TikTok reaches deal for new US joint venture to avoid American ban

Core Insights - ByteDance, the Chinese owner of TikTok, has finalized a deal to establish a majority American-owned joint venture to circumvent a potential U.S. ban on the app, which has over 200 million users in the U.S. [1] Company Summary - The joint venture aims to address regulatory concerns in the U.S. regarding data privacy and national security associated with TikTok's Chinese ownership [1] - This strategic move is expected to enhance TikTok's operational stability in the U.S. market and potentially improve its relationship with U.S. regulators [1] Industry Summary - The establishment of a majority American-owned joint venture reflects the ongoing tensions between U.S. and Chinese tech companies, particularly in the social media sector [1] - The deal signifies a broader trend of foreign companies adapting their business structures to comply with U.S. regulations and mitigate risks associated with geopolitical issues [1]