Travel Brands Can Breathe: TikTok US Sale Ends Political Battle

TikTok has agreed to sell a significant portion of its US operations to a group of American investors, bringing an end to a multi-year political and regulatory battle over the app’s future in the US.

Deal structure

The agreement is expected to close by January 22, 2026. It establishes a new US-based entity called TikTok USDS Joint Venture LLC, which will be majority-controlled by American stakeholders. Key investors include Oracle, Silver Lake, and Abu Dhabi-based MGX.

Under the proposed structure, these investors will collectively hold about 45 percent of the new entity. ByteDance will retain roughly 19.9 percent ownership, while around 30.1 percent will remain with affiliates of ByteDance’s existing investors.

Governance will be handled by a majority-American board, a design intended to address long-standing concerns around data privacy, national security, and control of TikTok’s recommendation algorithm.

The sale stems from legislation passed by Congress in 2024 that required TikTok to divest its US business or face a nationwide ban. The new ownership structure is meant to comply with that law and allow the app to continue operating in the US market.

Impact on travel

For travel companies, the agreement removes the immediate threat of losing one of the most influential discovery platforms in the market. TikTok has become a key channel for destination inspiration, hotel discovery, and experience-based travel content.

Still, uncertainty remains. Changes in ownership could influence how TikTok’s recommendation algorithm is trained and governed, particularly if it shifts toward a more US-centric operating model.

Even subtle adjustments could affect which travel content gains visibility, potentially reshaping exposure for local experiences, destination marketing, or premium travel products.

TikTok’s growing role in bookings

This year, TikTok launched Travel Ads, allowing travel brands to promote offers with integrated booking cards. The company also partnered with Booking.com, enabling US users to tap hotel tags in creator videos, view pricing and availability inside TikTok, and complete bookings directly.

Raquel Portillo Escrich at Air Europa has described TikTok as one of the most significant travel developments of 2025, citing a clear shift in sales channels driven by younger generations. Read our recent material to learn what industry experts think of 2025’s travel events that will impact 2026 the most.