Oracle will be playing a central role in safeguarding TikTok’s technology under a proposed divestment agreement, a senior Trump administration official said Monday. The arrangement would hand the U.S. tech firm a licensed copy of TikTok’s recommendation engine, placing its security operations under Oracle’s oversight.
At the heart of the negotiations is the algorithm developed by Beijing-based ByteDance, which has fueled global debate over whether Chinese authorities could influence what users see. U.S. officials have repeatedly argued the system is susceptible to covert manipulation, raising national security concerns.
“It wouldn’t be in compliance if the algorithm is Chinese. There can’t be any shared algorithm with ByteDance,” a spokesperson for the House Select Committee on China warned.
The White House, according to AP’s report, confirmed Oracle will conduct a “full inspection” of the code, monitor for irregularities, and retrain the recommendation system with American data to ensure it “behaves appropriately.” What remains unclear is whether this retraining will create a separate user experience for the U.S. market. However, Press Secretary Karoline Leavitt assured that “TikTok users in the U.S. will be able to see videos posted by users in other countries and vice versa.”
President Joe Biden had previously signed legislation mandating that ByteDance sell TikTok to an American-controlled company or face a nationwide ban. The new framework, expected to be signed this week, would allow Trump to grant a 120-day reprieve, giving both governments space to finalize the terms. China is also expected to approve the preliminary deal before it moves forward.
The structure of TikTok’s new U.S. operations remains only partially known. The joint venture’s board will consist mostly of Americans, with Oracle and private equity firm Silver Lake confirmed as participants. The U.S. government itself will not hold equity or a seat on the controlling committee.
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Although Trump has repeatedly extended the deadline during talks, he continues to frame the divestment as a necessary step to ensure the platform remains available in the United States. He discussed the matter directly with Chinese President Xi Jinping on Friday, the administration official revealed.
