00:00China-based ByteDance on Thursday said it had finalized a deal to establish a majority
00:07American-owned joint venture that will secure U.S. data to avoid a ban in the United States
00:13on the TikTok short video app used by over 200 million Americans.
00:18The deal is a milestone for the company after years of battles when the U.S. Congress tried
00:23to ban TikTok over national security concerns. ByteDance said TikTok-USDS joint venture limited
00:31liability company will secure U.S. user data, apps, and algorithms through data privacy
00:37and cybersecurity measures. The joint venture's three managing investors are Oracle, SilverLake,
00:44and MGX, with each holding 15 percent of the company. Details of the deal are in line with
00:51those outlined in September last year, when the U.S. administration delayed until January 23rd
00:57enforcement of a law that would ban the app unless its Chinese owner sold it. The company also said
01:04investors in the venture include Dell Family Office, Vastmir Strategic Investments, Alpha Wave Partners,
01:10and Revolution. The agreement provides for American and global investors to hold 80.1 percent of the
01:17venture, while ByteDance will own 19.9 percent. Adam Presser and Will Ferrell have been appointed
01:24CEO and Chief Security Officer, respectively, while Shuchu will lead the company's global businesses
01:30and strategy.
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