TikTok’s US algorithm will be run by Oracle after the sale. Here’s what it means for users, national security, and the future of the app.
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tiktok algorithm oracle us deal
The fate of TikTok in the United States has finally reached a turning point. The White House confirmed that Oracle will take control of TikTok’s algorithm for US users once the pending sale is finalized. This development addresses one of the biggest concerns surrounding the platform — the security and integrity of its powerful recommendation engine.
Why the TikTok Algorithm Matters
The TikTok algorithm is the driving force behind the app’s success. It curates personalized video feeds that keep users engaged for hours. But US officials feared that ByteDance, TikTok’s China-based parent company, could manipulate the algorithm on behalf of the Chinese government, raising national security risks.
To resolve this, Oracle will:
- Obtain a copy of the algorithm code from ByteDance.
- Retrain the algorithm on US user data.
- Monitor how content is distributed to American audiences.
This ensures compliance with the TikTok ban-or-sale law, which strictly prohibits any cooperation between ByteDance and US owners regarding the recommendation system.
The Deal Structure and Investors
Under the agreement:
- Oracle and Silver Lake will lead the investment.
- ByteDance will retain less than 20% ownership.
- Other US and global investors, including Fox Corp., may join.
- The company will be run by a majority American board.
President Donald Trump also mentioned potential involvement from tech leaders like Michael Dell and media executives connected to Fox Corp.
Regulatory Hurdles and Timeline
The deal is not fully finalized yet. It still requires:
- Chinese regulatory approval.
- Formal paperwork and executive orders in the US.
White House officials remain confident, with Press Secretary Karoline Leavitt saying the agreement is “100% done” and likely to be signed in the coming days. Trump has already extended the enforcement deadline until December 16, making early 2026 the likely completion date.
Oracle’s Expanding Role in TikTok
This move deepens Oracle’s relationship with TikTok:
- Oracle already stores TikTok’s US user data domestically.
- Now, it will also oversee algorithm operations.
- Oracle’s leadership shakeup, with Safra Catz stepping down as CEO, could pave the way for her to join the new TikTok-US venture.
The transition highlights Oracle’s growing influence in both cloud computing and social media oversight, positioning it as a critical player in the US technology landscape.
What This Means for US TikTok Users
For users, the biggest question is whether they will need to download a separate US version of TikTok. While officials have not confirmed this, it is clear that American users’ data and content recommendations will be handled entirely within the United States moving forward.
FAQs
Q1. Who will control TikTok’s algorithm in the US?
Oracle will control and monitor TikTok’s recommendation algorithm for American users once the deal is finalized.
Q2. Will ByteDance still own part of TikTok US?
Yes, ByteDance will retain less than 20% ownership but will not influence the algorithm or data.
Q3. Why was TikTok’s algorithm a concern for the US government?
Officials feared ByteDance could manipulate the recommendation engine to influence American public opinion, posing national security risks.
Q4. Will TikTok users in the US need a separate app?
It is still unclear whether a separate US app will be required, but the algorithm and user data will be fully managed within the US.
Q5. When will the TikTok sale be completed?
The deal is expected to be finalized by early 2026, pending regulatory approvals in both the US and China.
Conclusion
The decision to place TikTok’s algorithm under Oracle’s control marks a pivotal shift in the app’s US operations. It balances national security concerns with TikTok’s massive popularity, ensuring that American users’ data and feeds remain under domestic oversight.
As the deal awaits final approval, all eyes remain on whether US users will see a seamless transition or a new TikTok experience tailored specifically for America.
👉 What do you think about Oracle controlling TikTok’s algorithm? Share your thoughts in the comments!