TikTok to launch U.S.-only app with separate algorithm

TikTok is working on a standalone version of its app specifically for U.S. users, featuring its own algorithm and user data system. This move signals a major step toward separating TikTok’s U.S. operations from its global infrastructure, as demanded by U.S. lawmakers.

TikTok builds U.S.-only app amid political pressure

The project, internally referred to as “M2”, involves transferring code, AI models, and all relevant data to a new version that will function independently. “TikTok employees have been working under tight deadlines to build a new, U.S.-specific version of TikTok,” according to sources at the company.

Why the U.S.-only app matters

This restructuring follows years of political scrutiny and a 2024 law requiring ByteDance, TikTok’s Chinese parent company, to divest its U.S. business. Concerns have centered around national security, with U.S. officials fearing potential misuse of American user data and influence campaigns via the platform.

By building an isolated codebase and using only U.S. user data to train algorithms, TikTok aims to alleviate fears about foreign control and surveillance. “Most users will be recommended content generated within the U.S.”, insiders revealed.

New app, new structure

The American version of TikTok will be unavailable outside the U.S., similar to how Douyin operates in China. The goal is to split technological operations completely — from data storage to ongoing development. While some ByteDance employees may continue offering outsourced support, the U.S. team will take over most technical responsibilities.

“The new U.S.-only app is designed to function independently, similar to Douyin,” sources said.

Business and legal implications

A spin-off of TikTok U.S. is still under negotiation. The most likely outcome is a joint venture between ByteDance (as a minority stakeholder) and a consortium of American investors. Potential partners include SIG, General Atlantic, KKR, Blackstone, and Andreessen Horowitz, with Oracle also expected to hold a stake.

Yet China's approval remains a significant roadblock. The country’s export control laws now include technologies like recommendation algorithms. “China expressed strong reluctance to allow the export of TikTok’s recommendation algorithm,” making the final outcome uncertain.

Trump’s role and future talks

Former President Donald Trump, a vocal critic of TikTok, recently announced plans to reopen negotiations with China over the deal. While not confident in China’s approval, he stated, “I think the deal is good for China and it's good for us.”

If a sale is finalized and approved by both governments, the app could offer a unique test case in balancing national security with digital innovation and global commerce.

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