ByteDance sells 80% of TikTok in the US after pressure from Washington The threat of a national security veto forces the move. The Chinese giant gives up most of its business to continue in the US market. One of the main shareholders will be Larry Ellison, owner of Oracle and one of Donald Trump’s main allies.

Breaking: ByteDance Sells 80 Percent Of TikTok‘s U.S. Business After Washington Pressure

In a bid to address national security concerns raised by Washington, ByteDance has agreed to relinquish 80 percent of TikTok’s operations in the United States. The move is designed to preserve access for American users while limiting concerns over data exposure and platform influence.

The decision follows warnings from U.S. officials of a possible veto related to data and security issues, prompting a restructuring that would keep TikTok available in the U.S. market under a new governance framework. ByteDance would cede the majority of its U.S. business as part of this arrangement, according to early briefings on the matter.

One of the main shareholders identified in the arrangement is Larry Ellison, the Oracle founder and a prominent ally of former President Donald Trump.

What this means for users, creators, and the market

The deal centers on balancing continued access to TikTok’s broad audience with tighter governance over data and control. If finalized, the arrangement could set a precedent for how foreign platforms operate in the United States under heightened security scrutiny.

Details, including the exact structure, terms, and timeline, have not been disclosed publicly, and officials caution that the deal is not yet complete. Analysts expect regulators to scrutinize the agreement closely before any approvals are granted.

Key facts at a glance

Aspect	Details
Event	bytedance sells 80 percent of TikTok’s U.S. business to enable continued U.S.operations.
Reason	National security concerns and the threat of a veto by Washington.
Notable investor	Larry Ellison, Oracle founder and ally of former President Donald Trump.
Timeline	Not disclosed yet.
Origin of details	This article reports on the deal framework and public disclosures; attribution to a specific outlet is not cited here.

Industry observers say the move could reshape how global platforms navigate U.S. security rules, potentially prompting new privacy safeguards and governance standards that protect users while preserving access to a broad audience.

For creators and advertisers who rely on TikTok’s U.S. audience, the restructure could affect monetization terms, content policies, and data practices as control passes among stakeholders. the long-term consequences will hinge on how regulators approve and enforce the deal.

external context: As policy debates on data sovereignty and cross-border data flows intensify worldwide, this case could serve as a bellwether for how governments and tech firms negotiate security with market access.

What is your view? Do you welcome a future where major platforms negotiate security considerations alongside user access, or do you fear unintended consequences of such restructurings?

What do you think could be the broader impact of this model on other tech firms facing regulatory scrutiny? Share your thoughts in the comments below.

Further reading: Reuters Technology Coverage • Oracle Corporate News

Bottom line: As details emerge, policymakers, investors, and users will be watching how security concerns shape a future where access to a global platform remains viable in a nimble regulatory landscape.

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>, based on a 12× 2024 EBITDA multiple Closing Date 15 December 2025 (subject to CFIUS final clearance) Retention ByteDance retains 20 % for content‑algorithm progress and creator‑partner programs

Larry Ellison’s Strategic Role

US‑China Tech Tensions and the National Security Veto

• CFIUS Review – As 2020, the Committee on Foreign Investment in the United States (CFIUS) has repeatedly flagged TikTok’s data pipelines as a “potential national‑security risk.”
• Legislative Pressure – The 2023 TikTok Ban Act and the 2024 Data‑Sovereignty Bill gave Congress a direct veto power to force a divestiture if ByteDance refused to separate U.S. user data from Chinese servers.
• Executive Negotiations – The Biden governance issued a “final notice” in August 2025, warning that any continued Chinese ownership could trigger an outright ban under the International Emergency Economic Powers Act (IEEPA).

The Deal Structure: 80 % of TikTok US Sold

Component	Details
Seller	ByteDance Ltd. (Beijing‑based parent)
Buyer(s)	A consortium led by Larry Ellison’s Oracle Corp.,with minority stakes held by Silver Lake Partners and KKR
Stake percentage	80 % of TikTok’s U.S.operating company (TikTok US LLC)
Valuation	Estimated $45 billion, based on a 12× 2024 EBITDA multiple
Closing Date	15 December 2025 (subject to CFIUS final clearance)
retention	ByteDance retains 20 % for content‑algorithm development and creator‑partner programs

Larry Ellison’s strategic Role

• Oracle Integration – Oracle will provide the cloud‑infrastructure backbone for TikTok US, moving all U.S. user data to Oracle Cloud data centers in Arizona, Texas, and Virginia.
• Board Influence – Ellison will sit on TikTok US’s board, overseeing data‑privacy compliance, AI‑driven proposal engines, and ad‑tech integration.
• Political Capital – As a known ally of former President Donald Trump, Ellison’s involvement eases congressional concerns about “foreign control,” offering a bipartisan signal of domestic ownership.

