Security
Trump Takes Action: Rescuing TikTok from the Ban

President Trump Signs Executive Order Recognizing TikTok Deal
President Donald Trump has officially signed an executive order acknowledging a potential deal between ByteDance and the United States that aims to comply with the TikTok divest-or-ban law. The agreement values TikTok’s US operations at a substantial $14 billion and will transfer control to US-based companies.
Positive Response from President Xi Jinping
During a briefing, President Trump revealed that he had a productive conversation with President Xi Jinping regarding the deal. President Xi expressed his approval by saying, “Go ahead with it,” in response to Trump’s explanation of the arrangement.
Key Terms of the TikTok Deal
As part of the deal, TikTok will be primarily owned and managed by US-based companies. The executive order mandates the establishment of a new board of directors for TikTok’s US operations, responsible for adhering to regulations safeguarding American data and national security. Additionally, the deal stipulates that TikTok’s recommendation algorithm, code, and content moderation system in the US will be overseen by its new owners.
Stakeholder Distribution in the Deal
According to CNBC’s David Faber, Oracle, Silver Lake, and MGX, based in Abu Dhabi, will collectively hold a 45 percent stake in TikTok’s US entity. Investors from ByteDance, TikTok’s parent company in China, will retain a 35 percent share in the US operations.
Content and Algorithm Control
When questioned about the content that TikTok’s algorithm will display, President Trump expressed a desire for a strong representation of MAGA-related content. However, he acknowledged the necessity for fair treatment of all groups, philosophies, and policies within the platform.
Extension of Deadline and Negotiations
President Trump has repeatedly postponed the deadline for TikTok’s divestment from its Chinese parent company as discussions progressed. Recent statements indicate progress in the negotiations, with the administration expressing confidence in finalizing the deal.
Political Shifts and Public Opinion
The evolution of the TikTok ban issue reflects changing political dynamics, with bipartisan support for the divest-or-ban law emerging under the Biden administration. Critics raised concerns about potential surveillance and propaganda risks associated with TikTok, advocating for a complete sale. President Trump’s softened stance, influenced in part by his popularity on the platform and considerations for the 2024 presidential election, led to a more flexible approach.
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