In brief
Under a new agreement facilitated by the Trump administration, TikTok's recommendation system will utilize US user data and be overseen by Oracle and US investors. The deal aims to enhance user security and data management, but analysts warn that changes could impact user engagement and content accessibility.
TikTok's algorithm - the technology that determines what users see in their feed - will be copied and retrained using US user data as part of a deal to secure the app's future in the country.
A White House official said on Monday that TikTok's recommendation system will be audited by tech giant Oracle, and operated by a new joint venture involving US investors in order to meet requirements for the app's sale.
This comes after President Donald Trump announced that a deal was reached to prevent a ban of the app in the US, contingent on its sale from its Chinese parent company ByteDance, with approval from China.
White House officials claim the deal will be a win for the app's US users and citizens. President Trump is expected to sign an executive order later this week detailing compliance with US national security demands, which will include a 120-day pause in enforcement to allow the deal to close.
Data of the 170 million US users on TikTok is currently managed on Oracle servers under an existing collaboration known as Project Texas. Concerns arise regarding the possible shift in the app's user experience, as analysts caution that an algorithm exclusively for the US could limit its global connectivity.
The new venture controlling TikTok is likely to seek patriotic investors and cybersecurity experts to oversee operations, potentially valuing the deal in the billions. However, any significant modifications to the app's functionality or content policies might deter users and alter engagement dynamics.
