A recent executive order signed by U.S. President Donald Trump has temporarily delayed the looming ban on TikTok, but the app’s future in the country still faces significant uncertainty. To remain operational in the U.S., TikTok’s Chinese-based parent company, ByteDance, will need to relinquish majority ownership.
Emerging details suggest that Oracle and other U.S. investors may play a key role in this transition.
According to NPR, ByteDance is expected to retain a minority stake in TikTok if a deal is finalized. However, the platform’s app collection, algorithms, and software updates will fall under Oracle’s oversight, making U.S.-based control a requirement. These changes aim to minimize ByteDance’s influence while addressing national security concerns.
Negotiations are ongoing, with Oracle reportedly interested in acquiring a stake worth tens of billions of dollars. Talks between Oracle representatives and the White House took place last Friday, with another meeting scheduled soon. Additionally, Microsoft and Walmart have reportedly expressed interest, though no concrete decisions have been made.
The biggest roadblock lies in meeting the requirements of a federal law passed by Congress. This legislation mandates “qualified divestiture” from ByteDance, meaning TikTok must sever all operational ties to its parent company. Congress insists on eliminating any potential backdoor access that could allow the Chinese government to exploit TikTok’s data.
Valuation is another hurdle. TikTok, which sees itself as a billion-dollar enterprise, has set a price tag that complicates any acquisition effort, as no single company may be able to shoulder the cost alone. Another issue is that ByteDance seems to have no interest in selling off TikTok to avoid a ban.
If no deal is reached, TikTok’s future in the U.S. remains uncertain, potentially leading to its removal from app stores and operations. This could impact millions of American users who rely on the platform for entertainment, education, or even as a source of income.
As discussions progress, the stakes remain high for both TikTok’s corporate structure and its loyal U.S. user base, making this an issue to watch closely in the coming weeks.