U.S. Officials Announce Framework for TikTok Sell-Off Deal

The long-running dispute over TikTok’s future in the United States appears to be nearing resolution. Treasury Secretary Scott Bessent confirmed this week that a framework has been reached for a sell-off agreement that would transfer the app to a U.S.-based investor, while still allowing parent company ByteDance to retain a partial stake.

Bessent described the agreement as “between two private parties,” with key commercial terms already finalized. The arrangement is designed to bring TikTok into compliance with the Protecting Americans from Foreign Adversary Controlled Applications Act, which requires the platform to separate from Chinese ownership in order to continue operating in the U.S.

President Donald Trump also weighed in, signaling optimism that a deal is imminent. Posting on Truth Social, Trump wrote: “The big Trade Meeting in Europe between The United States of America, and China, has gone VERY WELL! A deal was also reached on a ‘certain’ company that young people in our Country very much wanted to save. They will be very happy! I will be speaking to President Xi on Friday.”

While the deadline for a completed sale is September 17, officials have indicated that a 90-day extension could be granted to finalize technical and legal details. The Trump administration has already postponed enforcement three times through executive orders.

One unresolved issue is control over TikTok’s recommendation algorithm. Reports suggest Beijing is unwilling to transfer the algorithm to a U.S. entity, while American negotiators have refused to link the TikTok sale to broader concessions on tariffs or technology restrictions. These sticking points have derailed talks in the past, raising questions about whether the current framework will hold.

If completed, the sale would end years of regulatory uncertainty for TikTok’s 170 million U.S. users and its creator economy, which has faced repeated disruptions over the threat of a ban. It would also clear the way for TikTok to accelerate its e-commerce and advertising initiatives in the American market, a critical growth region for the platform.