Oracle, Michael Dell, named as investors in JV that will run TikTok’s US operations

Steven

Oracle, Michael Dell, named as investors in JV that will run TikTok’s US operations

Summary

A new entity, TikTok USDS Joint Venture LLC, has been formed to run TikTok’s US operations as required by US lawmakers. The JV names Oracle, Silver Lake and Dubai-based MGX as three “managing investors” with 15% each. ByteDance retains a 19.9% stake and the Dell Family Office (Michael Dell) is also an investor.

Oracle will host US user data in its cloud and act as the JV’s “trusted security partner,” helping to review and validate source code. The JV says it will retrain, test and update the content-recommendation algorithm on US user data, and secure that model in Oracle’s US cloud environment. It plans to manage certain global commercial activities — including e-commerce, advertising and marketing — and to ensure interoperability so US creators and businesses can operate globally.

The JV’s board is seven members and described as “majority-American.” TikTok CEO Shou Chew is among the directors. Senior executives named include CEO Adam Presser and chief security officer Will Farrell. The announcement does not disclose how much the JV paid to operate TikTok in the US.

Key Points

  • TikTok USDS Joint Venture LLC established to run TikTok’s US operations under US legal requirements.
  • Managing investors: Oracle, Silver Lake and MGX each hold 15% of the JV; ByteDance holds 19.9%.
  • Dell Family Office (Michael Dell) is an investor in the JV.
  • Oracle will host US user data, act as trusted security partner, and assist with source-code review and validation.
  • The recommendation algorithm will be retrained, tested and secured on US user data in Oracle’s US cloud.
  • The JV will oversee certain global commercial activities (e-commerce, advertising, marketing) and emphasise interoperability for US creators.
  • Board is majority-American; CEO Adam Presser and CSO Will Farrell are named senior executives; TikTok CEO Shou Chew is a director.

Why should I read this?

Short version: this reshapes who holds your TikTok data and who runs its all-powerful recommendation engine. If you care about privacy, ad markets, creator reach or geopolitics, it’s worth a quick look — this is where tech, regulation and money collide.

Author’s note

Punchy take: big names have just bought into the US future of TikTok. Oracle getting data custody and security oversight is a major shift — expect scrutiny, regulatory follow-up and intense commercial jockeying as this JV defines how TikTok operates in America.

Source

Source: https://go.theregister.com/2026/01/23/jv_announces_tiktok_us_acquisition/