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TikTok Pushes U.S. Venture With Oracle as Deadline Nears

TikTok Pushes U.S. Venture With Oracle as Deadline Nears

by | Jan 23, 2026 | Technology | 0 comments

TikTok is pushing forward with plans for a potential U.S.-based venture involving Oracle as the company faces a looming deadline to comply with American security requirements. The move comes as U.S. lawmakers and officials continue to scrutinise the app’s ownership structure and data handling practices.

According to people familiar with the discussions, the proposal would give Oracle a larger operational role in managing TikTok’s U.S. user data. As a result, TikTok hopes the arrangement will address long-standing concerns raised by American authorities.

🛡️ Security Concerns Drive Negotiations

U.S. officials have repeatedly raised concerns about TikTok’s ties to its Chinese parent company, ByteDance. They argue that Chinese laws could allow the government in Beijing to access user data or influence the platform’s operations.

Therefore, TikTok has sought to reassure regulators by proposing stronger safeguards. These include storing U.S. data on domestic servers and limiting access to sensitive information. Oracle already hosts TikTok’s U.S. user data under an existing agreement.

🏛️ Political Pressure Intensifies

Pressure on TikTok has increased as U.S. politicians push for a final resolution. Lawmakers have warned that failure to meet security demands could result in a ban or forced divestment of TikTok’s U.S. operations.

Meanwhile, TikTok has continued to insist that it operates independently and that it has never shared U.S. user data with Chinese authorities. However, scepticism remains strong across both major political parties.

💼 What the Oracle Role Could Mean

Under the proposed structure, Oracle would play a central role in overseeing data security and technology infrastructure. Supporters of the plan say this could give U.S. officials greater confidence in how TikTok operates domestically.

At the same time, critics argue that increased oversight alone may not fully resolve concerns tied to ownership. Consequently, negotiations have remained complex and sensitive.

📊 Key Elements Being Discussed

People briefed on the talks said the discussions have focused on several core areas:

  • Oversight of U.S. user data storage and access
  • Oracle’s expanded role in operational controls
  • Compliance with American national security requirements
  • Long-term governance of TikTok’s U.S. business

These elements are central to whether U.S. authorities will accept the proposal.

Deadline Approaches

The talks come as TikTok faces a tight timeline to secure approval. Failure to finalise a deal could trigger enforcement actions under existing U.S. legislation aimed at foreign-owned technology platforms.

As the deadline approaches, TikTok has increased engagement with policymakers while continuing negotiations with Oracle. However, officials have not indicated whether the proposal will ultimately satisfy regulatory demands.

🔮 Uncertain Outcome Ahead

Although discussions continue, the outcome remains uncertain. U.S. authorities have yet to signal whether they would accept a structure that stops short of a full divestment.

For now, TikTok continues to operate in the U.S. while working to convince regulators that the proposed venture offers sufficient safeguards.

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