An executive order signed by the U.S. President, Donald Trump, approved a deal where TikTok Operations would be sold off, otherwise banning the platform in the United States.
The deal suggests that the platform abide by the U.S law or face a ban, unless it is sold off to a non-Chinese Company. An MGX investment fund based in Abu-Dhabi, Silver Lake and Oracle will be supervising TikTok operations in the United States. ByteDance, TikTok’s parent company, will be keeping less than 20% meaning that the joint-venture will be gaining a 45% stake in TikTok while new stakeholders and investors of ByteDance will only hold 35%.
The TikTok operations in the United States will have a $14 billion value. Oracle will supervise the platform’s security operations and supply the TikTok U.S. company with cloud computing services. Due to the PAFACA of 2024, TikTok has been banned, but the President has been delaying the ban from taking effect.
