Overview
- President Trump has signed a fourth executive order delaying the TikTok ban until December 16, 2025.
- ByteDance will lease the algorithm to U.S. consortium instead of selling it.
- Ongoing concerns about data control, national security, and political influence.
- TikTok’s Project Clover data centers to secure EU compliance and support its growing European user base.
- House of Marketers insights on how this affects marketers. Marketers should diversify strategies while leveraging TikTok’s continued dominance in culture and social commerce.
TikTok’s turbulent journey in the United States is far from over. After months of negotiations, executive orders, and political debate, the platform remains online, for now.
For advertisers and creators, the good news is that TikTok is still operating as usual. The uncertainty, however, raises new questions about how the app will evolve under U.S. control.
At the center of this story is a fourth executive order signed by President Donald Trump on September 16, 2025, which delays the enforcement of TikTok’s ban until December 16, 2025. The order once again postpones the sell-off deadline mandated under the “Protecting Americans from Foreign Adversary Controlled Applications Act.”
What’s Happening With the TikTok Ban?
To recap: TikTok is technically banned in the U.S. under law. The Act was signed into effect last year, requiring TikTok to be sold to a U.S.-owned entity or face a full shutdown.
President Trump, however, has repeatedly issued executive orders instructing authorities not to enforce the ban, citing his personal affinity for the platform and the ongoing complexity of the deal.
Negotiations have proven difficult. ByteDance, TikTok’s Chinese parent company, and the Chinese government have resisted U.S. pressure to surrender full ownership or control. TikTok’s algorithm has been the biggest sticking point. China has refused to sell TikTok’s algorithm outright, while U.S. lawmakers insist that algorithmic control is central to national security concerns.
The latest compromise appears to be a middle ground. Reports suggest the U.S. entity will lease TikTok’s algorithm from ByteDance rather than buying it. This arrangement allows the platform to keep operating in the U.S. much the same way it does today, while giving American investors a controlling stake through a newly formed entity.
President Trump has been quick to frame this as a win. At Truth Social, he described progress in recent trade talks and hinted at a positive resolution for TikTok:
“The big Trade Meeting in Europe between The United States of America, and China, has gone VERY WELL! A deal was also reached on a ‘certain’ company that young people in our Country very much wanted to save. They will be very happy! I will be speaking to President Xi on Friday.”
Read more about Future of TikTok Amidst potential US ban.
Who Will Own TikTok America?
According to reports, the deal framework involves a consortium of U.S. investors led by Oracle, Blackrock, and Andreessen Horowitz, who together will hold around 50% ownership. ByteDance will retain a 19.9% stake, keeping its influence while meeting U.S. requirements.
The group is expected to operate under the name TikTok America, with the U.S. government itself securing a seat on the board. This unusual arrangement reflects the geopolitical weight of the deal, which has become entangled in broader U.S.-China trade negotiations.
In the short term, this structure will allow TikTok to maintain continuity for its 170+ million American users. From a consumer perspective, the app is expected to look and feel unchanged, still powered by the same recommendation system, still delivering the same addictive feed.
The Bigger Picture: Data, Security, and Trade
The deal is not just about ownership,it is about control.
For U.S. lawmakers, the original intent of the Act was to limit the possibility of TikTok being used to collect sensitive data or spread influence campaigns aligned with foreign interests. Leasing the algorithm instead of making a US only TikTok App may not fully resolve these concerns.
Chinese officials, meanwhile, have positioned TikTok as a bargaining chip in larger trade talks, seeking concessions on tariffs and tech restrictions. For President Trump, keeping TikTok alive while negotiating harder terms with Beijing has become part of his broader economic strategy.
At the same time, TikTok is hedging its bets abroad. It is accelerating its Project Clover initiative in Europe, investing heavily in localised infrastructure to reassure regulators and safeguard operations.
TikTok’s European Data Push
This month, TikTok officially broke ground on a new €1 billion data center in Kouvola, Finland, marking the next stage of its European data separation strategy. The facility will ensure that EU user data stays within the region rather than being transferred back to China.
The project is more than a compliance move, it is also a show of goodwill. Local officials attended the ceremonial launch, underscoring the significance of TikTok’s investment for the Finnish economy. At peak construction, the site is expected to employ more than a thousand workers, with around 200 permanent jobs once operational.
TikTok has described the Finland facility as a “major boost” not only to local infrastructure but also to its ability to meet EU regulatory obligations. Combined with existing centers in Ireland and Norway, this expansion strengthens TikTok’s argument that it is serious about data sovereignty in Europe.
The parallel in the U.S. is Project Texas, TikTok’s attempt to separate American user data under Oracle’s oversight. But while that project remains tied up in political debate, Project Clover is moving forward decisively—making Europe a safer long-term bet if U.S. negotiations falter.
TikTok recently announced it has surpassed 200 million users in the EU, a milestone that cements Europe as its second most important market. Should American operations face disruption, the EU will quickly become the company’s central focus for both user growth and revenue expansion.
For advertisers, this signals that TikTok is actively building resilience into its global business. Even if uncertainty lingers in the U.S., the platform is securing its presence in Europe, ensuring continuity for global campaigns and reinforcing its role as a leading destination for short-form video.
What This Means for Advertisers: House of Marketers Insights
For marketers, the biggest takeaway is stability, at least for now.
Read more about How Brands Can Prepare for US TikTok Ban
TikTok is not going dark in the U.S., and all signs suggest the platform will remain functionally unchanged. That means brands can continue planning campaigns, testing TikTok Shop integrations, and investing in creator partnerships without fear of losing access to the platform overnight.
That said, the political uncertainty cannot be ignored. Advertisers should monitor how ownership changes affect TikTok’s policies, data governance, and advertising tools. The presence of Oracle and other U.S. firms may accelerate integrations with enterprise-level data systems, while government oversight could lead to stricter content or transparency requirements.
TikTok’s survival in the U.S. ensures that brands can continue tapping into one of the most dynamic platforms for cultural discovery and social commerce.
However, the drawn-out sell-off saga highlights a key lesson for marketers: platform dependency carries risk. While TikTok remains a critical channel, brands should balance their strategies across multiple platforms and prioritise building communities that extend beyond any single app.
The coming months will likely bring new compliance standards, fresh transparency requirements, and potentially even new advertising opportunities under TikTok America’s leadership.
At House of Marketers, we see this as a chance for advertisers to re-evaluate their TikTok strategy, double down on creator-driven campaigns, and prepare for a future where TikTok continues to define digital culture. Contact House of Marketers today and future-proof your marketing strategy!
House of Marketers (HOM) is a leading TikTok Marketing Agency. Our global agency was built by early TikTok Employees & TikTok Partners, which gives us the insider knowledge to help leading brands, like Redbull, Playtika, Badoo, and HelloFresh win on TikTok. Want us to convert more of Gen Z and Millennials with TikTok? Get in touch with our friendly team, here.