Business
Who owns TikTok now and how could it change for US users?
Liv McMahonTechnology reporter
Getty ImagesTikTok has announced a deal allowing it to continue operating in the US.
But with the platform’s future in the country seemingly secured, its 200 million American users are expected to see some changes.
What is the US TikTok deal?
A majority-American board now owns and operates a separate entity controlling TikTok in the US.
Backed by mostly US investors, the newly established TikTok USDS Joint Venture LLC is governed by a board of seven directors.
TikTok chief executive Shou Zi Chew is among them, and its Chinese owner ByteDance will retain a 19.9% stake in the business.
The content recommendation algorithm at the heart of TikTok – determining which videos show up on the app’s For You feed – has been licensed to tech firm Oracle.
Headed by Trump ally Larry Ellison, Oracle already oversees TikTok US user data under a previous arrangement set up over security concerns called Project Texas.
But the company will now secure more of the app, including by retraining and updating its recommendation algorithm based on US user data.
TikTok says both the algorithm and US user data will be protected in “Oracle’s secure US cloud environment”.
The deal may be done, but it is likely to receive continued scrutiny. Some Democrats have already voiced concern that the ties between Trump and TikTok’s new investor group could end up limiting what gets shared on the platform.
“Americans won’t be any better off if a TikTok sale ends up with the company in the hands of Trump cronies backed by foreign funding,” Democrat Senator Ron Wyden said in December ahead of the deal being finalised.
Meanwhile Senator Ed Markey reportedly said on Friday Congress should investigate the agreement, citing a “lack of transparency” and detail.
Will I have to download a new app?
Something TikTok and those behind its new US joint venture will be keen to avoid is too much disruption – so making users download a new app seems unlikely.
The US is believed to be the platform’s largest global market, with 200 million users, according to TikTok.
It faces growing competition from Instagram and its short form video feature Reels – which parent firm Meta has boosted within its apps used by billions.
And experts and analysts have warned changing TikTok too much or requiring users to move to a new app could put users and advertisers off.
“Behind the scenes, TikTok is likely working hard to assure advertisers it will remain business as normal,” says Jasmine Enberg, co-CEO of Scalable, a media company and podcast focused on the creator economy.
“While the need for users to download a new app seems unlikely, brand partners will want to know that their TikTok strategies won’t be disrupted.”
Have TikTok US terms and conditions changed?
TikTok updated its terms of service for US users as the deal closed on Thursday.
It says the contract users agree to is now between themselves and the platform’s new US entity, TikTok USDS Joint Venture.
There are several changes. One new rule says children under the age of 13 cannot use TikTok outside of its specific “Under 13 Experience”.
Another point says the new US entity “does not endorse any content” on the platform, nor does it reflect its views.
US users who continue to use TikTok from 22 January also must agree to the limitations of generative AI – such as its potential to generate inaccurate, misleading, inappropriate or unlawful content.
“By using the platform, including its generative AI-enabled features, you recognise and assume this risk,” it says.
Will the algorithm get worse for US TikTok users?
Exactly what changes US users will see to their TikTok app and feeds, as a result of the deal, remains unclear.
The BBC has asked TikTok what will change in its American experience, and when.
But we know its recommendation algorithm will be retrained on US user data – sparking concern for some over whether highly personalised content it serves could change.
Enberg says algorithm tweaks could affect what people see or even create, potentially “leading to a different look and feel” for US users.
Dr Kokil Jaidka of the National University of Singapore previously said while the app is “unlikely to suddenly feel different” for most, “changes are plausible”.
Differences that do appear to US users are likely to be “subtle and gradual” – such as weaker personalisation.
But locally-controlled, user-facing features such as TikTok’s short videos, influencer culture and livestream shopping may not change, she said.
“There is a big incentive here to keep what works,” social media expert Matt Navarra told the BBC.
He said changes to an algorithm can bring “short-term tuning issues” such as less reach, repetitive content or random recommendations, and TikTok would want to maintain its algorithm as its “crown jewel”.
“What’s important here is you’re still using the same app, the same account and broadly the same recommendation engine,” he said
“I think the goal is continuity not reinvention.”
Will I see less global content on TikTok?
Using a licensed version of TikTok’s algorithm to power its US version could also present “constraints around data access, update frequency, and integration with TikTok’s global systems,” Jaika said.
But she said changes could impact the For You feed – which “learns from massive, cross-regional feedback loops” to surface relevant content – as well as how videos are ranked and moderated.
However she said many unknowns remain, with much depending “on how ByteDance tweaks the weaker links – such as data separation, update frequency, and oversight mechanisms – without degrading performance”.
TikTok meanwhile says the joint venture will be able to make the app compatible with other apps and regions to give US users “a global experience”.
Its press release claims US creators will still be discoverable and businesses will be able to maintain global reach.
“It’s not that the world disappears, more that domestic content could crowd out international content over time,” Navarra said.
“In other words, global content stays – but the balance may suddenly shift.”
What about CapCut and Lemon8?
CapCut and Lemon8 are two other popular apps owned by ByteDance accessed by US users.
Previously, it was slightly unclear what the law requiring TikTok’s sale or ban in the US could mean for its sister apps and their users.
But both “went dark” in the US alongside TikTok when the ban briefly took effect in January 2025.
Their future in the US now appears to be secured, with TikTok saying “safeguards provided by the Joint Venture will also cover CapCut, Lemon8, and a portfolio of other apps and websites in the US”.

Business
Oil prices ease as US pauses Project Freedom to seek Iran deal
President Donald Trump raised hopes of an agreement between the US and Iran after days of escalation.