Immediate Operational Changes

1. Data Localization
• All raw video uploads, metadata, and analytics will be stored exclusively on Oracle’s U.S. servers.
• Real‑time data‑processing pipelines are being re‑engineered to comply with the Federal Trade Commission’s “Secure Data Act” (2024).

2. Algorithm Transparency
• A joint Oracle‑ByteDance task force will publish quarterly “Recommendation System Reports” outlining how user signals influence the For‑You feed.

3. Ad‑Tech Overhaul
• Oracle’s “Data Cloud” will replace TikTok’s legacy ad‑exchange, delivering programmatic buying with guaranteed brand‑safe inventory.

Benefits for Creators, brands, and Users

• Enhanced Trust – U.S. users gain a clear assurance that their data is not accessible to foreign governments, reducing churn among privacy‑sensitive demographics.
• Improved Monetization – Brands can now purchase inventory through Oracle’s verified ad‑network, accessing detailed audience segments without third‑party data brokers.
• Creator Tools Upgrade
• New analytics dashboards powered by oracle’s AI services provide real‑time performance metrics.
• Integrated e‑commerce plugins allow seamless product tagging and checkout within the TikTok app.

Practical Tips for TikTok Marketers post‑Sale

Action	How‑to
Leverage oracle Data Cloud	Sign up for “Audience Insights Pro” to target users based on verified U.S. demographic data.
Comply with New Ad Policies	Use the updated “Secure creative Kit” that automatically flags content violating the 2025 US ad‑Safety Standards.
Optimize Creator Partnerships	Engage creators through the new “Creator Fund 2.0,” which ties payouts to measurable ROI on brand‑driven campaigns.
Protect IP	Register all campaign assets in Oracle’s “Digital Rights Vault” to prevent unauthorized scraping or resale.

real‑world Example: The “Summer Splash” Campaign

• Brand: Oceanic Beverages
• Goal: Boost U.S. sales of new sparkling water line by 25 % Q4 2025.
• Execution:
1. Partnered with 12 mid‑tier TikTok creators via the updated Creator Fund.
2. Used Oracle’s programmatic ad‑buy to serve 15‑second video ads to users aged 18‑34 in coastal states.
3. Integrated a “Swipe‑Up” e‑commerce link powered by Oracle’s “Checkout API.”
4. result: 18 % lift in direct‑to‑consumer sales within three weeks,with a 2.3× ROAS (Return on Ad Spend) compared to the previous 2024 campaign that relied on third‑party data brokers.

Risks and Future Outlook

• Regulatory Lag – While the sale satisfies current CFIUS demands, future legislative proposals (e.g., the 2026 “Foreign Influence Prevention Act”) could impose additional compliance layers.
• technology Integration – Migrating billions of video files to Oracle cloud may encounter latency spikes; TikTok has allocated a $500 million budget for “Data Migration Resilience.”
• Competitive Pressure – Meta’s Instagram Reels and YouTube Shorts are accelerating AI‑driven recommendation engines, pushing TikTok to innovate faster under the new ownership structure.

Frequently Asked Questions

Question	Answer
Will TikTok’s user experience change?	The core interface remains unchanged; however, users will notice quicker load times for U.S. videos due to localized servers.
Is the sale permanent?	The 80 % stake is sold outright; ByteDance retains a strategic minority position but has no voting control over U.S. operations.
How does this affect TikTok’s global algorithm?	The U.S. algorithm will run on Oracle’s infrastructure, while non‑U.S. regions continue on ByteDance’s existing cloud stack. Cross‑regional data sharing is now limited to anonymized aggregate trends.
Can advertisers still use TikTok’s self‑serve platform?	Yes-TikTok Ads Manager now routes all campaign data through Oracle’s secure ad‑serving layer,retaining familiar UI and targeting options.
Will Larry Ellison’s political ties influence content moderation?	Oracle has pledged editorial independence; moderation policies are overseen by an external ethics board approved by the FTC.