In January, ByteDance finalized a corporate deal transferring control of TikTok’s US data, algorithms, and app security to a joint venture majority-owned by US interests, while maintaining a 19.9% stake in the venture, according to KrASIA.
This move follows discussions that began about a year and a half ago as part of efforts to address US regulatory concerns over data security and ownership of the popular social media app.
For Japanese investors, this restructuring highlights the growing importance of regulatory compliance in cross-border tech investments, particularly in the US market where data governance is under increased scrutiny.