TikTok Deal Reached with U.S. Buyer, Trump Administration Announces

Washington, D.C. —The future of the wildly popular social media app, TikTok, appears secure in the United States after the Trump administration announced a breakthrough "framework" deal with China. The agreement, which would transfer ownership of the app to a U.S. buyer, comes just days before a looming deadline for a nationwide ban that is set to take effect under the previous administration.

The deal was finalized during high-level trade talks in Madrid between U.S. and Chinese officials. According to U.S. Treasury Secretary Scott Bessent, there is a consensus on the commercial terms for a transfer of ownership from TikTok's Chinese parent company, ByteDance, to American investors. President Trump is expected to discuss the final details with Chinese President Xi Jinping in an upcoming phone call.

The announcement marks a significant shift from the previous administration, which banned the popular app over national security concerns, citing the potential for the Chinese government to unwittingly access American users' personal data, posing national security concerns. While the app has been on "life support" under a series of deadline extensions from the Trump administration, the new deal will provide a permanent resolution that satisfies U.S. security requirements while allowing the app to continue its operations.

Though the specific U.S. buyer has not been named, sources familiar with the negotiations have indicated that Oracle, led by its co-founder Larry Ellison, is a likely frontrunner to lead the investor group. The deal will likely require approval from the Republican-controlled Congress, which passed the law mandating the app's divestiture. "This deal wouldn't be done without proper safeguards for U.S. national security," said Treasury Secretary Scott Bessent, emphasizing that the agreement protects American interests.

The agreement resolves a protracted legal and political battle over the platform's future. The Trump administration has repeatedly declined to enforce the ban, concerned about alienating TikTok's millions of American users, particularly those in the Gen Z demographic.