Overview
- Bessent said Chinese authorities have cleared the transfer agreement following President Donald Trump's meeting with Xi Jinping, with implementation expected over the coming weeks and months.
- The plan spins off TikTok’s U.S. operations into a new entity with majority American ownership and Oracle overseeing security for U.S. data and the recommendation algorithm.
- Under the terms described by officials, ByteDance would hold under 20% of the new U.S. entity and appoint one of seven board members, with Americans holding the remaining seats.
- Trump’s Sept. 25 executive order deemed the structure compliant with the 2024 law, granted 120 days to complete the transaction, and delayed enforcement until Jan. 20.
- House China Committee chair John Moolenaar has warned that any licensing of TikTok’s algorithm would raise serious concerns even under the new arrangement.