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White House Backs U.S.-Led TikTok Spinoff as Congress Seeks Details

The plan’s fate now hinges on congressional review plus Chinese sign-off.

Overview

  • President Donald Trump signed an executive order endorsing a framework to shift TikTok’s U.S. operations into a new joint venture majority-owned by U.S. investors, with ByteDance retaining under 20%.
  • Oracle is slated to serve as security provider and a leading partner alongside a U.S. investor group, with U.S. user data moving to American-run cloud infrastructure and ongoing audits of algorithms and moderation.
  • White House officials and reports say the recommendation system will be leased or licensed and retrained under U.S.-approved oversight, prompting legal questions about a clean break from ByteDance’s control.
  • House China panel chair Rep. John Moolenaar requested an urgent White House briefing, citing statutory guardrails that bar cooperation with ByteDance on the algorithm and prohibit operational ties to the new entity.
  • Users in the U.S. may need to transition to a new app version to maintain service, while the deal still requires Chinese regulatory approval, a full investor roster, and implementation details, with the U.S. venture valued around $14 billion and enforcement delayed to December 16, 2025.