WASHINGTON, 25 September 2025 – U.S. President Donald Trump signed an executive order Thursday approving plans to sell TikTok’s U.S. operations to American and global investors, valuing the new entity at around $14 billion, according to Vice President JD Vance.
The move aims to satisfy the national security requirements of a 2024 law that ordered TikTok’s U.S. assets sold or banned by January 2025. Trump also delayed enforcement of the law until January 20, giving time to finalize the restructuring, line up investors, and secure approval from Beijing.
“There was some resistance on the Chinese side, but the fundamental thing that we wanted to accomplish is that we wanted to keep TikTok operating, but we also wanted to make sure that we protected Americans’ data privacy as required by law,” Vance told reporters.
U.S. Oversight of Algorithm
The executive order says TikTok’s recommendation algorithm will be retrained, monitored by U.S. security partners, and placed under the control of the new joint venture.
Trump said he had spoken with Chinese President Xi Jinping, who signaled approval: “We had a good talk, I told him what we were doing and he said go ahead with it.”
Trump, who credits TikTok with helping him win reelection, stressed: “This is going to be American-operated all the way.”
Investors and Structure
Trump said backers include Michael Dell, Rupert Murdoch, and “four or five world-class investors.” Reports indicate Oracle and Silver Lake will take about 50% of TikTok U.S., while ByteDance shareholders such as Susquehanna International Group, General Atlantic, and KKR will hold around 30%. Abu Dhabi’s MGX is also reportedly in talks for a stake.
ByteDance will retain less than 20%, in line with U.S. law, but Chinese media reports suggest the parent company will still play a role through a new U.S. subsidiary handling e-commerce, branding, and some revenue-sharing.
A White House official said the new TikTok U.S. board will have seven members, with ByteDance appointing one and Americans holding the remaining six.
Market and Political Reactions
The $14 billion valuation came in far below analyst expectations of $30–40 billion without the algorithm, according to Wedbush Securities’ Dan Ives.
U.S. lawmakers have demanded more details to ensure a “clean break” with China. “As the details are finalized, we must ensure this deal protects American users from the influence and surveillance of CCP-aligned groups,” Republican representatives Brett Guthrie, Gus Bilirakis, and Richard Hudson said.
Chinese media outlets LatePost and Caixin reported that ByteDance would continue to be involved in international operations, raising questions about the extent of U.S. control.
TikTok, which has 170 million U.S. users, did not comment. Trump himself has over 15 million followers on the platform, while the White House launched an official account last month.
