TikTok Forms Majority US-Owned Venture to Avoid Ban Threat

TikTok has announced the formation of a new majority American-owned joint venture aimed at securing its future operations in the United States and avoiding a potential nationwide ban tied to concerns over Chinese ownership.

The newly established entity, TikTok USDS Joint Venture LLC, will oversee TikTok’s US business and serve more than 200 million American users along with 7.5 million businesses that rely on the platform for marketing, commerce, and audience engagement.

According to the company, the joint venture is designed to address longstanding national security and data privacy concerns raised by US regulators. TikTok stated that the new structure will implement enhanced safeguards for user data protection, algorithm security, and content moderation, ensuring that sensitive information is handled within the United States under American oversight.

The move represents a strategic effort by TikTok to align more closely with US regulatory expectations while maintaining continuity for creators, advertisers, and businesses that depend on the platform. By placing operational control in a US-based, majority American-owned entity, TikTok aims to demonstrate transparency, accountability, and compliance with evolving digital governance standards.

Industry analysts note that this development could ease regulatory pressure while setting a precedent for how global technology companies navigate cross-border ownership concerns. If approved by US authorities, the joint venture may significantly reduce the likelihood of a TikTok ban and stabilize the platform’s long-term presence in the American market.

TikTok emphasized that it remains committed to user safety, free expression, and innovation, stating that the joint venture will allow it to continue investing in the US digital economy while meeting government security requirements.