President Donald Trump has announced that a deal is in place to keep the popular app TikTok running in the United States. This news follows months of uncertainty and fears that the platform, used by millions of Americans, would be shut down.
“We have a deal on TikTok, I’ve reached a deal with China. I’m going to speak to President Xi on Friday to confirm everything,” Trump told reporters.
Why the Uncertainty?
The drama surrounding TikTok began with national security concerns. The app, owned by Chinese company ByteDance, was labeled a significant threat because of fears that the Chinese government could access user data.
To resolve this, the US administration demanded that ByteDance sell TikTok's American operations. The ban was first announced in January but had been repeatedly delayed by the president.
What's in the New Deal?
The new arrangement will see a mix of existing and new investors take a stake in TikTok's US operations.
A key part of the deal is that Oracle will continue to host TikTok's servers in the US, which should address lawmakers' worries about data security.
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The ban was previously delayed several times.
The latest deadline for a deal is December 16.
The new agreement is expected to be finalised within 30 to 45 days.
Broader Trade Talks
A US delegation has said a "framework" agreement has been reached, a point confirmed by China.
According to Wang Jingtao, deputy head of China’s cyberspace administration, the TikTok deal will also involve licensing its algorithm and intellectual property.
This part of the arrangement will require approval from the Chinese government.
A Roller Coaster Ride
The future of TikTok in the US has been a tense ride. At one point, the app even went offline briefly in January after the Supreme Court upheld a 2024 law that would have banned it. However, it quickly returned after a delay was announced.
With the new December deadline in place, the fate of TikTok remains closely linked to both business discussions and the wider political relationship between Washington and Beijing.
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