Overview

• An executive order sets national‑security conditions for a U.S. takeover, including majority American ownership with ByteDance’s stake capped below 20% and a U.S.-dominated board.
• The plan places the U.S. app’s algorithm and data under American oversight, with Oracle hosting U.S. user data and “trusted security partners” monitoring software and data flows.
• Officials cited a roughly $14 billion valuation for a new U.S. entity, with Oracle, Silver Lake and Abu Dhabi’s MGX in talks for about 15% each and potential board seats.
• President Trump says Xi Jinping approved the proposal, but Beijing, ByteDance and TikTok have not confirmed consent and Chinese licensing for the algorithm may be required.
• The arrangement is designed to satisfy a 2024 U.S. law forcing divestiture or a nationwide ban, and the U.S. version’s algorithm would be retrained on domestic data, a change experts warn could alter the user experience.