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Oracle’s Role as Protector of TikTok Data Panned as Rehash of Earlier Plan
American investors will control 80% of TikTok US operations with Oracle managing data and retraining the algorithm, while China retains intellectual property rights over the algorithm.
- On September 26, 2025, the Trump administration signed an executive order transferring TikTok's US operations to a group of American investors led by Oracle.
- This deal follows US concerns about TikTok's Chinese ownership, data privacy, and national security risks tied to ByteDance, TikTok's Beijing-based parent.
- Under the arrangement, Oracle and US investors will control 80% of TikTok's American entity, overseeing all US user data and daily recommendations, while ByteDance retains under 20% ownership but keeps algorithm rights outside the US.
- Vice President JD Vance valued the deal at $14 billion, but experts called it confusing and noted it shifts dependence rather than fully transferring control, exposing US investors to geopolitical uncertainty.
- This agreement eases immediate US security concerns but leaves unresolved questions about Chinese influence on TikTok and ongoing geopolitical challenges ahead.
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Business TimesOracle’s role as protector of TikTok data panned as rehash of earlier plan
President Donald Trump’s plan to save TikTok for Americans casts Oracle Corp. as the security guard for U.S. user data and the app’s all-important algorithm. “Oracle is playing a very big part. Oracle really understands this,” Trump said from the…
A TikTok Deal China Will Love
Rather than shifting TikTok from Chinese to American control, the Trump administration's new deal merely replaces one form of dependence with another. The app's owner, ByteDance, will no longer oversee daily content recommendations, but China will still have residual control over the platform's algorithms.
Earlier it was reported that Trump signed an executive order approving the proposal to keep TikTok in the US.
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Leaning Left2Leaning Right1Center5Last UpdatedBias Distribution63% Center
Bias Distribution
- 63% of the sources are Center
63% Center
L 25%
C 63%
12%
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