Hajra Naz
WASHINGTON (AP) — Former President Donald Trump has signed a new executive order that allows TikTok to keep operating in the United States. The order comes with strict conditions meant to address national security concerns.
The decision follows years of debate over TikTok’s ties to China and its parent company, ByteDance. U.S. officials have long raised questions about how the app handles Americans’ data and whether it could be accessed by foreign governments.
The order clears the way for a group of American-led investors to purchase TikTok’s U.S. assets from ByteDance. But the deal is not yet final. It still needs approval from Beijing, and many details about the new structure remain uncertain.
What the Executive Order Means
At a White House signing ceremony, Trump said Chinese President Xi Jinping had agreed to move forward with the plan. Vice President JD Vance added that while there was some resistance from China, the outcome ensures that TikTok can remain available in the U.S. — but only under conditions that protect user data in compliance with U.S. law.
“This deal allows TikTok to continue, but it also ensures American control over the algorithm and the data,” Vance explained.
The executive order grants a 120-day reprieve for all parties to finalize the deal, essentially buying more time to prevent a TikTok ban that Congress had mandated if ByteDance did not divest.
Read More: TikTok’s Revenue Surges in Europe While Facing U.S. Ban Threats
Why TikTok Matters to Young Americans
TikTok has become central to how younger Americans consume content and even news. According to a Pew Research Center report, 43% of U.S. adults under 30 regularly get their news from TikTok, more than YouTube, Facebook, or Instagram.
Any major change in ownership or algorithm control could have huge cultural and political implications. Trump even joked that, if possible, he would make TikTok “100% MAGA,” though he later said all viewpoints and policies should be treated fairly.
Who Will Control the New TikTok Venture?
Under the proposed structure:
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Oracle and Silver Lake Partners will lead the U.S. investor consortium.
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American investors are expected to hold about 80% ownership, with ByteDance retaining less than 20% as a foreign investor.
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The board will be run by U.S. investors. Only one ByteDance representative will sit on the board, and that person will be excluded from all security matters.
Reported investors include Larry Ellison, the co-founder of Oracle, and Michael Dell, the founder of Dell Technologies. Their roles raise questions about possible political influence. Some critics worry that investors with ties to Trump could shape how the platform handles editorial decisions.
What Happens to TikTok’s Algorithm?
The TikTok recommendation algorithm, which keeps users hooked with endless short videos, has been at the center of the controversy.
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China’s stance: Previously, Beijing insisted the algorithm could not be exported by law.
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U.S. demand: Congress passed bipartisan legislation requiring TikTok to cut all technological ties to ByteDance.
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Trump’s order: The U.S. version of TikTok will operate on a licensed copy of ByteDance’s algorithm, retrained solely on U.S. data, and monitored entirely by the new American-led joint venture.
This means content moderation, code, and data storage will be controlled from within the U.S. — a key safeguard to prevent potential Chinese influence.
Analysts warn that retraining the algorithm could subtly alter the TikTok experience over time. While changes might be invisible to most users, any perceived bias in content recommendations could spark backlash similar to Elon Musk’s controversial rebranding of Twitter into X.
Read More: China Refuses to Sell TikTok Algorithm to US
Why Did China Agree?
At first, Beijing condemned U.S. demands to spin off TikTok as “robbery.” But experts say China has since shifted priorities.
According to Yun Sun of the Stimson Center, Beijing sees the deal as a way to reduce tensions in the U.S.-China trade war. Others, like Dimitar Gueorguiev of Syracuse University, believe China cares more about access to semiconductors, artificial intelligence, and advanced manufacturing. These technologies hold greater strategic value than a consumer app like TikTok.
In short, TikTok may be popular, but Beijing considers it less important than securing long-term control over critical emerging technologies.
The Future of TikTok in America
For now, TikTok remains safe from a ban, but uncertainty lingers. Will young users embrace a U.S.-controlled TikTok? Will algorithmic changes subtly reshape the culture of the app? And could political interests sway what content gets promoted or suppressed?
As analyst Jasmine Enberg of eMarketer put it:
“Social media is just as much about the culture as it is the technology. How users react to new ownership and changes to the algorithm remains an open question.”
FAQs
1. Is TikTok banned in the U.S.?
No. TikTok will continue operating under U.S. ownership conditions outlined in Trump’s executive order.
2. Who will own TikTok’s U.S. operations?
A consortium of American investors, including Oracle and Silver Lake Partners, will control about 80% of the new venture. ByteDance will retain less than 20%.
3. What happens to TikTok’s algorithm?
The U.S. version will run on a licensed copy of ByteDance’s algorithm retrained with U.S.-only data. American investors will control moderation and security.
4. Why is the U.S. government concerned about TikTok?
Officials worry that ByteDance’s ties to China could allow access to Americans’ personal data or manipulation of the recommendation algorithm.
5. How will this affect TikTok users?
Most users may not notice immediate changes. Over time, however, algorithm retraining and new ownership could subtly alter how content is recommended.
