TikTok confirmed Thursday that it has finalized an ownership restructuring establishing a majority American-owned entity committed to enhanced privacy protections for American users. The agreement emphasizes privacy alongside national security measures.
ByteDance, the Beijing-based technology company behind TikTok, has agreed to reduce its ownership stake to 19.9% in the American entity, while US investors control 80.1%. Oracle, Silver Lake, MGX, and Michael Dell’s firm create ownership supporting robust privacy protection programs complementing security measures.
The deal addresses the reality that user privacy and national security overlap—protecting user data from unauthorized foreign government access also protects individual privacy from surveillance. American ownership enables implementing American privacy standards and practices that may provide stronger protection than alternative frameworks. Enhanced privacy protection becomes both a security measure and a user benefit.
Leadership of the American entity falls to Adam Presser as CEO, whose trust and safety background includes privacy protection programs. His experience developing privacy measures positions him to enhance protections under American ownership. The seven-member board provides oversight ensuring privacy receives appropriate priority. Shou Chew participates within this privacy-enhanced framework.
The new US entity implements enhanced privacy protections: comprehensive data minimization limiting collection to necessary information, strong access controls restricting who can view user data, encryption protecting data in transit and at rest, transparent privacy policies explaining data practices, user controls enabling privacy management, and regular privacy audits verifying compliance. These privacy measures complement security protections—both limit data exposure. The recommendation algorithm operates with privacy-preserving techniques minimizing data retention while maintaining functionality. American privacy law compliance becomes baseline, with enhanced protections exceeding minimum requirements. Both governments approved this privacy-enhanced approach.