Ongoing negotiations between the United States and TikTok are moving toward an agreement that would transfer control over data processing, algorithm management, and the composition of the board that oversees the app's operations in the country to American entities.
White House sources said that, according to the agreement under negotiation, American user data would be stored in the US on a cloud platform managed by Oracle. The algorithm responsible for content recommendations and ranking would also be restructured and operated within the US, outside the direct reach of its Chinese owner, ByteDance, according to Reuters.
In an interview with Fox News on Saturday (20), press secretary Karoline Leavitt said that TikTok's board in the United States would have seven members, of which six would be American representatives. Oracle, Leavitt added, would play a central role in managing privacy and safeguarding data.
According to the White House, the talks included figures such as U.S. Treasury Secretary Scott Bessent and Chinese Vice Premier He Lifeng, in a meeting held in Madrid. The outlined agreement would function as a "framework agreement" that would require ByteDance to substantially reduce its stake in the U.S. operation, capped at a maximum of 20%.
The Chinese government, however, has not yet given its approval to the plan. In an official statement, Beijing confirmed that the topic was discussed during the meeting between Presidents Donald Trump and Xi Jinping, but made no mention of any formal approval of the agreement.
