TikTok's algorithm - the technology that determines what users see in their feed - will be copied and retrained using US user data as part of a deal to secure the app's future in the country.


A White House official announced that TikTok's recommendation system will be audited by tech giant Oracle, and operated by a new joint venture that involves US investors to comply with requirements for the app's potential sale.


This development comes on the heels of former President Donald Trump's claims that a deal to prevent the app's ban in the US, unless sold by its Chinese parent company ByteDance, had gained China's approval.


According to White House officials, this deal is projected as a win for TikTok's US users and citizens. Trump is expected to sign an executive order later this week outlining how this deal will address US national security demands and allowing a 120-day pause for enforcement to let the agreement finalize.


As part of the agreement, the existing data belonging to TikTok's estimated 170 million US users will continue to reside on Oracle's servers due to previous arrangements under Project Texas, designed to limit data access from the Chinese government.


This business move points to Oracle's long-rumored involvement in the deal, as it provides cloud infrastructure to many tech firms. With a robust demand for its data centers, Oracle's stock prices surged recently, underscoring the company's growing influence within the tech space.


Prospective investors for the new venture include private equity firm Silver Lake and others keen on cybersecurity, with officials predicting the deal could be valued in the billions.


However, changes to the app prompted by this agreement could prompt shifts in user behavior, potentially deterring the core audience or affecting creativity on the platform. Analysts caution that a US-only algorithm may disconnect US TikTok users from global content, possibly degrading their experience.