TikTok Avoids Ban with New US-Based Security Deal
A deal is in place to allow TikTok to continue operating in the United States, averting a potential ban prompted by national security concerns. The agreement, brokered under the Trump administration, centers around restructuring how TikTok operates within the country.
The core of the plan involves a joint venture that will take control of the TikTok algorithm in the U.S., separating it from its parent company, ByteDance. This algorithm will be “secured, retrained, and operated in the United States outside of ByteDance’s control,” according to a senior White House official. ByteDance will initially create a copy of the existing algorithm and lease it to the new joint-venture. Oracle will then be responsible for operating, retraining, and continuously monitoring the U.S.version to prevent manipulation or surveillance.
This arrangement aims to safeguard American user data and eliminate potential foreign influence. Importantly, the deal preserves TikTok’s global interoperability, meaning U.S. users will still be able to view content from around the world while having confidence their data remains secure within the United States. Officials state the deal is designed to not disrupt the user experience.
The U.S. joint-venture will operate independently, policing harmful content through its own terms of service. The Trump administration estimates the deal will generate $178 billion in economic activity and sustain thousands of U.S.jobs over the next four years.
President Trump is expected to sign an executive order this week to finalize the agreement,delaying enforcement of the Protecting Americans from Foreign Adversary controlled Applications Act for up to 120 days.
This resolution follows months of negotiations after Congress passed legislation, signed into law by President Joe Biden, that initially banned TikTok and similar apps controlled by foreign adversaries. The law, which survived a Supreme Court challenge, took effect on january 19, 2025, but included a 90-day extension period.The ban stemmed from concerns about the Chinese government’s potential access to user data and the possibility of using the platform for influence operations. bytedance had previously resisted calls to sell the platform.
Source: Fox Business/Fox News Digital (as referenced in the provided text).