The White House has reportedly outlined a landmark agreement that would give American companies control over TikTok’s algorithm, while also ensuring Americans hold six of seven board seats for the app’s US operations. China’s ByteDance, TikTok’s parent company, would retain just one board seat.
According to BBC, press secretary Karoline Leavitt said the deal could be signed “in the coming days”, though Beijing has yet to formally respond. Under the plan, US tech giant Oracle, chaired by Trump ally Larry Ellison, will oversee data and privacy for the platform in the United States.
Leavitt said that Oracle, one of America’s leading tech companies, will oversee data and privacy for TikTok in the US, while control of the platform’s algorithm will also rest with American entities.
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The agreement comes after a protracted US effort to wrest control of TikTok’s US operations from ByteDance for national security reasons. Congress passed a law in 2024 requiring ByteDance to divest its US assets by January 2025 or face a ban. President Trump has delayed enforcement of the law multiple times, most recently extending the deadline to mid-December, while working to line up American investors and secure a full divestiture.
Trump confirmed progress on the deal in a Truth Social post following a phone call with Chinese President Xi Jinping, calling the discussion “very productive” and noting Xi’s “approval of the TikTok deal”.
According to Reuters, China’s official statements, however, have remained cautious. The Commerce Ministry reiterated that Beijing “respects the wishes of the enterprise” and supports commercial negotiations “in accordance with market rules” to reach a solution compliant with Chinese law.
A key point in negotiations has reportedly been control of the algorithm, which determines what content is shown to TikTok’s 170 million American users. Leavitt indicated that the algorithm would be fully under American control, though it remains unclear whether the US team would build a new system or adapt the existing one.
MARKETING-INTERACTIVE has reached out for more information.
TikTok has been navigating repeated attempts by the US government to enforce a sale-or-ban law. In April, President Trump granted the company a second 75-day extension, noting that the administration was working “very hard” to save the ByteDance-owned platform and secure all necessary approvals. At the time, Trump said the US would need a controlling stake in a joint venture to keep TikTok operating domestically.
Earlier this year, TikTok briefly went offline for US users following a short-lived ban, and Trump later issued an executive order to extend the period before the law’s prohibitions took effect. Various parties were rumored to be considering a purchase of TikTok, including Elon Musk, who later ruled out any interest.
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