US Plans TikTok Sale to Oracle-Led Consortium Amid China Concerns

The future of TikTok in the United States hinges on a high-stakes political and business negotiation aimed at transferring control from Chinese parent ByteDance to a consortium of American investors, including Oracle's Larry Ellison and the Murdoch family, under President Donald Trump's administration. The U.S. Congress passed a law in 2024 banning social media apps owned by foreign entities unless sold to U.S. companies, citing national security and privacy concerns, with Trump repeatedly delaying the ban to allow for a deal. The proposed agreement involves replicating and managing TikTok's recommendation algorithm using data solely from U.S. users, with Oracle overseeing this process and a new U.S.-based company managing the app, while China has expressed vague commitments without confirming details. Experts warn that despite the shift in ownership, privacy concerns remain, as surveillance practices continue due to insufficient regulation, and changes to the algorithm could impact user engagement. Australian officials are considering adopting the U.S. version of TikTok to avoid foreign authoritarian control, while the deal's value is expected to be in the billions, reflecting the app's significant influence and the complex U.S.-China relations surrounding it. President Trump has expressed optimism about the agreement following discussions with Chinese President Xi Jinping, though formal confirmation from China is pending.