US President Donald Trump on Thursday signed an order approving a deal that splits TikTok’s US operations from its Chinese parent company.
The agreement keeps the popular app alive in the US more than a year after lawmakers passed a bill that would ban TikTok unless Chinese owner ByteDance divests its US operations. The US app will be valued at $14 billion, with ByteDance still owning just under 20%, while a consortium led by Oracle and Abu Dhabi’s tech investment fund MGX will control 80%.
Some China-skeptical lawmakers want a complete ban or severance from ByteDance, and MGX’s involvement could further fuel concerns over foreign influence. Trump gave officials four months to finalize the deal, which could still fall apart over US-China tensions.
