TikTok Deal: Oracle, MGX, Silver Lake Buy 80% Stake

After six years of legal uncertainty and congressional scrutiny, TikTok has announced a landmark deal that reshapes ownership of the app. The agreement brings together Oracle, Emirati investment firm MGX, Silver Lake, and Michael Dell’s investment entity to own more than 80% of a new U.S. TikTok venture valued at $14 billion. ByteDance, the Chinese parent company, will retain just under 20% ownership and continue licensing TikTok’s algorithm to the new entity.

National Security Compromise

The deal directly addresses mounting national security concerns about Beijing’s potential access to the app’s 200 million American users. Regulators worry the app could be weaponized for surveillance or manipulation. Adam Presser, TikTok’s former operations head, will lead the restructured U.S. company. President Trump, who repeatedly delayed enforcement of the ban law, publicly celebrated the announcement: “I am so happy to have helped in saving TikTok!”

Concerns Remain Over Algorithm Control

Despite the ownership restructuring, security experts remain skeptical. Critics argue that ByteDance’s retention of the algorithm—the app’s most valuable asset—fails to fully resolve national security risks. Michael Sobolik, analyst at the Hudson Institute, stated: “They may have saved TikTok, but the national security concerns are still going to continue.” The arrangement walks a delicate line between preserving the platform and addressing government oversight demands, though questions about long-term data protection persist.