TikTok's Algorithm Adjusted in the U.S. to Prevent Chinese Interference

The White House has announced that

will take responsibility for overseeing TikTok’s security measures for American users, as part of a proposed plan that shifts the platform’s U.S. operations to a company predominantly owned by U.S. interests. According to the deal, Oracle will take charge of monitoring TikTok’s core content recommendation system—an essential feature of the service—and will ensure its safe operation in the United States. This algorithm, which is currently the property of TikTok’s parent company ByteDance in China, will be reconfigured using data from U.S. users and subject to continuous oversight to mitigate national security risks title1 [ 1 ]. This approach fulfills stipulations in the bipartisan law passed in 2024 that requires ByteDance to sell its American interests or risk a ban title2 [ 2 ].

The agreement establishes a new company, led by a group of mostly U.S. investors, including Oracle and the private equity firm Silver Lake. This consortium will hold a minimum of 80% of TikTok’s U.S. business, while ByteDance’s ownership will be capped at under 20%. Oracle’s involvement will also encompass management of American user data, which will be housed on Oracle-controlled servers located within the U.S. The White House stressed that all data will be “securely managed” to block ByteDance or Chinese government access title3 [ 3 ].

Officials from the White House pointed out that retraining the algorithm with American data is intended to guarantee that it “operates properly” and resists tampering from outside sources. This system, which selects content for users based on their activity and preferences, will be under Oracle’s ongoing supervision. An official added that the process would include a “comprehensive review” of the algorithm to ensure it meets U.S. security regulations title4 [ 4 ]. This arrangement attempts to reconcile conflicting regulatory demands from the U.S. and China: Chinese rules require that the algorithm remain under Beijing’s jurisdiction, while U.S. law forbids any operational links between ByteDance and the new American company title5 [ 5 ].

The investment entity will be governed by a board where Americans make up the majority, according to statements from White House representatives. Although the full makeup of the consortium has not been revealed, President Donald Trump has mentioned possible involvement from individuals like Michael Dell and members of the Murdoch family. Still, the White House made clear that the U.S. government will not have ownership or a seat on the board of the new company title6 [ 6 ]. The arrangement also grants a 120-day delay in enforcing the divest-or-ban law, giving time for regulatory review and completion of necessary paperwork title7 [ 7 ].

President Trump, who has postponed the transaction deadline several times, is expected to issue an executive order soon to confirm that the deal satisfies national security standards. White House Press Secretary Karoline Leavitt noted that the agreement is “expected to be finalized shortly,” concluding lengthy discussions over TikTok’s Chinese ties title8 [ 8 ]. The government has not determined whether it will take a financial interest in the deal, but clarified it will not hold a “golden share” or direct stake in the new business title9 [ 9 ].

The proposed deal has received varied feedback. Supporters argue it enhances the protection of U.S. data and reduces potential foreign influence, while critics question whether TikTok can remain a truly global platform under these new conditions. The White House indicated that American users will still be able to view content from abroad, though concerns remain about whether retraining the algorithm would require a unique version of the app just for the U.S. title10 [ 10 ].