U.S. President Donald Trump has signed an executive order directing the sale of TikTok’s American operations to a group of U.S. and global investors, valuing the new entity at about $14 billion.
According to Reuters, the order—issued Thursday—requires prospective buyers to meet strict national security conditions under a 2024 law that would otherwise ban the app if its Chinese owners fail to divest.
At a White House briefing, Vice President James Vance said the deal would secure TikTok’s future in the U.S. while safeguarding user data. “We actually think this is a good deal for investors, but they will make a determination about what they want to invest and what they think is the proper value,” Vance told reporters.
The administration extended the law’s enforcement deadline to January 20 to allow time for negotiations with Chinese authorities, investor commitments, and final approvals.
Key details of the arrangement remain unresolved, including the fate of TikTok’s prized recommendation algorithm.
Trump’s order stipulates that the algorithm be retrained, monitored by U.S. security partners, and operated solely by the new American-led venture.
Trump said he had spoken with Chinese President Xi Jinping, who signaled approval of the plan. “We had a good talk, I told him what we were doing, and he said go ahead with it,” Trump noted.
Although TikTok and the Chinese embassy in Washington did not immediately comment, Trump emphasized the agreement’s goal was to preserve the app while protecting American users’ privacy.
Trump also confirmed that prominent investors—including Dell Technologies founder Michael Dell, media mogul Rupert Murdoch, and “four or five absolutely world-class investors”—would participate in the venture.
With 170 million U.S. users, TikTok has become a major political and cultural force. Trump, who has 15 million followers on his personal account, credited the platform with helping him win reelection last year. The White House recently launched its own official TikTok channel.
“This is going to be American-operated all the way,” Trump declared.