Oracle, MGX and Silver Lake take major stakes in new U.S. TikTok venture

ByteDance has spun out an American venture to operate TikTok in the United States, the company announced on Jan. 22, 2026, as part of an effort to comply with a 2024 federal law aimed at separating the app from its Chinese parent on national security grounds. Under the arrangement, non-Chinese investors will own about 80 percent of the U.S.

entity and ByteDance will retain a 19.9 percent stake, the legal maximum. The new venture will license TikTok’s recommendation algorithm from ByteDance and will have the authority to moderate content on the app. Three investors — Oracle, MGX and Silver Lake — each hold a 15 percent stake.

Oracle, whose executive vice president Kenneth Glueck will have a board seat, will oversee the security of Americans’ TikTok data and monitor changes to the recommendation technology; Oracle has hosted U.S. TikTok data since 2022. Oracle’s executive chairman and chief technology officer is Larry Ellison, and the article notes the Ellison family has ties to President Trump.

MGX, an Emirati investment company founded in 2024 by Mubadala and G42, also takes a 15 percent stake and will have David Scott on the board. The article reports that G42 has had ties to China and that U.S. intelligence agencies raised warnings about its work with Chinese companies; MGX has been involved in prior transactions connected to the Trump family’s cryptocurrency firm and helped finance a $100 billion initiative announced by Mr.

Key Topics

Business, Tiktok, Oracle, Mgx, Silver Lake, Bytedance