TikTok Stays in the US: ByteDance Cuts Stake to { "type": "span", "text": "19.9%", "marks": ["stat"] } in New { "type": "span", "text": "TikTok USDS Joint Venture", "marks": ["keyword"] }

TikTok's long-running saga with the US government has finally reached its endgame. According to reports from The Verge, the platform has officially reorganized into a new entity known as TikTok USDS Joint Venture LLC. This strategic shift comes just over a year after the app briefly faced removal from app stores, following the divest-or-ban law signed by President Biden in 2024.

Breaking Down the TikTok USDS Joint Venture Ownership

To satisfy regulatory requirements from both Washington and Beijing, ByteDance has dramatically reduced its ownership stake to just 19.9%. The remaining 80.1% is now distributed among a consortium of heavy-hitting investors. Silver Lake, Oracle, and Abu Dhabi's MGX each hold a 15% stake as 'managing investors.'

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Other shareholders include Michael Dell's family investment firm and various smaller investors. This complex restructuring was finalized as of January 23, 2026, following a rigorous approval process that required the green light from both the US and Chinese authorities.

A Landmark Deal for Global Tech Governance

The transition to a joint venture model is seen as a way to maintain TikTok's massive presence in the US while addressing data sovereignty concerns. Oracle is expected to play a crucial role in managing the US user data, fulfilling the 'Project Texas' initiative within this new corporate structure. The move effectively prevents a total ban that would have impacted millions of American users and creators.