The video platform’s ownership will reportedly be transferred to a consortium of American investors to avoid being banned in the country
US and Chinese negotiators have reached a framework deal on TikTok, expected to save the platform from being banned in the US.
Treasury Secretary Scott Bessent, who led the US delegation at talks with China that were held in Spain, said the commercial terms had been agreed upon by both sides.
At a news conference at the Chinese Embassy in Madrid, Li Chenggang, Beijing’s top negotiator, said the two sides had achieved a “basic framework consensus” on TikTok-related issues, calling the talks “candid, in-depth and constructive.”
Bessent told reporters on Monday that a “framework” for transferring ownership of TikTok had been reached but withheld details.
TikTok, owned by Chinese tech firm ByteDance, has been under a de jure nationwide US ban since January 19, 2025, after its parent company missed a divestiture deadline. The measure was passed over claims that user data could be accessed by the Chinese government, potentially allowing Beijing to spy on Americans or conduct influence operations through the app.
Upon taking office, US President Donald Trump postponed the ban several times during negotiations with China. The most recent deadline was set to expire on Wednesday, September 17.
“We’re not going to talk about the commercial terms of the deal. It’s between two private parties, but the commercial terms have been agreed upon,” Bessent said. He added that the agreement is expected to be confirmed by Trump and Chinese leader Xi Jinping after a call on Friday, and TikTok will have 90 more days to finalize it.
According to a Wall Street Journal report citing a White House official, the deal will see a consortium of investors take an ownership stake in TikTok. US private-equity firm Blackstone, previously reported as a contender, is reportedly no longer part of the arrangement.
Earlier reports also mentioned Oracle, which has hosted TikTok’s US user data since 2022, and Microsoft as possible participants, but neither confirmed involvement.
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