Friday, 23 January 2026 | Dubai, UAE [Posted at 10:13 pm]
After years of certainty around the TikTok ban in the US, the company has announced the formation of a new entity, TikTok USDS Joint Venture LLC, a majority American-owned company created to operate the platform’s US business. This move effectively ends the threat of a USA ban TikTok faced due to concerns over Chinese ownership.
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Who Are the New Owners of TikTok USA?
Overview: Ownership is now spread across major American and global investors, reducing ByteDance’s control.
Under the new deal, ByteDance retains a 19.9% stake, staying below the legal threshold. The new owners of TikTok USA include:
- Silver Lake – 15%
- Oracle – 15%
- MGX (UAE-based AI investment fund) – 15%
- Other investors: Dell Family Office, Susquehanna affiliates, General Atlantic, and more
This structure ensures the company is majority American-owned to satisfy US lawmakers while keeping TikTok operational.
The decision follows a 2024 law that required ByteDance to divest TikTok’s US operations or face a shutdown. With this new structure, the platform has complied without disappearing from American screens.
How Many Million Users of TikTok USA Are Impacted?
Overview: The scale of TikTok in the US made a ban nearly unthinkable.
The platform serves over 200 million users, making it one of the largest social networks in the country. Despite the near USA ban TikTok, the company remained the second most downloaded app in the US in 2025, according to Sensor Tower.
Here’s more impressive data about the platform:
- CapCut ranked 4th in downloads
- TikTok continued to dominate youth engagement
- Usage never meaningfully declined during the ban scare
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What Happens to TikTok Businesses in USA?
Overview: Millions of businesses now get clarity and long-term stability.
TikTok confirmed that 7.5 million TikTok businesses in USA will continue operating without disruption. This includes creators, advertisers, and sellers using TikTok Shop. Key points for businesses include:
- TikTok Shop and advertising stay active
- US commercial operations continue under the new entity
- 2025 US revenue hit $13.9 billion, up 26.2% YoY
- E-commerce and in-app purchases remain core growth drivers
For brands and creators, the end of the TikTok ban threat brings relief and renewed confidence.
Data Security, Algorithm Control, and Governance
Overview: National security concerns were central to the USA ban TikTok debate.
To address this, TikTok USDS will perform the following steps:
- Store US user data on Oracle’s secure cloud
- Undergo third-party cybersecurity audits
- Implement US-led content moderation and trust & safety policies
- Retrain the TikTok algorithm using US user data
The company will be governed by a seven-member and majority-American board, including TikTok CEO Shou Zi Chew. Adam Presser has been appointed CEO of the US entity.
Trump, China, and the Politics Behind the Deal
Overview: The deal is as political as it is commercial.
Former President Donald Trump publicly claimed credit for saving TikTok and thanked Chinese President Xi Jinping for approving the arrangement. Trump has repeatedly praised TikTok for helping him connect with younger voters and delayed enforcement of the ban multiple times.
China has not officially commented, but Trump’s remarks suggest high-level approval.
FAQs
1. Is the TikTok ban in the US fully over?
Yes, the new structure satisfies US legal requirements, avoiding a USA ban TikTok.
2. Who controls TikTok USA now?
The platform is controlled by a majority American-owned joint venture, with ByteDance holding only 19.9%.
3. Are TikTok businesses in USA safe?
Yes. Over 7.5 million businesses continue to operate without changes.
4. Why is MGX important for the UAE?
MGX, a UAE-based. AI investment fund owns 15%, giving the UAE a strategic stake in TikTok USA.
Conclusion
The end of the TikTok ban saga marks a rare moment where politics, business, and technology found a middle ground. With new owners of TikTok USA, stronger data safeguards, and uninterrupted access for 200 million users and millions of TikTok businesses in the USA.
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