to grant a 90-day extension only if there was \u201csignificant progress\u201d in a sale to a non-Chinese-owned company, but ByteDance repeatedly stated it would not sell, despite investors making offers.<\/p>\n

During his first presidency, Trump threatened to ban TikTok several times, at one point using an executive order to do so. TikTok replied to the threats by suing the U.S. government in August 2020. Shortly after assuming presidency in 2021, Biden signed an executive order revoking Trump\u2019s ban on TikTok, and instead ordered the Secretary of Commerce to investigate if the app posed a threat to U.S. national security. The following year, reports confirmed that ByteDance employees in China could access private U.S. user data. Afterward, TikTok announced that all U.S. user traffic would instead be routed to Oracle Cloud, the American tech company\u2019s servers.<\/p>\n

In April 2024, Biden signed a bipartisan TikTok bill, giving ByteDance six months to sell its controlling stake in the app or be banned in the U.S., but TikTok filed a lawsuit to block the law, calling it an \u201cextraordinary intrusion on free speech rights.\u201d The court ultimately countered, writing, \u201cCongress has determined that divestiture is necessary to address its well-supported national security concerns regarding TikTok\u2019s data collection practices and relationship with a foreign adversary.\u201d<\/p>\n

\"Music\u2019s<\/span><\/p>\n
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Music\u2019s TikTokalypse<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/article>\n

[analyse_source url=”http:\/\/pitchfork.com\/news\/tiktok-completes-deal-to-create-us-entity-and-avert-ban\/”]<\/p>\n","protected":false},"excerpt":{"rendered":"

[analyse_image type=”featured” src=”https:\/\/media.pitchfork.com\/photos\/69781734856defb0ed31d68f\/16:9\/w_1280,c_limit\/GettyImages-2257851404.jpg”] News TikTok Completes Deal to Create U.S. Entity and Avert Ban Major investors Oracle, Silver Lake, and MGX signed agreements to form the new joint venture By Nina Corcoran January 26, 2026 TikTok, photo by Mario Tama\/Getty Images After the yearslong threat of a ban, TikTok has finalized the deal to create […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[226,54],"class_list":["post-1744631","post","type-post","status-publish","format-standard","hentry","category-politics","tag-crawlmanager","tag-pitchfork-com"],"_links":{"self":[{"href":"https:\/\/analyse.optim.biz\/index.php?rest_route=\/wp\/v2\/posts\/1744631","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/analyse.optim.biz\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/analyse.optim.biz\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/analyse.optim.biz\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/analyse.optim.biz\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=1744631"}],"version-history":[{"count":0,"href":"https:\/\/analyse.optim.biz\/index.php?rest_route=\/wp\/v2\/posts\/1744631\/revisions"}],"wp:attachment":[{"href":"https:\/\/analyse.optim.biz\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=1744631"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/analyse.optim.biz\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=1744631"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/analyse.optim.biz\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=1744631"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}