00:00ByteDance confirms it finalizes a deal to create a majority-American-owned joint venture,
00:06a move aimed at securing U.S. user data and preventing a nationwide ban of TikTok.
00:12The agreement restructures TikTok's U.S. operations under a new entity
00:16at a time when the platform is used by more than 200 million people across the United States.
00:24It marks a significant breakthrough after years of political and regulatory disputes
00:29over the app's ownership and data security.
00:32Those tensions date back to August 2020 when President Donald Trump sought to ban TikTok
00:38on national security grounds, citing concerns over its Chinese ownership.
00:43Under the new arrangement, TikTok-USDS Joint Venture LLC will be responsible for safeguarding
00:49U.S. user data, applications and algorithms, with ByteDance stating that enhanced privacy
00:55protections and cybersecurity measures will be put in place.
00:58Trump welcomed the agreement in a social media post, saying TikTok would now be controlled
01:03by American investors and major domestic stakeholders.
01:07Under the terms of the agreement, American and international investors will collectively
01:12hold 80.1% of the new venture, while ByteDance will retain a 19.9% stake.
01:19The three managing investors are Oracle, Silver Lake and MGX, each holding a 15% share.
01:25The fourth plan is to 21.3%.
