Source: Forbes
TikTok’s future in the United States may soon change. On September 25, Donald Trump signed an executive order that could transfer most of TikTok’s American business to U.S. investors. The goal is to protect national security while keeping the app available to its 170 million American users.
Trump’s Executive Order Sets the Stage
The order, called “Saving TikTok While Protecting National Security,” creates a plan for a “qualified divestiture.” Under this plan, U.S. investors would hold more than 80% of TikTok’s American operations. ByteDance, TikTok’s China-based parent, would own less than 20%. Oracle would act as the “trusted security partner.” Its role would be to manage TikTok’s algorithm, app development, and source code reviews. Oracle already works with TikTok through its Project Texas data storage partnership.
Vice President JD Vance said the deal would value TikTok’s U.S. business at about $14 billion. Reuters reported that this number is lower than many experts expected. Major investors include Rupert Murdoch, Michael Dell, Oracle Chairman Larry Ellison, and venture capital firms Andreessen Horowitz and Silver Lake. The order also grants a 120-day delay before enforcement begins. This gives the parties more time to finalize the deal without immediate penalties.
Challenges and Concerns Ahead
Still, questions remain. The U.S. government must approve the plan, but so must the Chinese government. Lawmakers such as Representative John Moolenaar worry that TikTok’s link to ByteDance’s algorithm could leave space for foreign influence. At the same time, many in the music industry rely heavily on TikTok. The app has become essential for promoting songs and reaching fans, showing what could be lost if its future remains uncertain.
For now, TikTok users can keep creating and sharing content. But the next few months will be critical. If both governments approve the deal, TikTok may gain new independence from Beijing’s influence. If not, its future in the U.S. will remain in doubt.
About the Author
