TikTok completes deal to create new US agency and avoid ban

TikTok’s parent company, ByteDance, owns it signed a contract and a group of non-Chinese investors to create more American businesses to keep the development program in the US.

Adam Presser, who was TikTok’s head of operations and trust and security, will become the CEO of TikTok USDS Joint Venture LLC. TikTok CEO Shou Chew will serve as director.

Three business managers, Oracle, the Silver Lake firm, and Abu Dhabi-based investment company MGX, will each own 15%. Other investors include Michael Dell’s family business, along with several small investors.

The TikTok USDS Joint Venture “will operate in a secure manner that protects national security through comprehensive data protection, algorithmic security, content control, and program verification for US users,” TikTok said.

The union will operate as an independent body governed by seven members. In addition to Chew, the board includes Timothy Dattels, senior advisor of investment firm TPG Global, Mark Dooley of Susquehanna International Group, Co-CEO of Silver Lake Egon Durban, CEO of DXC Technology Raul Fernandez, Kenneth Glueck of Oracle, and David Scott of MGX.

Trump celebrated the deal in a post on Truth Socialsaying that the program “will now belong to the group of Great American Patriots and Investors, Biggest in the World, and it will be a voice that matters.”