TikTok's Algorithm Retrained in U.S. to Block Chinese Influence

The White House has confirmed that Oracle will manage TikTok’s security operations for U.S. users under a proposed deal to transfer the app’s American assets to a majority U.S.-owned entity. Under the agreement, Oracle will oversee the app’s content recommendation algorithm, a critical component of TikTok’s functionality, and ensure its secure operation within the United States. The algorithm, currently owned by TikTok’s Chinese parent company ByteDance, will be retrained using U.S. user data and monitored for abnormal behavior to address national security concernstitle1^[1]. This arrangement aligns with the requirements of the 2024 bipartisan law mandating ByteDance to divest its U.S. operations or face a bantitle2^[2].

The deal involves a new joint venture led by a consortium of majority U.S. investors, including Oracle and private equity firm Silver Lake. The group will hold at least 80% ownership of the U.S. operations, with ByteDance retaining a minority stake of less than 20%. Oracle’s role will extend beyond algorithm oversight to include managing TikTok’s U.S. user data, which will be stored on Oracle servers within the country. The White House emphasized that all data handling will be “secured” to prevent access by ByteDance or Chinese authoritiestitle3^[3].

White House officials highlighted that the algorithm’s retraining on U.S. data aims to ensure it “behaves appropriately” and is not susceptible to manipulation by external actors. The algorithm, responsible for curating content based on user interactions and preferences, will be continuously monitored by Oracle. A senior official stated that this process will involve “fully inspecting” the algorithm to verify its compliance with U.S. security standardstitle4^[4]. The arrangement also addresses tensions between U.S. and Chinese regulatory requirements, as Chinese law mandates algorithmic control remain in Beijing, while U.S. law prohibits operational ties between the new ownership group and ByteDancetitle5^[5].

The investor group’s structure includes a board of directors with a majority of American members, as confirmed by White House officials. While full details of the consortium remain undisclosed, President Donald Trump has publicly referenced potential involvement from figures such as Michael Dell and the Murdoch family. However, the White House clarified that the U.S. government will not hold equity stakes or board representation in the new entitytitle6^[6]. The deal also includes a 120-day reprieve from the enforcement of the ban-or-sale law, allowing time for regulatory approvals and documentation to be finalizedtitle7^[7].

President Trump, who has extended the deadline for the deal multiple times, is expected to sign an executive order later this week certifying the agreement as compliant with national security requirements. White House Press Secretary Karoline Leavitt stated that the deal is “likely to be signed in the coming days,” concluding years of negotiations to address concerns over TikTok’s Chinese ownershiptitle8^[8]. The U.S. government has not yet decided whether to accept a financial stake in the transaction, though it will not hold a “golden share” or direct equity in the new companytitle9^[9].

The proposed arrangement has drawn mixed reactions. While officials argue it safeguards U.S. data and mitigates risks of foreign influence, critics remain skeptical about the feasibility of maintaining a globally interoperable TikTok experience. The White House confirmed that U.S. users will still access content from international users, but questions persist about whether the retrained algorithm will necessitate a separate U.S.-specific app versiontitle10^[10].