ByteDance has struck a definitive agreement to restructure TikTok’s American operations into a majority U.S.-owned joint venture, a move that effectively ends a six-year geopolitical tug-of-war over the social media giant’s presence in the United States.
The newly formed entity, TikTok USDS Joint Venture, marks the conclusion of a saga that began in 2020 during President Donald Trump’s first term.
Under the terms of the deal, the venture will operate as an independent organization governed by a seven-member board.
Adam Presser, formerly TikTok’s head of operations and trust and safety, has been tapped as Chief Executive Officer of the joint venture, while TikTok Global CEO Shou Chew will retain a seat on the board.
The ownership structure is anchored by three managing investors: Oracle, private equity powerhouse Silver Lake, and Abu Dhabi-based MGX, each holding a 15% stake.
The remaining majority interest is rounded out by a consortium including Michael Dell’s family investment firm and several smaller institutional backers.
To address longstanding espionage and data privacy concerns, TikTok USDS will operate under a strict framework of safeguards.
The company stated the venture is designed to protect national security through "comprehensive data protections, algorithm security, content moderation, and software assurances" specifically tailored for the app’s 170 million U.S. users.
The governing board reflects a heavy tilt toward American private equity and technology veterans.
Joining Chew on the board are Timothy Dattels of TPG Global, Mark Dooley of Susquehanna International Group, Silver Lake co-CEO Egon Durban, DXC Technology CEO Raul Fernandez, Oracle’s Kenneth Glueck, and David Scott of MGX.
President Trump, who initially sought to ban the platform over its ties to China, lauded the deal in a post on Truth Social.
He characterized the new ownership as a "group of Great American Patriots and Investors" and predicted the platform would remain an "important voice" under the new structure.