Whether or not TikTok exists in the US by then, we’re about to see some dramatic changes. Americans are about to take back control of the board — and the algorithm! Under this new agreement, six of the seven board seats will now be held by U.S. citizens. Second, the app’s algorithm would function within the scope of American law. This decision comes during long-running negotiations over a major new investment pact. Such a deal would only change TikTok’s short-term fate in the United States.
President Donald Trump revealed during a recent interview with Fox News that media moguls Rupert Murdoch and his son, Lachlan Murdoch, are “probably” likely to be involved in the deal. New investors include tech giants Oracle, venture capital firm Andreessen Horowitz, and private equity firm Silver Lake Management. They all are coming together to push for a restructured TikTok.
Under the proposed agreement, ByteDance, TikTok’s parent company, would retain less than 20% ownership of the newly spun-off company. This amendment marks a significant new direction for centralized control. It’s been a rough few weeks in the U.S. for TikTok. Last year, the federal government passed a bill that would have banned the app as of this coming January. The app was unavailable for a few weeks during that time, only to quickly return.
Given this, Oracle is positioned to play the most important role of all by monitoring TikTok’s security infrastructure and safety procedures. This action came after data privacy and user safety issues that have consistently plagued the app, as well as the company, caught up with TikTok. China’s President Xi Jinping has allegedly given the green light for this restructuring agreement, suggesting a willingness to work on both sides of the pacific.
On July 9, Tik Tok released a statement, formally thanking Xi and Trump for their hard work. Thanks to their contributions, TikTok has remained operational in the United States.
“We thank them for their efforts to preserve TikTok in the United States.” – TikTok
Karoline Leavitt, an aide associated with the Trump administration, indicated that all details regarding the deal have been agreed upon. She stated,
“So all of those details have already been agreed upon, now we just need this deal to be signed and that will be happening, I anticipate, in the coming days.” – Karoline Leavitt
This restructuring would create a new operational silo for TikTok, one that prioritizes American majority control and oversight. This smart policy shift would address our nation’s security challenges at their roots. In doing so, it has attempted to rebuild confidence among users and stakeholders.
