China, US sign off on TikTok US deal, but uncertainty remains
Both China and the USD have signed off on the TikTok US deal. But major uncertainties remain for artists, labels and all creators.
The White House, investors, and the Chinese embassy have not responded to requests for comment from Semafor, who broke the story.
If you feel a sense of déjà vu regarding the fate of the TikTok US deal, you aren’t alone. January 22 is yet another public “deadline” for ByteDance to sign a deal for its US operations or face a ban.
The saga of the TikTok US forced sale is a masterclass in geopolitical brinkmanship, moving goalposts, and corporate maneuvering. For artists and the music industry, the stakes are high. TikTok isn’t just a social app. It’s at the core of current music discovery infrastructure.
Yesterday’s Canadian Twist
Adding a fresh layer of complexity is a development north of the border. On January 21, 2026, a Canadian federal court set aside the government’s 2024 order. That order would have forced TikTok to wind down there.
The court issued a consent order between the Canadian government and TikTok to scrap the shutdown mandate and launch a new national security review. To observers, this signals a potential global cooling of the “hardline” approach.
What We Do and Don’t Know About US TikTok Deal
While we wait for the final purchase paperwork to be signed and details to emerge, here is what we do and don’t know about the US TikTok deal.
The Core Conflict Remains Unchanged
The fundamental issue hasn’t shifted since the early 2020s. US regulators and many in Congress remain concerned that ByteDance could be compelled to share US user data with the Chinese government. The demand remains: TikTok must “Americanize” its data security. How that’s accomplished matters.
New Joint Venture & US Trained Algorithm
We are looking at a TikTok US China Joint Venture including about 15% each for Oracle, Silver Lake, and MGX.
But we do not know if the Chinese government will permit the transfer of the specific “secret sauce” that makes the “For You” feed so effective. The deal appears to involve retraining TikTok’s recommendation algorithm exclusively on US user data. That’s a massive technical undertaking intended to sever the data cord with Beijing.
The Music Industry Hates Uncertainty
The new US TikTok owners all have varying ties to Trump and conservative causes. For creators, this raises important questions.
Decisions about what gets promoted and what is considered “appropriate” could change under new leadership. Creators worry that political or ideological interests could shape the platform’s recommendation systems and moderation in ways that affect what content thrives.
New ownership and new algorithms pose new risks for musicians, marketers, and all creators who rely on TikTok for discovery and fan engagement.
The Hypebot Take
While Canada got a reset, the TikTok US deal remains much more volatile arena. Don’t expect a clean, finalized resolution and a public plan about what comes next today.
And just in case, you’re not hedging your TikTok bet by encouraging fans to engage on other platforms, its not too late.
Bruce Houghton is Founder & Editor of Hypebot, Senior Advisor at Bandsintown, a Berklee College Of Music professor and founder of Skyline Artists.
