Emerging TikTok deal with China ‘ensures US control of board and algorithm’

Aamer Madhani, Associated Press

An emerging TikTok deal with China will ensure that US companies control the algorithm that powers the app’s video feed and Americans will hold a majority of seats on a board overseeing US operations, the White House has said.

A central question to the tug of war between Washington and Beijing has been whether the popular social video platform would keep its algorithm after the potential divestment of Chinese parent company ByteDance.

Congress passed legislation calling for a TikTok ban to go into effect in January, but President Donald Trump has repeatedly signed orders that have allowed TikTok to keep operating in the United States as his administration tries to reach agreement for ByteDance to sell its US operations.

Data and security

White House press secretary Karoline Leavitt said tech giant Oracle would be responsible for the app’s data and security and that Americans will control six of the seven seats for a planned board.

“We are 100% confident that a deal is done, now that deal just needs to be signed and the president’s team is working with their Chinese counterparts to do just that,” Ms Leavitt told Fox News’ Saturday In America.

A day earlier, Mr Trump and China’s Xi Jinping discussed a TikTok deal in a lengthy phone call.

Algorithm

Ms Leavitt said “the algorithm will also be controlled by America as well”, offering more detail about how the deal, at least in the eyes of the White House, is taking shape.

Mr Trump said after his call with Mr Xi that American investors were lined up and that the Chinese leader has been “a gentleman” about the matter.

The Republican president was vague on the crucial question of whether China would control the algorithm.

“It’s all being worked out,” Mr Trump said.

“We’re going to have very good control.”

A statement from the Chinese government after that phone call did not clarify what Mr Xi had agreed to regarding a sale of a controlling stake by TikTok’s Chinese parent company to avoid a US ban.

Ms Leavitt expressed confidence that the agreement would be finalised soon.

“Now we just need this deal to be signed,” she said.

“And that will be happening, I anticipate, in the coming days.”