TikTok has secured its future in the United States after finalising a new deal to form a majority American-owned joint venture. The agreement, reached on 22 January 2026, allows the popular short-video platform to continue operating in the country and avoids a nationwide ban that had been looming for years.
Under the agreement, TikTok’s US operations will be transferred to a newly created entity called TikTok USDS Joint Venture LLC. American and global investors will collectively own 80.1 percent of the company, while ByteDance will retain a 19.9 percent stake, staying below the ownership threshold required by US law.
How the new structure works
The joint venture will take full responsibility for TikTok’s US business, including data handling, content moderation, and security operations. Major investors include Oracle, Silver Lake, and Abu Dhabi-based AI investment firm MGX, each holding significant minority stakes.
TikTok USDS will also have its own leadership team. Adam Presser has been appointed chief executive officer, while Will Farrell will serve as chief security officer. Global TikTok CEO Shou Chew will sit on the board, but ByteDance will no longer have operational control over the US platform.
From a security standpoint, US user data will continue to be stored on Oracle’s cloud infrastructure. The system is designed to limit access to sensitive information and will be monitored through independent audits to meet federal cybersecurity requirements.
Why this deal matters
This move comes in response to legislation passed by the US Congress in 2024, which required ByteDance to divest TikTok’s US assets or face removal from app stores and hosting services. The law was later upheld by the Supreme Court, putting pressure on ByteDance to reach a solution.
With approvals reportedly secured from both US and Chinese authorities, the deal removes one of the biggest uncertainties surrounding TikTok’s global business. For users, the app experience is expected to remain largely unchanged for now, although future adjustments to content moderation policies or algorithm management could still happen under the new structure.
What happens next
If you are a TikTok user or creator, this deal likely means business as usual in the near term. Still, questions remain about how independent the US version of TikTok will be in practice and whether similar arrangements could be required in other regions in the future.
What do you think about TikTok operating under majority American ownership, and will it change how you view the platform? Stay tuned to TechNave.com for more updates.
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