Techcrunch
ByteDance has established a new US entity for TikTok's operations, with non-Chinese investors owning approximately 80% of the stake, following US legislative mandates to address data privacy and foreign control concerns. Key investors in this new structure include Oracle, Silver Lake, and MGX.
AI 生成摘要
為回應美國的數據隱私和外國控制擔憂，TikTok 的中國母公司字節跳動已成立新的美國實體來營運其美國業務，其中非中國投資者持有約 80% 的股份。此新結構的主要投資者包括 Oracle、Silver Lake 和 MGX。
Latest
AI
Amazon
Apps
Biotech & Health
Climate
Cloud Computing
Commerce
Crypto
Enterprise
EVs
Fintech
Fundraising
Gadgets
Gaming
Government & Policy
Hardware
Layoffs
Media & Entertainment
Meta
Microsoft
Privacy
Robotics
Security
Social
Space
Startups
TikTok
Transportation
Venture
Staff
Events
Startup Battlefield
StrictlyVC
Newsletters
Podcasts
Videos
Partner Content
TechCrunch Brand Studio
Crunchboard
Contact Us
ByteDance, TikTok’s Chinese parent company, recently established a separate American entity to run the app’s U.S. operations. This restructuring aims to separate U.S. TikTok from its Chinese parent, addressing concerns about data privacy and foreign control.
The move came after years of pressure from lawmakers, who feared the Chinese government’s potential access to Americans’ data. In 2024, Congress enacted a law, mandating that TikTok’s U.S. operations be separated from ByteDance.
Under the new structure, about 80% of the U.S. TikTok entity is owned by non-Chinese investors, with ByteDance keeping only a 19.9% share. The newly formed entity, “TikTok USDS Joint Venture LLC,” licenses TikTok’s recommendation algorithm from ByteDance and independently manages content moderation, and oversees data protection, algorithm security, and software controls.
The managing investor group consists of Oracle, the private equity firm Silver Lake, and the investment firm MGX. Each holds a 15% stake, totaling 45% of the U.S. business. Here’s what you should know about them.
Oracle is a leading cloud computing and database firm that collaborates with top companies, such as OpenAI. Oracle previously attempted to acquire TikTok and already provides cloud infrastructure for the app, managing its U.S. user data.
Under the new deal, Oracle serves as the security partner, auditing TikTok’s compliance with U.S. security requirements, managing data storage, and overseeing updates to the content recommendation algorithm.
It’s important to note that Oracle co-founder Larry Ellison, now the company’s executive chairman and chief technology officer, is a prominent billionaire with known connections to President Trump.
MGX is an AI-focused investment firm based in the United Arab Emirates, which invests in semiconductors and data centers. The firm was created by Mubadala (Abu Dhabi’s sovereign wealth fund) and G42, an Emirati AI company.
MGX’s stake in U.S. TikTok could give the firm influence over key decisions shaping TikTok’s AI direction. The firm already backs Elon Musk’s xAI, Anthropic, and OpenAI, and contributed to a $100 billion AI data center initiative announced by President Trump, in which Oracle is participating as well.
It’s also worth pointing out that MGX has partnerships with Microsoft and BlackRock.
Silver Lake, a leading U.S. private equity firm, has long invested heavily in technology companies, including Airbnb, Twitter, Dell Technologies, Tesla, and Waymo. Its role in U.S. TikTok is primarily financial and strategic, offering capital and expertise to help shape the platform’s direction.
Notably, Silver Lake has collaborated with MGX in the past, including during the acquisition of a majority stake in the software and chip company Altera last year. Additionally, Silver Lake has invested in G42 since 2021.
Topics
Lauren covers media, streaming, apps and platforms at TechCrunch.
You can contact or verify outreach from Lauren by emailing [email protected] or via encrypted message at laurenforris22.25 on Signal.
Tickets are live at the lowest rates of the year. Save up to $680 on your pass — and if you’re among the first 500 registrants, score a +1 pass at 50% off.Meet investors. Discover your next portfolio company. Hear from 250+ tech leaders, dive into 200+ sessions, and explore 300+ startups building what’s next. Don’t miss these one-time savings.
Anthropic launches interactive Claude apps, including Slack and other workplace tools
This founder cracked firefighting — now he’s creating an AI gold mine
TikTok users freak out over app’s ‘immigration status’ collection — here’s what it means
Researchers say Russian government hackers were behind attempted Poland power outage
Here’s what you should know about the US TikTok deal
Microsoft gave FBI a set of BitLocker encryption keys to unlock suspects’ laptops: Reports
Capital One acquires Brex for a steep discount to its peak valuation, but early believers are laughing all the way to the bank
© 2025 TechCrunch Media LLC.