Senator Raises Alarm Over TikTok Data

Senator Ed Markey has sent letters to TikTok US and Oracle, claiming the spin-off deal between the two companies violates "the spirit, if not the letter" of a 2024 law meant to protect Americans on TikTok [1]. The letters demand information about the group's relationship to TikTok's Chinese parent company ByteDance. This move comes four months after TikTok's US assets were spun off into a new joint venture to avert a ban [1].

Key takeaways

• The new US TikTok deal means a majority-American board now owns and operates a separate entity controlling TikTok in the US [2].
• The deal may lead to changes in the TikTok algorithm, which could affect the content users see [2].
• Senator Ed Markey has requested information about the joint venture's contracts and how it reviews code from ByteDance [1].

The Deal and Its Implications

The joint venture, led by CEO Adam Presser, is governed by a board consisting of investor representatives as well as TikTok CEO Shou Chew [1]. The deal involves the licensing of TikTok's algorithm to Oracle, which will oversee the storage of Americans' data [2]. However, ByteDance will retain control of some of the US app's operations, including e-commerce, advertising, and marketing [1]. This has raised concerns among critics, who question whether the arrangement fully addresses national security concerns [1].

National Security Concerns

The 2024 law requiring the US version of TikTok to be spun off from ByteDance or be banned in the United States was motivated by fears that China could steal US users' data or manipulate the content they see on the app [1]. Senator Markey's letters to TikTok US and Oracle reflect these concerns, as he questions the effectiveness of the joint venture's plans to retrain the algorithm and review code from ByteDance [1]. The senator has requested information about the group's contracts and how it reviews code from ByteDance, citing a lack of transparency and detail [1].

Why it Matters

The deal's implications for TikTok's 200 million American users are still unclear [2]. While the company says the joint venture will be able to make the app compatible with other apps and regions to give US users "a global experience" [2], some experts warn that changes to the algorithm could lead to a different look and feel for US users [2]. As Senator Markey's letters demonstrate, the issue of TikTok's handling of American users' data remains a contentious one, with significant implications for national security and the future of the app in the United States [1].