Sen. Ed Markey (D-Mass.) called for an investigation Friday into a deal that saw TikTok’s American business spun off into a separate entity in order to allow the app to continue operating in the U.S.
The deal was finalized Thursday, with TikTok announcing it had officially established the new U.S. venture.
“After over a year of Donald Trump illegally extending the TikTok deadline, this TikTok deal raises many more questions than answers,” Markey said in a statement. “Despite my repeated requests for information, the White House has provided virtually no details about this agreement, including whether TikTok’s algorithm is truly free of Chinese influence.”
“This lack of transparency reeks,” he continued. “Congress has a responsibility to investigate this deal, demand transparency, and ensure that any arrangement truly protects national security while keeping TikTok online.”
The spin-off was spurred by a law passed by Congress in April 2024 in the face of growing concerns about TikTok’s ties to China. Under the law, the app’s China-based parent company ByteDance was required to divest or face a U.S. ban.
President Trump repeatedly delayed enforcement of the measure over the past year, as he sought to strike a deal that would allow TikTok to remain available in the U.S. After reaching an agreement in September, Trump signed an executive order approving the deal.
The newly established U.S. venture is majority-owned by American investors, with Oracle, Silver Lake and MGX serving as managing investors. ByteDance maintains a stake just under 20 percent in the U.S. business.
The app’s recommendation algorithm, which is considered central to its popularity, will be retrained by Oracle on U.S. user data.
Trump touted the deal late Thursday, saying he was “so happy to have helped in saving TikTok!”
“I only hope that long into the future I will be remembered by those who use and love TikTok,” the president wrote on Truth Social. “Thank you to Vice President JD Vance, and all of the others within my Administration, who helped bring this Deal to a very dramatic, final, and beautiful conclusion.”
“I would also like to thank President Xi, of China, for working with us and, ultimately, approving the Deal,” Trump added. “He could have gone the other way, but didn’t, and is appreciated for his decision.”
