Day: September 25, 2025

TikTok’s US Operations Transition Approved by Trump

On September 25, 2025, President Donald Trump signed an executive order facilitating a significant transition in TikTok’s US operations, aimed at complying with a nationwide ban-or-divest law targeting its parent company, ByteDance, reports 24brussels.

The executive order recognizes a deal that values TikTok’s US assets at $14 billion and mandates that they be controlled by American companies. Under the agreement, TikTok’s US operations will establish a new board tasked with adhering to strict regulations designed to safeguard American data and national security.

“I spoke with President Xi [Jinping], we had a good talk,” Trump stated during a briefing. “I told him what we were doing, and he said, ‘Go ahead with it.’” This conversation reflects the delicate diplomatic balance as US-China relations continue to evolve amidst rising concerns about technology and data privacy.

According to CNBC, Oracle, Silver Lake, and MGX, an Abu Dhabi-based company, will collectively hold a 45 percent stake in TikTok’s US operations. Meanwhile, investors in ByteDance are set to retain a 35 percent share. This restructuring process emphasizes the necessity for compliance with US regulatory frameworks while seeking to appease both corporate stakeholders and government authorities.

When asked about the content algorithm of TikTok following the acquisition, Trump remarked, “If I could make it 100 percent MAGA, I would. But it’s not going to work out that way, unfortunately.” He emphasized the need for fair treatment across diverse political philosophies, hinting at an intricate interplay between business decisions and political aspirations.

Since taking office, Trump has repeatedly postponed deadlines requiring TikTok to divest from its Chinese parent, as negotiations extended indefinitely. Last week, he indicated progress toward an agreement with China, with the White House confident about finalizing the terms. “A deal is done,” asserted White House Press Secretary Karoline Leavitt, reflecting optimism from the administration.

One day prior to TikTok’s latest ban enforcement deadline on September 16, Trump extended the timeframe yet again, allowing further negotiations to unfold. Treasury Secretary Scott Bessent mentioned a “framework” agreement was close to fruition, which laid the groundwork for major companies interested in acquiring stakes in the platform.

Trump initiated efforts to ban TikTok in 2020, a move that garnered bipartisan support under the Biden administration, culminating in a divest-or-ban law passed in 2024. Critics have launched serious allegations against TikTok, claiming the app poses risks of surveillance and potential propaganda by the Chinese government, and have asserted that full ownership transfer was the only acceptable solution. However, Trump’s approach softened as he acknowledged his popularity on the app, recognizing the potential backlash among younger voters in the lead-up to the 2024 presidential election. “Is it that important for China to be spying on young people?” he questioned in January 2025, underscoring the fine line he is walking between national security concerns and electoral strategies.