In the US on Thursday, the joint venture 'TikTok USDS Joint Venture LLC' was officially created, transferring the operations of the TikTok video platform in the United States, reports LETA citing DPA and AFP.
The previous owner — the China-based group ByteDance — will hold 20% of the new joint venture, according to a statement from the enterprise.
The agreement to create the new joint venture, which will primarily be owned by American investors and will manage the operations of the video platform TikTok in the US, was signed in December. This deal was finalized on Thursday.
TikTok's parent company — ByteDance, headquartered in Beijing — has been in a state of uncertainty for several months regarding the video platform's activities in the US, where it has around 170 million users.
In 2024, the US Congress passed a law for national security reasons, requiring the Chinese company ByteDance to either sell the highly popular platform or shut it down.
Donald Trump, upon entering his second term as President of the United States, signed an order that delayed the enforcement of the law banning TikTok operations in the US for 75 days. He later extended this deadline several times until the agreement to create the aforementioned joint venture was reached.
TikTok USDS will serve over 200 million users and 7.5 million businesses, implementing strict guarantees for data protection, algorithm security, and content moderation.
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