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TikTok's US operations: ByteDance to hold minority stake in Oracle

Business

ByteDance, the company behind TikTok, isn't fully letting go of its US operations.
Instead, it will be a minority shareholder in a new joint venture with Oracle and Silver Lake that will handle US user data and algorithms.
The idea is to calm US lawmakers' concerns about data privacy and Chinese ownership.

The catch in the deal

This setup splits TikTok's US business: the joint venture handles backend data, while ByteDance still controls e-commerce and ads.
But here's the catch—US law passed in 2024 says ByteDance must completely divest or risk a ban.
With 170 million American users and ongoing political scrutiny, this move highlights how tricky it is to balance tech innovation with national security fears.