By Zoila Palma: TikTok has finalized a $14 billion deal to establish a U.S.-based subsidiary, allowing the popular social media platform to continue operating in the United States and avoid a potential nationwide ban.
The agreement follows months of negotiations after U.S. lawmakers raised national security concerns over TikTok’s ties to China, Politico reports.
Under the deal, ownership of the new U.S. joint venture will be shared among Oracle, Silver Lake, and Abu Dhabi-based AI firm MGX, each holding a 15 percent stake.
TikTok’s Beijing-based parent company, ByteDance, will retain a nearly 20 percent stake, while the Dell Family Office is also listed as an investor. The agreement fulfills a U.S. law passed in April 2024 requiring TikTok to be sold to American owners or face a ban.
The U.S. version of TikTok will operate as an independent company governed by a seven-member board.
Adam Presser, TikTok’s head of operations and trust and safety, has been appointed chief executive officer of the joint venture.
Oracle will oversee the platform’s algorithm within its U.S. cloud environment, with the system to be retrained and updated using U.S. user data.
The post International News: TikTok secures $14B deal, establishes U.S. subsidiary to avoid nationwide ban appeared first on Belize News and Opinion on www.breakingbelizenews.com.
By Zoila Palma: TikTok has finalized a $14 billion deal to establish a U.S.-based subsidiary, allowing the popular social media platform to continue operating in the United States and avoid a potential nationwide ban. The agreement follows months of negotiations after U.S. lawmakers raised national security concerns over TikTok’s ties to China, Politico reports. Under the
The post International News: TikTok secures $14B deal, establishes U.S. subsidiary to avoid nationwide ban appeared first on Belize News and Opinion on www.breakingbelizenews.com.
