TikTok has finalized a deal to create a new American entity, avoiding the looming threat of a ban in the United States that has been in discussion for years on the platform now used by more than 200 million Americans.
The social video platform company signed agreements with major investors including Oracle, Silver Lake and the Emirati investment firm MGX to form the new TikTok US joint venture. The new version will operate under “defined safeguards that protect national security through comprehensive data protections, algorithm security, content moderation and software assurances for US users,” the company said in a statement Thursday. American TikTok users can continue using the same app.
President Donald Trump praised the deal in a Truth Social post, thanking Chinese leader Xi Jinping specifically “for working with us and, ultimately, approving the Deal.” Trump add that he hopes “that long into the future I will be remembered by those who use and love TikTok.”
The Chinese government has not yet publicly commented on TikTok’s announcement. Earlier on Thursday and ahead of the statement, Liu Pengyu, spokesperson Chinese embassy in Washington, said “China’s position on TikTok has been consistent and clear.”
Adam Presser, who previously worked as TikTok’s head of operations and trust and safety, will lead the new venture as its CEO. He will work alongside a seven-member, majority-American board of directors that includes TikTok’s CEO Shou Chew.
The deal ends years of uncertainty about the fate of the popular video-sharing platform in the United States. After wide bipartisan majorities in Congress passed — and President Joe Biden signed — a law that would ban TikTok in the US if it did not find a new owner in the place of China’s ByteDance, the platform was set to go dark on the law’s January 2025 deadline. For a several hours, it did. But on his first day in office, President Donald Trump signed an executive order to keep it running while his administration sought an agreement for the sale of the company.
Apart from an emphasis on data protection, with US user data being stored locally in a system run by Oracle, the joint venture will also focus on TikTok’s algorithm. The content recommendation formula, which feeds users specific videos tailored to their preferences and interests, will be retrained, tested and updated on US user data, the company said in its announcement.
The algorithm has been a central issue in the security debate over TikTok. China previously maintained the algorithm must remain under Chinese control by law. But the US regulation passed with bipartisan support said any divestment of TikTok must mean the platform cuts ties — specifically the algorithm — with ByteDance. Under the terms of this deal, ByteDance would license the algorithm to the US entity for retraining.
The law prohibits “any cooperation with respect to the operation of a content recommendation algorithm” between ByteDance and a new potential American ownership group, so it is unclear how ByteDance’s continued involvement in this arrangement will play out.
“Who controls TikTok in the US has a lot of sway over what Americans see on the app,” said Anupam Chander, a professor of law and technology at Georgetown University.
Oracle, Silver Lake and MGX are the three managing investors, each holding a 15 percent share. Other investors include the investment firm of Michael Dell, the billionaire founder of Dell Technologies. ByteDance retains 19.9 percent of the joint venture.
TikTok finalizes a deal to form a new American entity
https://arab.news/gabd2
TikTok finalizes a deal to form a new American entity
- The social video platform company signed agreements with major investors including Oracle, Silver Lake and MGX to form the joint venture
- The company said in a statement that the new version will operate under “defined safeguards” with an emphasis on data protections and software assurances for US users
Saudi Media Forum urges ethical coverage as crises redefine Arab journalism
- Raw news without context can mislead audiences and distort credibility, experts say
RIYADH: Arab media was born in crisis and shaped by conflict rather than stability, Malik Al-Rougi, general manager of Thaqafeyah Channel, said during the Saudi Media Forum in Riyadh on Wednesday.
Al-Rougi was speaking during a panel titled “Media and Crises: The Battle for Awareness and the Challenges of Responsible Coverage,” which examined how news organizations across the region navigated credibility and professional standards amid fast-moving regional developments.
“Today, when you build a media organization and invest in it for many years, a single crisis can destroy it,” he said.
Referring to recent events, Al-Rougi said that he had witnessed news channels whose credibility “collapsed overnight.”
“In journalistic and political terms, this is not a process of news production. It is a process of propaganda production,” he said. “The damage caused by such a post … is enormous for an institution in which millions, perhaps billions, have been invested.”
When a media outlet shifts from professionalism and credibility toward “propaganda,” he added, it moves away from its core role.
“A crisis can work for you or against you,” Al-Rougi added. “When, in the heart of a crisis, you demonstrate high credibility and composure, you move light-years ahead. When you fail to adhere to ethical standards, you lose light-years as well.”
Abdullah Al-Assaf, professor of political media studies at Imam Muhammad bin Saud Islamic University, said that in many crises across the Arab world, agendas and directives had often prevailed over professionalism.
“Credibility was buried,” he added.
Hasan Al-Mustafa, writer and researcher at Al-Arabiya channel, said that raw information could be subject to multiple interpretations if not placed within a proper political, security, historical or geographical context.
He added that such an approach was urgently needed during periods of political and security volatility in the Middle East.
When, in the heart of a crisis, you demonstrate high credibility and composure, you move light-years ahead. When you fail to adhere to ethical standards, you lose light-years as well.
Malik Al-Rougi Thaqafeyah, Channel general manager
“This objectivity, or this reliability, is a great responsibility,” Al-Mustafa said. “It is reflected not only in its impact on the audience, but also on the credibility of the content creator.”
Al-Mustafa warned against populism and haste in coverage, saying that they risked deepening crises rather than providing informed public perspectives.
He also said that competition with social media influencers had pushed some traditional outlets to imitate influencer-driven models instead of strengthening their own professional standards.
“Our media has been crisis-driven for decades,” he said, describing much of the region’s coverage as reactive rather than proactive.
During a separate panel titled “The Official Voice in the Digital Age: Strategies of Influence,” speakers discussed how rapid technological and social changes were reshaping the role of institutional spokespersons.
Abdulrahman Alhusain, official spokesperson of the Saudi Ministry of Commerce, said that the role was no longer limited to delivering statements or reacting to events.
“Today, the spokesperson must be the director of the scene — the director of the media narrative,” he said.
Audiences, he added, no longer accept isolated pieces of information unless they were presented within a clear narrative and structure.
“In the past, a spokesperson was expected to deliver formal presentations. Today, what is required is dialogue. The role may once required defense, but now it must involve discussion, the exchange of views, and open, candid conversation aimed at development — regardless of how harsh the criticism may be.”
He said that spokespersons must also be guided by data, digital indicators and artificial intelligence to understand public opinion before speaking.
“You must choose the right timing, the right method and the right vocabulary. You must anticipate a crisis before it happens. That is your role.”
Abdullah Aloraij, general manager of media at the Riyadh Region Municipality, said that the most important skill for a spokesperson today was the ability to analyze and monitor public discourse.
“The challenge is not in transferring words, but in transferring understanding and impact in the right way,” he said.
