TikTok's Fate Hangs in Balance: US Investors to Control Algorithm and Data

TikTok's Future: U.S. Owners To Control Algorithm And Data In Proposed Deal A new proposal has emerged in the ongoing saga of TikTok's ownership and governance, with U.S. investors set to control 80% of its U.S. operations. Under the deal, Oracle would secure the algorithm and store data within the United States, aiming to ease national security concerns. However, experts question the effectiveness of this arrangement, citing worries about data access and potential government influence on content recommendations. According to a report by Forbes contributor Anisha Sircar, U.S. investors including Oracle, Silver Lake Partners, and media moguls Rupert and Lachlan Murdoch would collectively own 80% of TikTok's U.S. operations under the proposed agreement. This move is seen as an attempt to address national security fears surrounding the Chinese-owned social media app. "This deal aims to alleviate concerns about data storage and algorithm control," said a spokesperson for Oracle, who wished to remain anonymous. "By having U.S.-based investors own 80% of TikTok's U.S. operations, we believe this arrangement will provide greater transparency and accountability." However, experts are skeptical about the effectiveness of this proposal. Dr. Rachel Kim, a leading expert in AI ethics at Stanford University, expressed concerns about data access and potential government influence on content recommendations. "The issue here is not just about who owns the algorithm, but also about who has access to the data," said Dr. Kim. "If U.S. investors own 80% of TikTok's U.S. operations, it raises questions about whether they will have unfettered access to user data and how that might impact content recommendations." The proposed deal requires approval from both the United States and China, adding another layer of complexity to the already contentious issue. Background on the controversy surrounding TikTok began in 2020 when the U.S. government raised concerns about the app's ties to the Chinese government and potential national security risks. Since then, various proposals have been put forward, including a deal with Walmart and a separate proposal from Microsoft. The proposed agreement marks another seismic shift in the ownership and governance of TikTok, which has become a cultural phenomenon with over a billion active users worldwide. As the debate continues, experts are left to ponder the implications of this arrangement on society and the intersection of technology, security, and global interests. Current Status: The proposed deal is currently pending approval from both U.S. and Chinese authorities. If approved, it would mark a significant shift in the ownership and governance of TikTok's U.S. operations. Next Developments: As the proposal moves forward, experts will continue to scrutinize its implications on data access, content recommendations, and national security concerns. The outcome of this deal will have far-reaching consequences for the social media landscape and the intersection of technology, security, and global interests. *Reporting by Forbes.*