TikTok US Deal Closed: ByteDance Splits App from China – Full 2026 Report
- Sohana Ahamad Khan
- 23 Jan, 2026
§ TikTok US Deal 2026
§ From Ban Threats to Big Win
§ Massive Split from ByteDance – What It Means for Users and Global Future
§ Dive into TikTok’s New American Setup, Ownership Changes and Algorithm Overhaul with Fresh Insights
§ TikTok seals major US deal, splitting its American operations from Chinese parent ByteDance to dodge a full ban
§ President Trump hails the move after years of threats with new owners like Oracle taking charge of data and the famous algorithm
§ This keeps the app alive for 200 million US users amid fresh 2026 buzz on X and YouTube
Sohana A Khan, China: TikTok just sealed a huge deal on January 22, 2026, splitting its US app from the global business run by Chinese owner ByteDance. This ends years of fights over safety worries, letting over 200 million American users keep scrolling without a ban. With high-search buzz like “TikTok US deal 2026” and “TikTok split from ByteDance” this full detailed report uses simple words to explain the changes. Fresh from X posts and web news, it shows how this could shake up your feed and TikTok’s world plans.
The short-video giant announced the closure of TikTok USDS Joint Venture LLC on Thursday, ending a saga started in Trump’s first term. ByteDance licenses its “secret sauce” algorithm to US owners, retrained solely on American data stored in Oracle clouds. Social media explodes with #TikTokDeal trending at 5M+ posts, as users debate if this boosts security or kills the app’s magic.
Details & Context
Washington’s push began in 2020 over fears Beijing could grab US user data via ByteDance. Biden’s 2024 law forced a sale or ban by January 2025 but Trump delayed it multiple times, even restoring service after a brief 2024 blackout. Last September’s Trump-Xi pact paved the way; December bindings locked investors.
New JV runs independently with a 7-member board, majority American. CEO Adam Presser (ex-WarnerMedia) leads with TikTok global boss Shou Zi Chew on board. ByteDance holds 19.9%; investors own 80.1% total. Key players: Oracle (15%, data/algorithm security, chaired by Trump ally Larry Ellison), Silver Lake (15%, $116B assets), MGX (15%, UAE AI/tech fund). Rest via Dell family office, Susquehanna (Jeff Yass ties), others.
X threads and YouTube breakdowns highlight Trump’s role: “Saved TikTok.!” posts rack 10M views.
TikTok’s journey in the US has been wild. It started with worries in 2020 under President Trump, who tried to ban the app over fears China could grab user data. Things heated up under Biden in 2024 with a law saying ByteDance must sell or face a shutdown. The app even went dark for 12-14 hours in January 2025 but Trump, back in office, delayed the ban and pushed for a deal.
Now, the deal is done. TikTok announced a new company called TikTok USDS Joint Venture LLC, which handles US user data, the app and its smart algorithm. It’s mostly owned by Americans with a seven-person board where most are from the US. Adam Presser, ex-WarnerMedia guy, is the new CEO.
The big players.? Oracle, Silver Lake and MGX each get 15% – that’s 45% total. ByteDance keeps 19.9% and the rest (35.1%) goes to others like Michael Dell’s family office and Susquehanna International Group, tied to Trump supporter Jeff Yass. Oracle will guard US data in its cloud and retrain the algorithm using only American info to follow US rules. The whole setup is worth about $14 billion, super low compared to TikTok’s ad money.
TikTok’s global boss, Shou Zi Chew, joins the board but the focus is on keeping things safe and separate from China. Trump cheered on social media, saying he helped save TikTok. This deal dodges a full ban but experts wonder if it fully fixes security issues.
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Quotes
· Trump on Truth Social: “So happy to have helped in saving TikTok. Thanks to Xi Jinping for approving the deal – long live TikTok users.!”
· TikTok statement: “Defined safeguards protect national security through data protections, algorithm security, content moderation for US users”.
· Shou Zi Chew memo (Dec): “Binding agreements signed with American/global investors for US operations”.
· Expert Anupam Chander (Georgetown): “Who controls TikTok sways what Americans see”.
· Oracle role: “Securing US data and retraining the algorithm in our cloud”.
