The Trump administration is set to receive roughly $10 billion from investors in the recently completed deal to take control of TikTok’s US operations, according to the Wall Street Journal.
| Photo Credit:
Dado Ruvic
administration is set to receive a roughly $10 billion fee from
investors in the recently completed deal to take control of
TikTok’s U.S. business, the Wall Street Journal reported on
Friday, citing people familiar with the matter.
TikTok’s Chinese owner, ByteDance, in January finalized a
deal to establish a majority American-owned joint venture that
will secure U.S. data, to avoid a U.S. ban on the short video
app used by over 200 million Americans.
TikTok USDS Joint Venture LLC will secure U.S. user data,
apps and algorithms through data privacy and cybersecurity
measures. It disclosed few details about the divestiture.
Vice President JD Vance had in September said that the new
U.S. company will be valued at around $14 billion.
The payment is part of the agreement through which investors
friendly with the administration gained control of TikTok’s U.S.
operations from ByteDance, WSJ said. It is on top of the
investments already made to establish a new entity to operate
the app in the U.S.
Investors Oracle, Silver Lake, Abu Dhabi’s MGX and
other backers paid about $2.5 billion to the Treasury Department
when the deal closed and are to make a number of subsequent
payments until the total reaches $10 billion, per the Journal.
TikTok and the White House did not immediately respond to
Reuters requests for comment.
Officials from the administration have said the fee is
justified, citing Trump’s role in rescuing TikTok’s U.S.
operations and guiding negotiations with China to complete the
deal while tackling lawmakers’ concerns over national security,
according to WSJ.
Earlier this month, Trump and U.S. Attorney General Pam
Bondi were sued by retail investors in two social media rivals
of TikTok seeking to reverse the U.S. president’s approval of a
deal by the company’s Chinese owner ByteDance to form a majority
American-owned joint venture.
Published on March 14, 2026