Trump signs executive order paving way for TikTok sale to U.S. investors

President Donald Trump signed an executive order Thursday that clears the way for the sale of TikTok’s U.S. operations to a consortium that includes Oracle co-founder Larry Ellison, Rupert Murdoch and his son Lachlan of Fox Corporation, and Dell Technologies founder Michael Dell. The move comes as officials seek to resolve years of national security concerns about the Chinese-owned app while preserving access for American users.

The order designates the arrangement a qualified divestiture under a bipartisan 2024 law that allows the president to ban or compel the sale of foreign-owned apps deemed security risks if a sale is not completed. Under the emerging plan, ByteDance would retain less than 20% ownership, while the U.S. spin-off would be controlled by the consortium of American investors. The deal’s framework also centers on a key demand from lawmakers: American investors would actually control the algorithm powering the platform.

At the White House signing ceremony, Trump pressed the broader point that the platform should not become an echo chamber for his political movement. “I always like MAGA-related. If I could, I’d make it 100% MAGA related,” he said. “But it’s not going to work out that way. Unfortunately, no, everyone’s going to be treated fairly. Every group, every philosophy, every policy, will be treated very fairly.” The remarks underscore the tension between national-security aims and concerns about political bias on a platform with a large and diverse user base.

Vice President J.D. Vance, who led negotiations with ByteDance, framed the agreement as a national-security win. “We wanted to keep TikTok operating, but we also wanted to make sure that we protected Americans’ data privacy as required by law,” he said at the signing ceremony. “This deal really does mean that Americans can use TikTok, but actually use it with more confidence than they have in the past because their data is going to be secure, and it's not going to be used as a propaganda weapon against our fellow citizens.” He added that the restructured company would be valued at around $14 billion.

The Biden administration had previously pressed ByteDance to divest TikTok’s U.S. operations, negotiating on a plan that would have placed American user data under tighter domestic oversight. In 2024, Biden signed a bipartisan law that gave presidents explicit power to ban or force the sale of foreign-owned apps deemed security risks—the authority Trump is now using to bless a deal that hands TikTok to a consortium of U.S. investors rather than shuttering the app entirely. TikTok briefly went dark in January before Trump directed his administration not to enforce a pending ban on his first day back in the White House. TikTok CEO Shou Zi Chew attended Trump’s inauguration and was seated in a prominent position on the dais alongside cabinet members and other tech leaders.

As the talks proceed, several questions remain unresolved. Key details—including the full lineup of investors and remaining regulatory approvals—could shape whether the plan unfolds as envisioned. The deal’s health is also a matter of broader political debate about platform governance and potential bias on a service used by tens of millions of Americans. Pew Research Center has noted that 43% of adults under 30 get their news from TikTok, a fact that commentators say underscores why the government views the platform as a critical space for information and influence.