Azernews.Az

by Alimat Aliyeva

TikTok, owned by ByteDance Ltd., announced the creation of a majority American-owned joint venture to ensure its continued operation in the United States, in line with an agreement first outlined by President Donald Trump last September, Azernews reports, citing foreign media.

The newly established TikTok USDS Joint Venture will be led by Adam Presser as CEO, with Will Farrell serving as Chief Security Officer. The venture will operate as an independent entity, overseen by a seven-member board that includes TikTok CEO Shou Chew, TPG Global senior adviser Timothy Dattels, Susquehanna International Group managing director Mark Dooley, Silver Lake co-CEO Egon Durban, DXC Technology CEO Raul Fernandez, Oracle executive VP Kenneth Glueck, and MGX Chief Strategy and Safety Officer David Scott.

ByteDance will retain a 19.9% stake in the venture, which will operate under strict safeguards designed to protect national security. These measures include comprehensive data protections, algorithm security, content moderation, and software assurances for U.S. users.

Experts suggest that the move reflects TikTok’s growing awareness of geopolitical pressures and regulatory scrutiny. Analysts also note that this structure could become a model for other foreign tech companies seeking to maintain a presence in the U.S. market without compromising on national security. Interestingly, the joint venture may allow TikTok to expand U.S.-specific features, including localized content moderation and new monetization tools for American creators, potentially giving it a competitive edge over rival platforms.