(CTN News) – With TikTok developing a second US app, President Donald Trump may sell it. This application will use a different data architecture and algorithm than the global one.
According to current staff members who requested anonymity, TikTok has been investing heavily in a US-specific app for months. The worldwide platform communicated AI models, algorithms, features, and user data to the app’s software.
This could resolve the technological dispute between the US and China over the company’s decision to disclose the recommendation algorithm that underpins the Chinese-owned platform, which is ByteDance’s hub for short video distribution.
ByteDance and TikTok rejected the comment.
The September “M2” deadline may be TikTok’s biggest technological gap with its overseas operations. We expect the shift to impact the way 170 million US users access international content and the way non-US artists monetize their work on the site.
The US-only app’s autonomous design was inspired by mainland China’s Douyin and TikTok. According to insiders, the American version will not be available in international app stores. The US application’s preliminary technical specifications are below. The Information first reported US launch.
Although older content is expected, the US version may acquire new content from overseas TikTok applications.
According to rumors, the new app will use only US user data to construct its recommendation algorithms, separating it from TikTok’s global infrastructure. Most viewers will watch US-made content.
The fear of solitude
ByteDance spent months preparing to keep the US version from being banned for data security reasons, as required by recent legislation. Isolating the US program from the platform was planned.
Since January 19, 2024, a bipartisan law has forced ByteDance to sell TikTok.
Washington officials worry that ByteDance’s ownership of TikTok could subordinate it to China for data collection and influence.
TikTok transferred non-US user data from Oracle’s American data centers to US servers after the initial deadline and a brief “going dark” in January to keep just US user data on US servers, sources said.
This separated US and overseas activities. The company refuted Reuters’ claim that it was separating its main algorithm’s software and continued the project last year.
The separation means the worldwide team will no longer manage development and core technology. ByteDance personnel may continue exporting to TikTok US, a source said. When TikTok uses ByteDance’s global technological and product experience, some wonder if the US algorithm will work.
Washington legislators pressured ByteDance to sell its US operations. Negotiations to split US company began last spring. The accord ended after China challenged Trump’s high taxes on Chinese goods. If the deal goes through, ByteDance and American investors will own the new app together. ByteDance will own a small stake.
According to Reuters, ByteDance shareholders SIG, General Atlantic, and KKR, as well as new investors Blackstone and Andreessen Horowitz, dominate. Oracle may buy equity.
TikTok’s US transfer may not be approved by Beijing.
Despite ByteDance’s recommendation system being its most important asset and key to its global success, Chinese authorities have refused to export it.
When the Trump administration tried to sell US business in 2020, China strengthened its export controls on recommendation algorithms and other technology. This meant the Chinese government might influence any deal.
TikTok’s management team opposed splitting its US operations because they believed it would hurt the global network and users. As part of his trade accord with China, President Trump is reportedly contemplating future.
President Trump announced this week that TikTok-China conversations will continue. Trump said the arrangement was beneficial for China and the US, but he wasn’t sure Beijing would accept.
SOURCE: GN
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