Washington: TikTok has reached an agreement to establish a new joint venture in the United States. The situation surrounding the ban on TikTok in the United States has been resolved as ByteDance, the Chinese parent company of the popular short-video sharing app, has reached an agreement to establish a joint venture majority-owned by Americans to circumvent the US ban on the app, which has more than 200 million users.
According to Thai News Agency, a new joint venture named "TikTok USDS Joint Venture LLC" has been formed with American companies Oracle, a cloud computing giant, and Silver Lake, a private equity group, along with MGX from Abu Dhabi. These entities will hold an 80.1% stake in the venture, while ByteDance will retain a 19.9% stake. The new joint venture will oversee the security and privacy measures of the application, addressing the very issues the US government cited as justification for banning TikTok.