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Business
Government needs to act on Middle East impact on retail, industry warns
Retailers braced for the effects of the Middle East conflict have urged the Government to cut domestic costs to help them keep prices down for consumers.
The British Retail Consortium (BRC) said four in five people (80%) feared the Middle East conflict would push up food prices, and called on the Government to help by easing pressure on businesses from higher national insurance, packaging levies, new regulations, and business energy charges.
The BRC said retailers were already absorbing “significant” additional costs from the conflict including rising energy and shipping costs, with knock-on effects for fertiliser, manufacturing and logistics.
It warned those costs would inevitably filter through to the till over the coming months.
But it said the Middle East was only part of the picture, and retailers had absorbed £6.5 billion in extra employment costs from rising national insurance contributions and the national living wage, alongside a new packaging tax costing £1.6 billion.
Meanwhile, more regulatory “burdens” were imminent, including guaranteed hours provisions under the Employment Rights Act and the proposed reformulation of thousands of food lines under the new nutrient profiling model.
A survey for the BRC found 73% of people expect the Middle East conflict to raise the price of products other than food, while 81% are worried about rising energy bills, 76% about petrol and diesel, and 68% about tax increases.
Food retailers met Chancellor Rachel Reeves in early April and called for the removal of energy policy levies, network charges and system fees that now make up between 57% and 65% of a typical business electricity bill.
They also asked for the introduction of the updated nutrient profiling model for food and drink to be delayed, and for a review of the triple packaging levy, forecast to cost retailers more than £2 billion a year.
BRC chief executive Helen Dickinson said: “The Middle East conflict is driving up costs across the supply chain and families are right to be concerned.
“But not every pressure bearing down on retailers comes from the Gulf. Higher national insurance, packaging levies, new regulations, and business energy charges are all domestic policy decisions, made in Westminster, and they can be addressed there.
“Such action by government would help retailers to keep prices affordable for households.
“Other governments are already acting. Germany has reduced electricity costs for businesses by moving levies off bills and EU leaders are actively discussing similar responses to this crisis.
“The UK should be moving in the same direction, not treating global instability as cover for inaction on costs of its own making.
“Retailers are working hard to hold prices down, but they cannot do it alone.
“Every cost government chooses not to address is a cost that will find its way into someone’s shopping basket. That is a political choice, and it is one ministers still have time to change – but the window to act is closing.”
Business
EV maker Lucid suspends production guidance amid incoming CEO’s business review
The Lucid logo is shown at the Los Angeles Auto show on Nov. 20, 2025.
Mike Blake | Reuters
DETROIT — Lucid Group suspended its vehicle production guidance for the year as its incoming CEO evaluates the all-electric vehicle manufacturer’s business operations, including the potential for lower output of EVs.
The company on Tuesday also said it needs to lower its “elevated inventory” of vehicles, which for automakers has historically meant decreasing or idling vehicle production.
A company spokesman told CNBC that there is currently no plan to idle its sole U.S. plant in Arizona, but incoming CEO Silvio Napoli said he is continuing to evaluate Lucid’s business.
“An essential objective over time is to build a more cost-efficient company, one that progresses in funding its own growth. That means being rigorous in delivering our commitments,” Napoli said Tuesday on Lucid’s quarterly results call with investors. “In simple words, this means making clear choices on where to invest and, just as importantly, where not to.”
Napoli said he plans to review the company’s operations over the next several weeks before updating investors on the company’s guidance when Lucid reports its second-quarter results at an unspecified date.
The company’s prior production guidance was between 25,000 to 27,000 units in 2026. Lucid executives said plans for cost-cutting, autonomous vehicles with Uber and Nuro, and the company’s “path to profitability” outlined in an investor day in March remain intact.
Lucid has produced roughly 3,200 more vehicles than it has sold since 2024, according to its annual production and deliveries. That includes a difference of roughly 2,000 units last year and 2,400 vehicles during the first quarter of 2026.
The pulled guidance occurred as the company reported first-quarter results that were in line with preliminary results released by the company a month ago, but that still significantly missed Wall Street’s expectations.
“We ended the quarter with elevated inventory that we expect to convert to revenue and cash as deliveries normalize, while maintaining alignment between production and sales cadence. Our focus is on disciplined execution — driving structural cost improvements, managing capital efficiently, and improving operating leverage as we scale,” Lucid CFO Taoufiq Boussaid said in a statement.
Here’s how the company performed in the first quarter compared with average estimates compiled by LSEG:
- Loss per share: $3.46 vs. a loss of $2.64 expected
- Revenue: $282.5 million vs. $440.4 million expected
The company’s revenue increased roughly 20% year-over-year but was far lower than the 87.4% jump analysts were expecting, according to LSEG.
The all-electric vehicle maker said a seat supplier issue “significantly affected” deliveries of its crucial Lucid Gravity SUV during the quarter that resulted in a stop-sale of the vehicle due to safety concerns.
Boussaid said the seat issue caused a more than $200 million revenue impairment during the first quarter.
Lucid produced 5,500 vehicles and delivered 3,093 vehicles in the first quarter of 2026.
The automaker, which is heavily backed by Saudi Arabia’s Public Investment Fund, said it has sufficient liquidity through the second half of 2027. It ended the first quarter with approximately $4.7 billion, including a recent capital raise and delayed draw term loan provided by PIF.
Lucid on Tuesday said production of a new vehicle plant in Saudi Arabia continues despite the ongoing war in nearby Iran. The company said it has not experienced any significant interruptions to the facility other than some delays in shipping.
The company also said it is adjusting its production reporting to count vehicles once they complete the company’s “factory gating process,” which includes vehicles that may not be completely built and are sent to operations elsewhere for completion.
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