ByteDance states no plans to sell TikTok amid US ban law

Developing StoryLast updated MAR 6
SUMMARY

A lawsuit was filed on March 5-6, 2026, challenging the Trump administration's approval of TikTok's sale, alleging that ByteDance retains control of the app's recommendation algorithm and key functions, undermining the intent of the 2024 law requiring divestiture to avoid a US ban. As of March 6, 2026: The newly established TikTok USDS Joint Venture LLC, valued at approximately $14 billion and with Adam Presser as CEO and Will Farrell as Chief Security Officer, officially closed on January 22, 2026, with ByteDance retaining ownership of the recommendation algorithm. The White House and Chinese government officially approved the deal on January 23, 2026, for TikTok's US operations to be divested to a new, majority American-owned joint venture. Senator Edward J. Markey has expressed concerns regarding the lack of transparency and is calling for a congressional investigation to ensure the agreement protects national security.

Timeline

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2026

16 updates

A lawsuit was filed on March 5-6, 2026, challenging the Trump administration's approval of TikTok's sale, alleging that ByteDance retains control of the app's recommendation algorithm and key functions. The suit claims this arrangement undermines the intent of the 2024 law requiring divestiture to avoid a US ban. Plaintiffs argue the deal violates the Protecting Americans from Foreign Adversary Controlled Applications Act.

via kr-asia.com·cbc.ca

Following the separation of its U.S. business from ByteDance, TikTok has been experiencing glitches and bugs, including issues with video counts and user engagement, attributed to a widespread power outage at a data center.

via thedesk.net

The newly established TikTok USDS Joint Venture LLC, largely backed by US investors, is part of a deal valued at approximately $14 billion.

via blog.malwarebytes.com

Senator Edward J. Markey has expressed concerns regarding the lack of transparency surrounding the TikTok deal and is calling for a congressional investigation to ensure the agreement protects national security and keeps TikTok online.

via markey.senate.gov

The White House and Chinese government have officially approved the deal for TikTok's US operations to be divested to a new, majority American-owned joint venture, thereby avoiding a ban. This confirmation solidifies the agreement reached between Washington and Beijing.

via trtworld.com·cbsnews.com·vertexaisearch.cloud.google.com·cbs8.com

Adam Presser has been named CEO and Will Farrell as Chief Security Officer for the newly established TikTok USDS Joint Venture LLC, following the official closure of the deal for TikTok's US spinoff.

via searchenginejournal.com

The TikTok USDS Joint Venture LLC officially closed on January 22, 2026. ByteDance retains ownership of the recommendation algorithm, which the new U.S. entity operates under license.

via techpolicy.press

A new detail emerged indicating that the US-led consortium acquiring TikTok's US operations includes UAE-based AI firm MGX, alongside Oracle and Silver Lake. This firm was not previously specified as part of the consortium.

via aa.com.tr

The new structure for TikTok's US operations reportedly involves two separate companies, one dedicated to managing the algorithm and another for user data.

via seekingalpha.com

The US and China have officially approved the deal for the spinoff of TikTok's US business, with the transaction set to meet the January 22 deadline.

via benzinga.com

The deal reportedly grants Oracle and a US consortium 80% control of the new American entity, which will manage US user data and algorithms. ByteDance is expected to remain the largest single shareholder with just under 20%.

via worldfinance.com

House China Committee Chair John Moolenaar has raised two key questions for TikTok's new American owners as the sale of the app's U.S. operations is set to close. Moolenaar's concerns focus on ensuring the algorithm is not influenced by the Chinese Communist Party and securing American user data.

via punchbowl.news

The US and China have reportedly approved a deal to sell TikTok's US business to a consortium of mostly US investors, including Oracle and Silverlake. The deal is expected to close this week, meeting the January 22 deadline.

via semafor.com

As the January 23rd deadline approaches, no official statement from TikTok or ByteDance has confirmed the divestiture deal. Separately, it has been reported that the US-based joint venture now holds a 50% stake in TikTok's American operations.

via socialmediatoday.com·outlookbusiness.com

Specific American investors, including Oracle, Silver Lake, and MGX, have been identified for the new TikTok USDS Joint Venture LLC, with Oracle taking a central role in data security and algorithm oversight. TikTok is reportedly reorganizing its US workforce into two entities, with some employees joining the joint venture and others remaining with a ByteDance-owned entity, and the joint venture plans to retrain its recommendation algorithm.

via jumpfly.com·vertexaisearch.cloud.google.com·musicbusinessworldwide.com

2025

5 updates

TikTok has been under a de jure nationwide ban in the United States since January 19, 2025, due to concerns over user data and Chinese government influence, though the ban has yet to be enforced. This ban took effect after ByteDance refused to sell the service.

via en.wikipedia.org

2024

3 updates

ByteDance has announced that it has no plans to sell TikTok, despite a new US law mandating divestiture or a ban. This statement contradicts previous reports detailing a divestiture deal and the formation of a new US joint venture. US lawmakers have cited national security concerns, alleging potential espionage and propaganda use by the Chinese government, claims which ByteDance denies.

via todayonline.com

ByteDance has signed binding agreements to establish a new U.S. joint venture to operate TikTok, fulfilling a commitment made with the Trump administration. This move satisfies a 2024 bipartisan law aimed at addressing national security concerns related to the app's Chinese ownership. The agreement ensures the U.S. version of TikTok will be majority-owned by American investors, following legislative and judicial actions that mandated ByteDance to sell or face a ban.

via The Guardian·Nasdaq·The Guardian·Reuters·Business Times

2021

1 update

2020

2 updates

Story began · 5 years, 8 mo ago