US President Donald Trump has signed an executive order approving the sale of TikTok’s US operations to American and international investors. The decision, valued at around $14 billion, is designed to meet national security requirements under a 2024 law.
Trump announced that the order delays the enforcement of the law banning TikTok until January 20. This gives time for restructuring TikTok’s US operations and securing investment. He stressed that the move will protect user data while keeping the app active for its 170 million American users.
Vice President JD Vance confirmed the valuation of TikTok’s US business at $14 billion, far below previous market estimates. The executive order also outlines that TikTok’s recommendation algorithm will be retrained and monitored by US security partners. The algorithm will remain under the control of the new American-led entity.
Trump revealed that he had spoken with Chinese President Xi Jinping, who expressed support for the deal. He added that the company would now be “American-operated all the way.” Several leading investors, including Michael Dell and Rupert Murdoch, are expected to participate in the new structure.
However, questions remain about ByteDance’s involvement. Reports from Chinese media suggest the parent company may still play a role in operations such as e-commerce and branding. Analysts also warn that control over TikTok’s algorithm, considered its most valuable asset, is not fully clarified in the order.
Investors like Oracle, Silver Lake, and Abu Dhabi-based MGX are expected to take significant stakes in TikTok US. The new board will have seven members, six of whom will be American, while ByteDance will appoint one.
Trump also credited TikTok with influencing US politics, noting his 15 million followers on the platform. With this agreement, Trump aims to secure TikTok’s future in America while ensuring compliance with security laws.
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