Marketplace Morning Report

TikTok set to sell US assets

Dec 19, 2025
Surinjana Tiwari, a BBC Asia business correspondent, shares her insights on TikTok's impending sale of its U.S. assets to American investors, including Oracle and Silver Lake. She delves into national security concerns surrounding ownership, with ByteDance retaining a nearly 20% stake. The discussion tackles the complexities of TikTok's algorithm and licensing challenges that could affect its future. Tiwari also touches on broader financial themes, including the EU's substantial loan to Ukraine amid ongoing geopolitical tensions.
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INSIGHT

US Sale Eases Ban Risk

  • TikTok's US assets will be sold to a joint venture led by US investors, allowing the app to avoid a potential US ban.
  • ByteDance will retain a nearly 20% stake while the investor group holds the majority, changing control but not eliminating Chinese ownership entirely.
INSIGHT

National Security Concerns Drove Change

  • US lawmakers raised national security concerns about Chinese access to US user data and feed manipulation.
  • ByteDance and TikTok deny those claims, but US law required changing ownership to continue operating.
INSIGHT

Algorithm Licensing Is The Hard Part

  • A key unresolved issue is how the algorithm will be handled, since licensing algorithmic tech is unprecedented and complex.
  • Negotiations earlier suggested ByteDance would license the algorithm, but practical implementation remains unclear.
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