TikTok has formally moved to separate its US business from Chinese parent ByteDance. The company announced that a group led by Oracle Corp. has agreed to buy its US operations. The deal, resembling the rejected Project Texas, could resolve a long-running US-China issue and meet Biden-era sell-or-ban requirements.

Last year, TikTok faced a deadline to comply with a US law requiring ByteDance to sell the app or face a nationwide ban. The company filed an emergency request with the Supreme Court while appealing a lower court ruling. US officials cited national security risks, including potential access to user data and influence over content.

Details of the Joint Venture

Chief Executive Officer Shou Chew informed staff in an internal memo that TikTok and ByteDance had signed binding agreements to form a US joint venture. The new entity will be majority-owned by American investors.

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Chew said he was “pleased to share some great news” and noted agreements with Oracle, Silver Lake and MGX had been signed. He said the deal is expected to close on Jan. 22, 2026, but “there’s more work to be done.”

Chinese regulators have not yet indicated whether they will approve the transaction.

US Operations and Governance

The memo said the US joint venture will operate independently. It will control data protection, content moderation and algorithm security in the United States. Chew added the company will be “governed by a new seven-member majority-American board of directors.” Oracle shares rose about 5.2% in early trading on Friday, Bloomberg reported.

TikTok has signed a deal to form a new U.S. joint venture controlled by mostly American investors that include Oracle Corporation, Silver Lake and MGX, according to an internal memo sent by TikTok CEO Shou Chew and obtained by ABC News. https://t.co/bnIv9OMbye pic.twitter.com/RHwlzMWzHp

— ABC News (@ABC) December 19, 2025

Ownership Structure

The structure matches a plan outlined by the White House in September. That proposal valued TikTok’s US business at about $14 billion, subject to China’s approval. Under the ownership plan, Oracle, Silver Lake and MGX will each hold 15%. Affiliates Affiliates Affiliates serve as an essential component of a broker’s client acquisition tactics and marketing. One of the most important functions of affiliate marketers is the sending of leads to the broker, which are directly opening an account or visiting the broker’s website. There are several ways in which brokers compensate affiliates based on the number and type of clients they refer to the company and whether or not or how much they end up depositing.Understanding CPA or Cost Per Acquisition The bro Affiliates serve as an essential component of a broker’s client acquisition tactics and marketing. One of the most important functions of affiliate marketers is the sending of leads to the broker, which are directly opening an account or visiting the broker’s website. There are several ways in which brokers compensate affiliates based on the number and type of clients they refer to the company and whether or not or how much they end up depositing.Understanding CPA or Cost Per Acquisition The bro Read this Term of existing ByteDance investors will hold 30.1%, while ByteDance retains 19.9%.

Remaining Ties and Algorithm Issues

The arrangement does not fully sever ties with ByteDance. Previous reporting indicated the parent company could retain about half of the US unit’s profits.

Critics have said this may conflict with a US national security law, which requires TikTok US and ByteDance to have no operational relationship. ByteDance is expected to license its recommendation algorithm to the US entity, retrained using US data secured by Oracle.