Usa and China close to an agreement on Tiktok: new American company with Oracle, data under the US control and less bytedance power.
After months of negotiations, Washington and Beijing approach a preliminary agreement on Tiktok. The Wall Street Journal writes it, explaining that, according to a high official of the White House, President Trump should approve it with an executive order by the end of the week.
What does the agreement provide?
The understanding would provide for the creation of a new entity to manage the platform in the United States: a consortium of new investors, including the private equity company Silver Lake and Oracle, would determine about half of it, while the current shareholders, such as the Trading Company Susquehanna International, would clean up about 30%. The share of Bytedance, Tiktok’s parent company, would drop below 20% to conform to a 2024 law, which requires the company to conclude an agreement or to cease the activity in the USA.
Here’s how the algorithm will change
According to the American newspaper, BYTDANCE would reprogram a new version of the algorithm, under the supervision of Oracle – whose co -founder is Larry Ellison, one of the main allies of Trump – and the American government, to be license then license to the new entity. In this way, users could access the service through the same app that they have used so far. And above all, China would not be able to access data. This was one of the main reasons for the concern of Washington officials, together with the pressure generated in the aftermath of the attack of 7 October 2023 against Israel, when US legislators – analyzes the Wall Street Journal – was shown a search that videos with Filopalestinese hashtags obtained many more views than those with Filoisraelian hashtags. About six months later, the congress approved a law that prohibited the app or imposed its sale.
(Red-Lab/Labilolia)
