TikTok’s Chinese owner ByteDance inks deal to sell US operations to American investors, including Oracle
ByteDance, TikTok’s parent company from China, has locked in binding agreements with three leading investors—Oracle, Silver Lake, and the Abu Dhabi‑based MGX—to sell a little more than 80 % of its U.S. assets, per CEO Shou Zi Chew’s announcement to staff on Thursday.
The arrangement is a key move toward ending the long‑standing uncertainty that began in August 2020, when former President Trump first pushed to ban the app, which now draws more than 170 million U.S. users.
The new deal lines up with the September framework that Trump had in place, delaying enforcement of the ban until January 20 and setting the conditions for TikTok to divest its American operations.
In a memo distributed to employees, the company confirmed that the sale to the consortium will form a new joint venture called TikTok USDS Joint Venture LLC. Oracle has chosen not to comment, and the White House has directed inquiries back to TikTok, which emphasized that the transaction will allow “over 170 million Americans to continue discovering a world of endless possibilities as part of a vital global community.”
Expected to close on January 22, the settlement is meant to resolve years of pressure calling for ByteDance to separate its U.S. business over national‑security concerns. The memo details that the new venture will be owned 50 % by the consortium (with 15 % each for Oracle, Silver Lake and MGX), 30.1 % by affiliates of current ByteDance investors, and 19.9 % retained by ByteDance itself. ByteDance has not yet replied to requests for comment.
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