TikTok’s US operations are set to be controlled by a consortium including Oracle, Silver Lake and Andreessen Horowitz, with American investors holding around 80 per cent and Chinese shareholders the remainder, the Wall Street Journal reported on Tuesday.

A new US-based company will operate TikTok, featuring an American-dominated board and one member appointed by the US government. The move is intended to address national security concerns and follows high-level US-China talks in Madrid.

ByteDance’s stake would be capped below 20 per cent, with existing American backers holding roughly 30 per cent and Oracle and partners about 50 per cent. Oracle already provides TikTok’s cloud hosting under “Project Texas” and its involvement strengthens its infrastructure role.

Key issues remain over TikTok’s recommendation algorithm and regulatory approval. The deal is expected to be discussed by Presidents Trump and Xi later this week.

If approved, TikTok could continue operating in the US under largely American ownership; failure could reignite threats of a nationwide ban.

Source: Agencies