By skyforbes 
China Isn’t So Sure
Donald Trump has a way of announcing deals before anyone else agrees they exist.
This time, it’s TikTok.
On Truth Social, Trump claimed he had a “very good” call about TikTok, thanked China for the “approval,” and hinted he’d be discussing it further with Xi Jinping at the APEC Summit in South Korea later this fall.
China, meanwhile, responded with careful legalese: ByteDance will follow Chinese law, and any “relevant work” will move forward accordingly. Translation: we’ll see.
So what’s actually happening here? And what does it mean for TikTok’s 170 million American users caught in the middle of this geopolitical tug-of-war?
The Deal on the Table
The outline, as reported:
- Oracle, Silver Lake, and Andreessen Horowitz would lead a group of investors taking an 80% stake in TikTok’s U.S. operations.
- Oracle would continue to host U.S. user data on domestic servers.
- The new U.S.-controlled entity would license TikTok’s algorithm from ByteDance, creating a similar recommendation engine.
- ByteDance, TikTok’s Chinese parent company, would still provide the tech framework, but majority control would shift stateside.
In Trump’s framing, this isn’t a ban. It’s a joint custody arrangement: America gets operational control, China keeps the intellectual DNA.
TikTok’s American Fate
- 2020: Trump threatens to ban TikTok and WeChat over national security concerns.
- 2021: Biden rescinds Trump’s executive orders but continues investigations.
- 2023: State bans on TikTok proliferate, especially on government devices.
- 2024: Congress passes the PAFACA Act, forcing TikTok to divest from Chinese ownership before January 19, 2025 — or face a federal ban.
The clock is ticking. And Trump, now back in the White House, is positioning himself as the man who can cut the Gordian knot.
The Fee That Trump Wants
At a joint press conference with UK Prime Minister Keir Starmer, Trump bragged that the U.S. should get a “tremendous fee plus” for brokering the TikTok deal.
It’s classic Trump: blending diplomacy with transaction, turning national security into a negotiation table where America should profit.
Critics see it as shakedown politics. Supporters frame it as smart deal-making. Either way, it reveals how Trump views the U.S. government: less as a regulator, more as a landlord charging rent.
China’s Response
Beijing hasn’t exactly confirmed anything. ByteDance issued a carefully worded statement: it will follow Chinese law and ensure TikTok continues to serve its U.S. users.
And that’s where things get sticky.
China has strict rules on exporting algorithms — particularly recommendation engines like TikTok’s, which it sees as sensitive technology. Licensing that algorithm, even to a U.S.-controlled company, may run into roadblocks in Beijing.
China’s Commerce Ministry has already signaled it expects a “fair and non-discriminatory environment” for Chinese investors. Which, translated, means: don’t expect us to roll over.
The Politics of Young Voters
Here’s the overlooked angle: Trump doesn’t want TikTok banned anymore.
Why? Young voters.
He credits TikTok with boosting his popularity among younger demographics. Killing the app outright could alienate them. Rescuing it through a deal, however? That makes him look like the savior of their favorite platform.
It’s political calculus disguised as national security.
The Bigger Picture: Sovereignty of Algorithms
This isn’t just about one app. It’s about who controls the algorithms shaping public opinion.
- TikTok’s recommendation engine is one of the most powerful cultural forces on Earth.
- Handing that algorithm to a U.S.-controlled entity creates a precedent: that governments can demand algorithmic sovereignty as a condition of market access.
- If it happens to TikTok, what’s to stop Europe from making similar demands of Meta or Google?
We’re entering an era where digital platforms aren’t just products. They’re geopolitical assets.
Joint Custody or Divorce?
The PAFACA Act envisioned a clean break: TikTok must divest from China. Trump’s proposal is softer — a joint custody model where U.S. investors get majority stake, but ByteDance still provides the core algorithm.
That might satisfy American regulators worried about data control. But will it satisfy China? Will it satisfy critics who say the only way to neutralize TikTok as a national security risk is a full divorce?
The truth is, joint custody rarely ends neatly.
The Breakdown
- If the deal goes through: Oracle becomes the custodian of TikTok’s U.S. empire, venture capital gets a stake, and Trump claims victory. But questions linger: is licensing an algorithm enough to neutralize security risks?
- If China blocks it: TikTok faces a U.S. ban in January 2025. Millions of creators and businesses lose their biggest platform overnight.
- If another compromise emerges: Expect a patchwork solution, with data hosted locally but cultural influence still flowing through Beijing’s pipeline.
No matter what, TikTok becomes the case study for how governments wrestle with tech giants that straddle borders.
GAME CHANGER MOMENT
Here’s the bottom line: Trump’s TikTok “deal” is less about TikTok and more about power.
- Power over algorithms.
- Power over narratives.
- Power over the political loyalty of young voters.
China may not sign off. Courts may step in. Regulators may balk. But the fact we’re even talking about a U.S.-China joint custody of an app shows how blurred the lines between tech and geopolitics have become.
TikTok isn’t just a platform for memes and dances. It’s a geopolitical football — and whoever controls it, controls more than just data. They control culture.
And that’s why the fight over TikTok isn’t really about one app. It’s about who gets to shape the feeds of the next generation.
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