Washington, 19 December (H.S.): ByteDance sealed binding agreements Thursday to divest over 80% of TikTok's US operations to American and global investors, forming a new joint venture that safeguards 170 million users from a looming nationwide ban amid national security fears.

Joint Venture Structure: Oracle-Led Consortium Takes Reins

TikTok USDS Joint Venture LLC emerges with Oracle, Silver Lake, and Abu Dhabi-based MGX claiming 45% collectively—15% apiece—while a ByteDance affiliate retains 19.9% and existing investors hold 30.1%, ensuring US control via a seven-member board dominated by Americans.

CEO Shou Zi Chew notified staff the pact aligns with September's framework, endorsed by President Trump who delayed January 20 enforcement of the 2024 divest-or-ban law four times to broker the resolution.

Trump Legacy: From Ban Threat to Divestiture Triumph

Initiated under Trump's first term after his failed 2020 ban attempt, the saga intensified via Biden-era legislation mandating ByteDance sever ties over data and propaganda risks; Trump's executive orders, including a September qualified divestiture declaration, paved this path post-China greenlight.

Closing eyed for January 22, the deal—valued implicitly at billions—orchestrates data isolation from ByteDance's global platform, quelling bipartisan alarms.

Broader Implications: Security Safeguards, User Continuity

Oracle assumes security oversight, fortifying algorithms and user data against Beijing access, while the venture upholds TikTok's creative ecosystem for its vast US audience.

White House officials hailed the structure as compliant, averting shutdowns that Supreme Court scrutiny upheld despite free speech challenges.

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Hindusthan Samachar / Jun Sarkar