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TikTok US joint venture formally established to comply with regulatory requirements

Jingyue Hsiao, DIGITIMES Asia, Taipei 0

Credit: AFP

TikTok USDS Joint Venture LLC has been officially established to meet the requirements of the Executive Order signed by US President Donald Trump on September 25, 2025. The move aims to ensure that more than 200 million US users and 7.5 million businesses can continue using TikTok while adhering to US regulatory standards.

According to an official press release on January 23, the joint venture, majority-owned by American investors, is structured to implement safeguards for data security, algorithm integrity, content moderation, and software assurance. US user data will be stored in Oracle's secure US cloud environment, and the joint venture will operate a data privacy and cybersecurity program audited and certified by third-party experts. The program will follow standards including NIST CSF and 800-53, ISO 27001, and CISA Security Requirements for Restricted Transactions.

The joint venture will also retrain, test, and update TikTok's content recommendation algorithm using US user data, secure the software for US apps, and oversee trust and safety policies and content moderation. The US entity will operate independently while maintaining interoperability with global TikTok services, allowing US users, creators, and businesses to access the platform's global features.

The joint venture is governed by a seven-member board with a majority of American directors. Shou Chew, TikTok's global CEO, and other executives from Silver Lake, Susquehanna International Group, Oracle, and MGX hold board positions. Adam Presser has been appointed CEO of the joint venture, with Will Farrell serving as Chief Security Officer.

Investors in the venture include Silver Lake, Oracle, and MGX, each holding 15%, alongside other institutional and family office investors. ByteDance retains a 19.9% stake. The joint venture's oversight extends to TikTok apps, including CapCut and Lemon8.

According to the announcement, the joint venture's mandate covers protecting US user data, software assurance, algorithm security, and content moderation. It is designed to provide compliance with US regulatory requirements while allowing TikTok to continue its operations and business activities in the US.

Article edited by Jack Wu