· TikTok’s announcement was clear: “The new joint venture will operate under defined safeguards that protect national security through comprehensive data protections, algorithm security, content moderation and software assurances for U.S. users.” Shou Zi Chew said in a memo last December that binding deals were signed with US and global investors.
· A former social media exec told BBC: “The one who introduces the technology just knows how to do it better,” talking about rivals like Instagram Reels.
· @maxvaldes [post:15] shared: “New ‘Business’ post from BBC News: TikTok closes deal to split US app from global business.”
· @ReclaimD1 [post:16] reacted: “The WHITE boys on Tik Tok have already admitted defeat.”
· @jminahs [post:20] said: “THEY REALLY SAID FUCK AMERICA SORRY BUTHSHSHDHDHSH,” showing mixed feelings.
Additional Information
Algorithm stays licensed from ByteDance but gets rebuilt on US-only data, meeting US laws banning Chinese ties. No more global data mix – expect tweaks in feeds. App stays same for users initially but experts predict slower personalization vs global version.
Board mix: Chew oracle/Silver Lake/MGX execs, Susquehanna’s Mark Dooley. No full ByteDance control, easing security woes. China nodded to licensing last year, a big shift.
Fresh 2026 updates make this hot. On X, semantic searches for “TikTok closes deal to split US app from global business reactions 2026” show posts from January 23 buzzing with opinions. @omarsuleiman [post:22] warned: “If you can’t stop videos of your war crimes from going viral, then you just have to buy the platform,” linking to theories about control. @Mike_from_PA [post:26] added: “The biggest Zionist Billionaire in America just bought Tiktok... because there was too much pro-Palestine sentiment.”
Keyword searches on X for “TikTok US deal ByteDance split” in Latest mode pull up shares like @SouthAfricansP1 [post:17] linking a YouTube video and @msoarescorreia [post:30] noting: “TikTok closes deal with White House to split US app from global business.” Web sources confirm the close: Politico says it’s unclear if it fully complies with 2024 law. CNN reports the algorithm will be retrained on US data. NPR highlights it avoids a ban. BBC asks if it hurts global goals. Reuters notes 80.1% non-Chinese ownership. YouTube clips from NBC4 have views in thousands. NYT calls it a “complete rebuild.” The Hill says it’s to comply with the divest law. Axios pegs value at $14B. ABC News recalls the short blackout. Guardian says it sidesteps the ban. Business Insider explains changes. Fox Business calls it historic. Bloomberg notes Vance’s $14B cite. Instagram post from BBC echoes the split.
Older X posts like @TheTajMiham [post:33] from 2025 discuss early framework. These add depth, showing ongoing chatter.
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READ MORE: Trump Engaged in Criminal Activity: Jack Smith Shocking Testimony Full Report 2026
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Impact Analysis
US users (200M monthly) see no instant change but algorithm shifts could dull viral hits – Instagram Reels/YouTube Shorts may gain. Businesses cheer stability; ad revenue safe.
Globally, ByteDance keeps e-commerce/ad profits separate. Trump scores political win with base (Ellison/Yass donors). X polls: 60% say “app better secured,” 40% fear “less fun.” Engagement up 250% on #TikTokUSDeal clips.
Security pros: Data locked from Beijing. Drawbacks: Slower innovation.?
This deal saves TikTok in the US but could slow its global growth. The algorithm, TikTok’s “secret sauce,” gets retrained on US-only data, possibly making recommendations less spot-on or the app slower. Experts say rivals like Reels can’t match it yet but this split might create two different TikToks – one US, one world.
For users, no big changes right away; same app but safer data. Creators and businesses relying on it breathe easy, as ad cash flows on. Politically, it eases US-China tensions but raises questions on full security. X reactions show worries about content control, like pro-Palestine stuff. Globally, ByteDance loses some power but keeps a stake. This could set rules for other apps, boosting US tech like Oracle. Engagement on X spikes with posts getting thousands of likes, showing public interest.
Conclusion
TikTok’s US split locks in its future, blending security with addictive fun under American oversight. ByteDance steps back but influences via license – a Trump-brokered balance. Fresh 2026 details keep this top news with algorithm tests ahead.
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