WASHINGTON: The White House announced on Monday that the US version of TikTok will operate under a domestically developed model of the platform’s highly valuable algorithm, a move aimed at ensuring national security and securing the app’s future in the country.
TikTok’s Algorithm Under Scrutiny
Often described as TikTok’s “secret ingredient”, the algorithm has been at the center of US-China tensions. American officials long feared that Beijing could exploit the app to harvest data from US citizens or influence public opinion.
A law signed under President Joe Biden requires TikTok’s Chinese parent company, ByteDance, to divest its US operations or face a nationwide ban. Former President Donald Trump, both in his first term and after resuming office, delayed enforcement of the ban while exploring options for domestic ownership.
Joint Venture to Oversee US Operations
According to a proposal revealed by a senior White House official, TikTok’s operations in the US will transition into a joint venture headquartered in the United States, overseen by a mostly American board of directors.
- Oracle, already a TikTok partner in the US, will serve as the security guarantor.
- The algorithm will be retrained with US user data and operated under American supervision.
- Continuous monitoring will ensure the algorithm remains free of outside influence.
Trump and Xi Jinping Discussions
The announcement came shortly after President Trump praised progress made in talks with Chinese President Xi Jinping. The two leaders recently held their second phone conversation since Trump’s return to office, addressing issues including TikTok’s future.
Trump is expected to sign an executive order this week, declaring the agreement compliant with US national security standards.
Key Investors and Governance
White House Press Secretary Karoline Leavitt confirmed that the new US-based TikTok board will consist of seven members, six of whom will be Americans.
Potential investors include:
- Media mogul Rupert Murdoch and his son Lachlan
- Venture capital firms Andreessen Horowitz and Silver Lake
Beijing’s Position
China has remained cautious regarding the potential deal. Following the Trump–Xi phone call, Chinese state broadcaster CCTV reported:
“China respects the intentions of businesses and supports negotiations based on market principles, aiming for outcomes that balance interests while complying with Chinese laws.”
