US Approves Oversight Framework for TikTok, Oracle and Silver Lake to Manage Operations

The United States has cleared a new framework to oversee TikTok’s American operations, seeking to address long-standing national security concerns tied to the app’s Chinese ownership. Under the plan, technology giant Oracle and investment firm Silver Lake Partners will manage TikTok’s US operations, including sensitive aspects of its algorithm and data handling.

As part of the agreement, Oracle will gain access to a licensed version of TikTok’s recommendation algorithm, ensuring that it is retrained and maintained using data generated exclusively in the US. This arrangement is intended to safeguard against potential foreign interference or manipulation of content, a concern repeatedly raised by US officials regarding TikTok’s parent company, ByteDance.

ByteDance will be allowed to retain no more than a 20% stake in the newly structured US entity, though its influence will be significantly limited, particularly on security and operational matters. The framework also anticipates potential investments from high-profile figures such as Rupert Murdoch and Michael Dell.

The proposal still requires approvals from regulators in both the US and China. An executive order from President Donald Trump is expected to formalize the arrangement, though Beijing’s stance on allowing ByteDance to share algorithmic rights remains uncertain.

Officials have emphasized that TikTok’s user experience in the US will remain largely unchanged. However, experts caution that retraining algorithms with localized data may subtly alter recommendation patterns and user engagement.

The agreement highlights Washington’s growing efforts to ensure greater transparency and security in digital platforms operated by foreign entities. If fully implemented, the deal could become a precedent for how the US manages security oversight in technology platforms with global ownership, reinforcing the intersection of national security, technology regulation, and geopolitics.