⚖️ TikTok US Update

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TikTok’s U.S. Future in Flux

After years of back-and-forth between Washington and Beijing, President Donald Trump has signed an executive order approving the sale of TikTok’s U.S. operations to a consortium of American investors. The deal, reportedly valuing TikTok’s U.S. arm at around $14 billion, would see Oracle, Silver Lake, and Andreessen Horowitz take an 80% stake, while ByteDance retains minority ownership. Oracle is expected to manage data security, replicate a U.S.-based version of TikTok’s algorithm, and ensure ByteDance has no access to American user data.

The Players and the Stakes

This development follows years of legal battles, attempted bans, and competing bids that involved everyone from Microsoft and Walmart to MrBeast and Project Liberty’s Frank McCourt. The reported plan calls for a fresh U.S.-controlled platform that existing TikTok users would need to migrate to once finalized. The move illustrates how political pressure, international tensions, and national security concerns can shape not only who controls major tech platforms but also how their products are delivered to consumers.

What Founders Can Learn

For startup founders, TikTok’s saga is a vivid case study in “geo-political product risk.” No matter how strong your growth or product-market fit, regulatory pressure and ownership disputes can threaten the continuity of your business overnight. The takeaway: (1) build governance and compliance plans early, even if you’re small; (2) design data infrastructure with jurisdictional requirements in mind; and (3) communicate clearly with users about changes, since trust can vanish in moments of political uncertainty. Thinking ahead on these issues not only reduces risk but can also become a competitive advantage when courting investors or international partners.

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