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TikTok avoids US ban via Joint Venture

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ByteDance and the U.S. government announced a TikTok USDS Joint Venture LLC that will run the app’s American operations. The venture, majority‑owned by the United States, gives U.S. officials control over the algorithm, data handling and content‑moderation policies, aiming to keep the platform online after months of ban threats ongoing.

Under the deal, TikTok will store U.S. user data in Oracle’s cloud environment and subject its recommendation engine to regular retraining and testing. Officials say the joint venture will enforce “comprehensive data privacy and cybersecurity measures,” while retaining authority over trust‑and‑safety rules and the broader U.S. content ecosystem.

Senator Edward J. Markey warned that the agreement “raises many more questions than answers,” citing a lack of detail on whether the algorithm is truly free of Chinese influence. He is urging Congress to launch an investigation, so observers will watch for any legislative push to tighten oversight of the joint venture.